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Topic: Anyone consuming HD or Blu-ray?
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Paul Linfesty
Phenomenal Film Handler
Posts: 1383
From: Bakersfield, CA, USA
Registered: Nov 1999
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posted 08-21-2007 10:22 AM
According to The Digital Bits, the Dreamworks/Paramount deal was due to Microsoft kicking in MUCHO BUCKS to them in "promotional" fees to go exclusively with HD-DVD format.
http://www.thedigitalbits.com/mytwocentsa141.html#dp
Well... the high-definition format war just got more confusing for consumers, and you can thank the hubris of the folks at Microsoft for it. Their HD-DVD format (because I'm sorry, can anyone really say it still belongs to Toshiba at this point?) badly needed a shot in the arm going into the holiday season, and just got it thanks to suitcases full of cash from the Microsoft camp. You ready for this? Here it is:
Microsoft has paid DreamWorks and Paramount so much money that they've decided to join Universal in the HD-DVD exclusive camp. No kidding.
None of the participants in this deal are willing to openly disclose just how MUCH money was exchanged, but the L.A. Weekly is reporting (based in part on a confidential report from media analysis firm Pali Research) that it was in the neighborhood of $50 million in "promotional considerations" for Paramount and $100 million for DreamWorks. I'm sure they're also getting lots of free or discounted VC-1 compression and HDi authoring services, along with prime placement on Xbox Live too. Is anyone else just disgusted by Microsoft's naked, shameless financial influence in this thing? That Hollywood is a greedy place should be obvious to all by now, if it wasn't already. The HD-DVD format can't win any other way than for Microsoft to PAY studios off to stay exclusive. And then they have the balls to claim the Blu-ray Disc camp is involved in antitrust violations. Wow.
I'll tell you, this doesn't change our opinion of the eventual outcome of the format war too much. HD-DVD is never going to win this thing. The best it can hope for at this rate, even with the paid involvment of Paramount and DreamWorks, is to stay in the game. But let's face it... if money has to be involved for HD-DVD to stay in the game, that says a lot right there. And while Paramount and DreamWorks will no doubt earn lots of scorn from the rest of the industry, and they'll each make a couple extra movies with Microsoft's money while their stockholders giggle with glee, eventually business realities will dictate that they'll change their tune again. Unless Microsoft pays them more money still. One wonders if Universal just got another paycheck too.
By the way, if anyone doubts that Microsoft's real reason for involving itself in all this is to slow the adoption of next-generation discs by confusing consumers with a continuing format war so their own Xbox Live service can continue to grow and dominate the movie and TV downloading market, you'd better think twice. Because you can bet that while they'll continue to play at supporting HD-DVD, lots of those brand, spanking new high-def transfers will end up on Xbox Live too and for a lot cheaper than the discs.
Anyway, here's the official press release from Paramount and DreamWorks. And I'd like to call your attention to the final sentence in this press release, because I think it tells you EVERYTHING you need to know about this announcement:
Paramount and DreamWorks Animation Each Declare Exclusive Support for HD DVD
Movies Distributed by Paramount Home Entertainment Including Paramount Pictures, DreamWorks Animation SKG, DreamWorks Pictures, Paramount Vantage, Nickelodeon Movies and MTV Films to be Released Exclusively in HD DVD Exclusive Program To Begin with Release of "Blades of Glory," Followed by "Transformers" and "Shrek the Third," Films Representing More Than $1.5 Billion in Combined Worldwide Box Office
LOS ANGELES, Aug. 20 /PRNewswire-FirstCall/ -- Paramount Pictures, a unit of Viacom Inc. (NYSE: VIA and VIA.B) and DreamWorks Animation SKG (NYSE: DWA), each announced today that they will exclusively support the next-generation HD DVD format on a worldwide basis. The exclusive HD DVD commitment will include all movies distributed by Paramount Pictures, DreamWorks Pictures, Paramount Vantage, Nickelodeon Movies and MTV Films, as well as movies from DreamWorks Animation, which are distributed exclusively by Paramount Home Entertainment.
The companies each said that the decision to distribute exclusively in the HD DVD format resulted from an extensive evaluation of current market offerings, which confirmed the clear benefits of HD DVD, particularly its market-ready technology and lower manufacturing costs Paramount Home Entertainment will launch its exclusive HD DVD program with the release of the blockbuster comedy hit "Blades of Glory" on August 28th and follow with two of the biggest grossing movies of the year "Transformers" and "Shrek the Third". These three titles alone represent more than $1.5 billion in box office ticket sales worldwide.
"The combination of Paramount and DreamWorks Animation brings a critical mass of current box office hits to consumers with a line-up of live action and animated films that are perfect for HD DVD," stated Brad Grey, Chairman and CEO of Paramount Pictures, which is currently the leading studio in domestic box office. "Part of our vision is to aggressively extend our movies beyond the theater, and deliver the quality and features that appeal to our audience. I believe HD DVD is not only the affordable high quality choice for consumers, but also the smart choice for Paramount."
"We decided to release "Shrek the Third" and other DreamWorks Animation titles exclusively on HD DVD because we believe it is the best format to bring high quality home entertainment to a key segment of our audience -- families," stated DreamWorks Animation CEO, Jeffrey Katzenberg. "We believe the combination of this year's low-priced HD DVD players and the commitment to release a significant number of hit titles in the fall makes HD DVD the best way to view movies at home."
With the rapid increase of HD TV screens in households, and audiences wanting to enjoy the total entertainment experience, HD DVD has emerged as the most affordable way for consumers to watch their movies in high definition. In addition to pristine quality, HD DVD also offers consumers the chance to personalize the movie-watching experience, to interact with their movies and even to connect with a community of other fans.
Paramount Home Entertainment will issue new releases day and date as well as catalog titles exclusively on HD DVD. Today's announcement does not include films directed by Steven Spielberg as his films are not exclusive to either format.
How do you like THEM apples? Not exclusive to either format? Spielberg's decided his first film on high-def disc is coming out on Blu-ray Disc only. So what do Paramount and DreamWorks do? They bury that little factoid at the tail end of their press release. Nice. Okay, Spielberg hasn't made any kind of public statements to that effect that he supports only Blu-ray. But why then isn't Universal able to release any of his films on HD-DVD? Why then does this deal with Paramount and DreamWorks NOT include Spielberg titles? Because Spielberg wouldn't allow it is the only thing that makes any sense.
I'll tell you what... I'm betting Fox and MGM start making Blu-ray Disc exclusive announcements and soon. You just watch. The reaction will be swift...
Stay tuned...
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Scott Jentsch
Phenomenal Film Handler
Posts: 1061
From: New Berlin, WI, USA
Registered: Apr 2003
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posted 08-21-2007 11:01 AM
For those that don't follow events surrounding this "war" I will caution everyone to take Bill Hunt's comments with a 5-pound bag of salt.
A few months ago, he grew tired of the war and decided to declare a victor in his own mind and took up the task of making sure that anyone and everyone that would listen would know his stance.
His logic boils down to the fact that he feels that having two formats will hurt adoption rates of HD media (hard to argue with that) and since he feels that Blu-ray has more backing and can store more on each disc, he thinks that the HD DVD group should pack up and go home. As a result, he's turned from advocating for the consumer and the general love of movies in the best experience possible to an advocate for a single format with almost religious fervor.
On the Microsoft front, the head of the HD hardware and software group has publicly gone on record as saying that Microsoft did not make any payments of any kind to Paramount. They are providing Paramount with the same services that they provide to all major companies interested in using the VC-1 codec (on both formats) and programming on HD DVD via the HDi markup language.
I think the Paramount/Dreamworks announcement may signal a large shift in the future of both formats. I'm hoping that it will cause studios on both sides to adopt full format neutrality because they will see that there is no sense in fighting an unwinnable war.
That's probably too idealistic, but I think that format neutrality is better than combo players. Combo players are a solution for a problem that doesn't have to exist. The LG player is an odd beast in that it doesn't support all the features of HD DVD, which is why they don't have an HD DVD logo anywhere on it.
Consumers lose by having to pay more for a combo player than they would have to otherwise. (Adding HD DVD functionality to a Blu-ray player only adds $100-$200 to the price of a Blu-ray player. Unfortunately, the base price of Blu-ray players are still unreasonably high.) Studios lose by not being able to sell to people that don't have a combo player but have a player of the format that the studio won't support.
Format neutrality is the only scenario where everyone wins.
I don't have an axe to grind against Sony or any of the Blu-ray companies directly. However, I can't recommend to anyone to get a Blu-ray player right now because of the restricted feature sets and the still-shifting specifications. Maybe if their prices were more on par with HD DVD players, one could write off these first two or three generations of Blu-ray players as introductory steps, but at $500, I expect the hardware to be more full-featured than they currently are.
Disney's recent announcement about the BD-Live features that will be in National Treasure and Sleeping Beauty should make everyone considering a Blu-ray player pause and think about whether the $500-$1500 player they're buying will support those new features coming down the pike.
Currently, no Blu-ray manufacturer has said that their current players will support the Profile 1.1 requirements that will come into effect November 1, much less the Profile 2.0 features those titles will require to enjoy those new features. The best hope is that the PS3 will be upgraded, as it has the hardware, the horsepower, and the updatability to handle these new features. Since the PS3 is Sony's flagship, I think they will come through. However, I don't think the same is true for every other player that is currently available or that has been announced with a specific release date.
Those are the problems I have with Blu-ray. Less features. A specification in flux with variable hardware support. Higher price.
Now that the studio support issue is a little less lopsided, I think this changes the game quite a bit!
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Scott Jentsch
Phenomenal Film Handler
Posts: 1061
From: New Berlin, WI, USA
Registered: Apr 2003
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posted 08-22-2007 10:53 AM
Bobby,
I can see your point, and I don't disagree with the idea, in concept.
However, in execution, I think designing a single device to be both a Blu-ray player and an HD DVD player is more complicated than the companies involved are capable of handling. One would hope as more SOC (Systems on a Chip) solutions are created, that it will be just plug and play, but even then, there are both redundancies and architectural differences between the two formats that will make a combo player an expensive and complicated beast for some time to come.
I think that's why the LG unit was HD DVD playback only (no HDi interactivity). They came out with it so fast (one month after announcing it at CES 2007, I believe) that there was no way to build and test it for full functionality on both formats. Hopefully the upcoming Samsung combo player will be better in that regard.
The price is still an issue, though. Right now, the entry level HD DVD player (the A2) can be had for $240 (list price is $299). The cheapest Blu-ray player (Sony BDP-S300) is around $470 (list: $499). The Blu-ray player's street price is double the price of the HD DVD player. Either the hardware is more expensive to manufacturer, the licensing is more expensive, or the Blu-ray companies have decided that their products can be priced higher and still sell in acceptable quantities. Either way, having the Blu-ray logo on something means a lot of extra cost.
If someone can sell a combo player for even just double the price of the A2 HD DVD player, and it were to have the functionality that matches the functionality of each entry level player, they may have a very marketable product on their hands.
However, at the current $1000 price tag for the combo players (the new Samsung is going to be released at $1050), that's just way too much money to justify the convenience of having a single box do both functions and to risk the inherent problems that can come from multi-function devices. One would hope that price will come down, but getting down to $500-$600 from $1000 is a pretty significant distance to drop.
I do think that we'll see unified support in hardware (combo players) and/or media (TotalHD) before we'll see a single format reign victorious.
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Bobby Henderson
"Ask me about Trajan."
Posts: 10973
From: Lawton, OK, USA
Registered: Apr 2001
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posted 08-23-2007 10:08 AM
"HDi" and "BD-Java" are just over-hyped things very few viewers will actually use.
Most people I know have a copy of The Matrix on DVD. Very few of them ever bothered with that "white rabbit" interactive extra on the disc regardless of all the hype the home video press bestowed upon it. I tried it out only one time. The plain truth is most viewers don't fart around with extras as all. They just want to watch the movie and that's it. Much of that extra content is appealing to a really small percentage of viewers.
The techie engineers out there have to remember that most people are not into techie things. Many of these people had VCRs with the clock blinking "12:00" throughout its usable life span. Some complex interactive thingie that requires figuring out some funky user interface and video game like controls is only going to serve to piss off lots of people unless it is made very simple. Most technology people have no clue how to make things simple. I think a lot of engineers aren't happy unless something is made stupidly complicated so you have to know the "secret handshake" to get the product to work. This is at the core of why Apple Computer's products are so popular. Maybe they should have come launched a HD video disc format. But it's too late for that now -at least with this generation of formats.
With those things noted, I doubt very strongly that features like "HDi" and "BD-Java" are going to be make or break factors for either format.
quote: Scott Jentsch
The price is still an issue, though. Right now, the entry level HD DVD player (the A2) can be had for $240 (list price is $299). The cheapest Blu-ray player (Sony BDP-S300) is around $470 (list: $499).
Despite that issue, Blu-Ray discs are still outselling HD-DVD titles by a wide margin.
I'll say it again: software drives these formats.
With Disney aligned exclusively in the Blu-Ray camp, I don't see that format having any chance of dying off anytime soon. Out of studio product I'm most likely to find on any family's book shelf, Disney animated movies are at the top of the list. That especially holds true for this so-called more conservative part of the country where I live. Many customers are just going to let a player that does HD-DVD only gather dust on the shelf and do so regardless of a $200 or lower price. If it can't play Toy Story on it then not many people are going to buy it.
DVD hardware was already selling very well when players were still commanding price tags above $500. People just wanted to be able to play the movies. Despite player prices, it's still fairly expensive to get into the HDTV product line -at least anything that's worthy of feeding a true 1080p video signal.
In early adopter phase (which HD-DVD and Blu-Ray clearly reside) price isn't as important as quality. There is a perceived notion that Blu-Ray is better since the discs hold a greater capacity of data, the movies run at higher video bit rates and more of the movies have fully uncompressed LPCM 5.1 or other lossless 5.1 audio formats. This is despite whatever tweaking is done to get the most out of the AVC codec on Blu-Ray or Microsoft's VC-1 codec on HD-DVD.
One thing I find a little troubling with both formats is what seems like a lack of dual-layer movie titles. Most Blu-Ray and HD-DVD releases are single layer only. When dual layer DVDs were first introduced, problems with a number of DVD player models were badly exposed. I'm pretty concerned about that, especially when PR types for the Blu-Ray and HD-DVD camps make claims about how many data layers their respective format will hold and play in any player. I'm concerned someone is lying.
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