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@ redspear

I think many people will prefer to own their favourite blockbuster game or movie on disc, I think streaming/downloading can co-exist with disc formats (like PlayTV actually uses the PS3).

With regard to competing, streaming will get faster and cheaper, but will every potential consumer be online with a good enough connection and interested in this? I think not.

If pricing is a major concern, it should compete with DVD first as reaching that level of streaming quality is more easily achieved and a cheap mass market solution at this point. Full quality 7.1 lossless audio with 1080p Blu-Ray visual quality is much harder to achieve, HDTV TV broadcastings aren't even on par (1080i with lossy 5.1 audio).



Naughty Dog: "At Naughty Dog, we're pretty sure we should be able to see leaps between games on the PS3 that are even bigger than they were on the PS2."

PS3 vs 360 sales