MESSAGE
| DATE | 2005-10-02 |
| FROM | Ruben Safir
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| SUBJECT | Subject: [NYLXS - HANGOUT] DRM is Theft = Blue Ray
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In DVD Format Split, Paramount Goes 2 Ways
By KEN BELSON
Recognizing that a split over the format of the next generation of
digital video discs is deepening, Paramount Pictures said yesterday that
it will make DVD movies in the Blu-ray format as well as in the HD DVD
standard.
Paramount is the first major studio to say publicly that it will produce
DVD's in each of the two formats, which both promise high-definition
pictures, enhanced audio and five or more times the storage space on a
disc. Until now, the big Hollywood studios have supported one format or
the other.
However, the chance for an agreement to use one format dimmed earlier
this year when negotiations stalled between Toshiba, which makes the HD
DVD standard, and Sony, Panasonic and others in the Blu-ray group. Since
then, companies on both sides have promised to start selling DVD players
that use their respective formats as early as this winter.
The studios, retailers and others had hoped to avoid a showdown between
the competing formats because it is costly to make and sell two sets of
discs.
Other studios may follow in Paramount's path. In addition to Paramount,
Warner Brothers and Universal have backed the HD DVD format, while Sony
Pictures, Disney, 20th Century Fox and Lion's Gate have come out in
favor of Blu-ray.
The plans to produce two types of machines and movies for both formats
suggests that there may not be a clear resolution to the battle anytime
soon, according to industry executives.
The president of Paramount Pictures, Thomas Lesinski, said in a
statement that Sony's inclusion of Blu-ray technology in its PlayStation
3 videogame console when it is released next spring was an important
factor in his studio's decision. With that technology inside, the game
machine will effectively double as a Blu-ray DVD player.
Mr. Lesinski called this a "key advantage" for the Blu-ray group.
He added that the studio made its decision to produce Blu-ray DVDs based
on "new data on cost, manufacturability and copy protection solutions."
Paramount, Warner and Universal, as well as Microsoft, Intel and disc
manufacturers, have said that the HD DVD discs can be produced more
cheaply and more reliably than Blu-ray discs. Disc manufacturers have
also said privately that the HD DVD format discs are far closer to being
ready for mass production than Blu-ray discs.
In response to Paramount's announcement, Toshiba said it remained
committed to bringing HD DVD to market.
In a statement, the company said that the Blu-ray group "still needs to
answer the tough questions about how they plan to deliver on their
promises." This includes whether it will allow all manufacturers to make
Blu-ray players and whether the Blu-ray group will set a date for
delivering their high-capacity discs.
Paramount did not say how many movies it initially plans to release in
the Blu-ray format, or which titles.
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