bbsin said:
10%? maybe in terms of raw manufacturing. You're dismissing the security features and extra UI that's put in there. Once you add the licensing costs of a newer format with new tech, it'll come out alot more than 10%.
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Exactly that's the problem. The big difference are not the pure replication costs but the number of licences that have to be covered. This makes BluRay more expensive than DVDs, so the companies have no real reason to drop the BluRay prices to the DVD level, they would only hurt their earnings.
In fact if I remember correctly DVDs were not such a clear winner in the beginning. Yes, they were much more successful than the LD but they were mainly a game for film enthusiasts. In Germany the advantages in tzhe picture were only one important feature, the second was: you cvan hear everything in its original language, while films on VHS were always dubbed.
But then something strange happened (at least in Germany, I can't talk about the US in this case) the prices for players dropped and suddenly there were many people who wanted to buy a player, but they were not interested in DVDs, theywanted a player that can handle VCDs (at that time this was the satandard format for movies on filesharing networks)!
In the meantime the prices for new movies remained more or less static, but the older DVDs got cheaper and cheaper until they passed the VHS prices due to their cheaper replication prices. The producers were able to earn a lot of money at prices that were below the replication prices of VHS Tapes and their were people who owned DVD players and were very price sensitive. The DVD only were the medium of choice ones they were at the same or even lower prices than the VHS tapes. Only than the general public acknowledged that they got more and better material on the DVD.
I don't really see a rerason for companies to enter a price battle with DVDs because there is no price advantage. This would only make sense if they would get rid of the DVDs and then they would rise the prices again, but at that moment there would be new DVDs. Yes BluRay Players will probably drift in the long run into the general market and replace DVD players, but this does not mean that they will watch BluRays on it. In many cases they would simply use it to get a better picture out of their existing DVD collection. This is one of the big differences. With the DVDs people replaced their VHS collections with DVDs but I don't see this for BluRay. Even I have only replaced special films but in many other cases I don't care so much about the picture of the film. I Have the tendency to always compare my collection and in some cases the differeces were rather small.
You can't really compare the situation of the early DVDs with BluRay. As an example: Anime was quite connected with DVDs, especially in the US. There was a mediam that contained the subtitled and dubbed versions on the same medium, together with the better picture it was definatly a winner. Even more impotant Pioneer tried to push the new medium but while they didn't own general feature films, they had their own Anime productions so they realeased many animes, which pushed other anime distributors to release on this medium too, while many of the bigger companies were not active in this dangerous market. Quite a lot of the first customers had the problem that they simply had all interesting normal films in their collection and they started to look at these "cartoons". Anime distributors were quite startled when they realised how many DVDs they were able to sell, while the number of sold VHS tapes didn't fall as steep as you would expect.
Now the Anime distributors in the US and Europe are in deep trouble. While some talked about BluRay most of them are no longer in the market and the rest doesn't even have the money to dub a film. And if you compare the quality of the few BluRays with a upscaled DVD, you won't find a big difference simply because the tiniest details that are drawn are much bigger than the resolution of the DVD. In fact, when we tried it together with a beamer there was no one was no one able to say what they were looking if they didn't have the direct comparison and there were no subtitles on the screen.
So I don't really see how the BluRay could become such a clear winner as it was the case with the DVD. Add to this the difficult financial situation and a rather depressing outlook (climate Change, declining oil reserves) and I don't really see a situation where many people will pay more money for a better picture quality.