Q&A with Hewlett Packard about HD DVD and why they are no longer BD exclusive - AVS Forum
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post #1 of 16 Old 02-12-2007, 06:01 PM - Thread Starter
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What are the reasons that HP moved from a supporter of Blu-ray to a supporter of both formats.

MAUREEN: HP wants to ensure that its customers have a choice in high definition. HP is committed to providing customers with the seamless interoperability needed to store high-definition digital content easily on either a PC or a digital entertainment device. We felt that HD DVD offered several mandatory features for hardware that were important to offering a great consumer experience across the board - such as mandatory support for a network connection, for secondary encoders used for picture in picture, and for HDi to allow interactivity. Support for HDi is also incorporated into Windows Vista, which was a critical requirement of HP in our decision, given our plans for the personal computer over the next several years.

Talk about the advantages that you see for the HD DVD format.

MAUREEN: I see two key advantages: Interactive features and the cost for drives and media.

For interactivity, HDi is already present in HD DVD. In fact HD DVD had network connectivity and interactivity available in the very first generation of players. HP believes that interactivity is compelling for consumers and many of the HD DVD studios are already using HDi to create special features in their title releases.

The second advantage is the cost for drives and media. The market has already shown the cost advantages of HD DVD for both hardware and content. While HD DVD offers a dramatic six-fold improvement in resolution over DVD, the manufacturing costs are still low enough to keep first generation prices reasonable. You can see it in the HD DVD consumer electronic devices from Toshiba, the HD DVD drive for the Xbox 360 as well as the HP notebook prices. And the cost advantages don't sacrifice quality.

Talk a bit about what you see as the benefits of dual-format players in the current format war.

MAUREEN: The confusion created by the format battle, as well as consumer reluctance to adopt one over the other, is definitely affecting the market. From that viewpoint, dual-format devices offer an excellent solution moving forward. HP is currently investigating the possibility of delivering dual-format devices to eliminate the confusion and to provide the consumer with the ability to play back content independent of the media type.

Blu-ray is stating that they have more studios lined up and have matched the number of HD DVD titles on the market. How does this change the landscape?

MAUREEN: It depends on how you look at the market. HD DVD announced more than 300 titles for 2007, which will bring their title count to more than 600 by year's end - and from what I've seen, this includes day-and-date releases of top movies. There are also more than 25 international studios that are supporting HD DVD in Europe and Asia. While the six or seven top US studios represent 80-90% of the content in the US, they only represent 40% in Europe and less in Asia. In the international markets, most studios have selected HD DVD because of the ease of replication as well as the cost advantages. This is important, since HD DVD does not have region coding. So you can buy movies in Europe for example - most of which offer a variety of language tracks - and play them in any HD DVD player worldwide.

As HP is a truly global company we need to think about our technology selections to support all areas of the world.
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post #2 of 16 Old 02-12-2007, 06:21 PM
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Thanks for posting this. Its business people like this HP business woman that can see through Sony and BD's PR smoke that HD-DVD was trying to reach at CES 2007. Based on her answers it doesn't seem like HD-DVD is anywhere near as dead and buried from a business perspective as the BD group would like us to believe.
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post #3 of 16 Old 02-12-2007, 06:23 PM - Thread Starter
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Who else was aware that HDi support was built into Windows Vista. Let's give it up for Microsoft, that's HUGE!
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post #4 of 16 Old 02-14-2007, 11:48 AM
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Sheads a broader more realistic light on the so-called studio domination by the BDA doesn't it?

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MAUREEN: It depends on how you look at the market. HD DVD announced more than 300 titles for 2007, which will bring their title count to more than 600 by year's end - and from what I've seen, this includes day-and-date releases of top movies. There are also more than 25 international studios that are supporting HD DVD in Europe and Asia. While the six or seven top US studios represent 80-90% of the content in the US, they only represent 40% in Europe and less in Asia. In the international markets, most studios have selected HD DVD because of the ease of replication as well as the cost advantages. This is important, since HD DVD does not have region coding. So you can buy movies in Europe for example - most of which offer a variety of language tracks - and play them in any HD DVD player worldwide.


"Blu-ray IS who we thought they were!"
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post #5 of 16 Old 02-14-2007, 12:07 PM
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Quote:
Originally Posted by Ajegunle View Post

Sheads a broader more realistic light on the so-called studio domination by the BDA doesn't it?

Not really.I just fell of me chair laughing at the quote you posted as HD DVD in asia is non existent, and thats with the 25 international studios that she claims.
Funny stuff.
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post #6 of 16 Old 02-14-2007, 12:12 PM
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post #7 of 16 Old 02-14-2007, 12:18 PM
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its really only consumers that have been fooled into thinking HD DVD is dying that are supporting BD (and PS3 owners like myself). HD DVD is doing well in Europe and will come back in the US when player pricing becomes a much bigger factor. Right now adopters don't mind paying money, but when mass consumers come they will balk at BD. The future is still uncertain for any format, but its plain stupid to claim victory for any side (ahem, sony).

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post #8 of 16 Old 02-14-2007, 12:21 PM
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Originally Posted by rover2002 View Post

Not really.I just fell of me chair laughing at the quote you posted as HD DVD in asia is non existent, and thats with the 25 international studios that she claims.
Funny stuff.

And I am supposed to believe you because you are such a credible source as compared to a lady who sits at the managing table of both HD DVD and Blu-ray for HP.

Go peddle your wares elsewhere.

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post #9 of 16 Old 02-14-2007, 12:28 PM
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300 titles this year? Gonna be a hot summer for HD DVD. I can't wait to see how the Blu Ray and HD DVD summer releases compare.

Planet of the Apes (1968) quote:

George Taylor (human): Doctor, I'd like to kiss you goodbye.
Dr. Zira (ape): All right, but you're so damned ugly.
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post #10 of 16 Old 02-14-2007, 12:32 PM
 
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Quote:
Originally Posted by rover2002 View Post

Not really.I just fell of me chair laughing at the quote you posted as HD DVD in asia is non existent, and thats with the 25 international studios that she claims.
Funny stuff.

Hopefully, your definition of Asia will go beyond Japan at some point. The growth markets are India and China. Both have thriving film industries and both have a growing base of affluent people....we'll have to see if they are more likely to adopt HD DVD or BD.

HP, FWIW is one company that is doing very well with their hardware in India.
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post #11 of 16 Old 02-14-2007, 12:35 PM
 
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Quote:
Originally Posted by Forceflow View Post

its really only consumers that have been fooled into thinking HD DVD is dying that are supporting BD (and PS3 owners like myself). HD DVD is doing well in Europe and will come back in the US when player pricing becomes a much bigger factor. Right now adopters don't mind paying money, but when mass consumers come they will balk at BD. The future is still uncertain for any format, but its plain stupid to claim victory for any side (ahem, sony).

Over the last year, it will be interesting to see if there is some statistic that compares how many initially exclusive BD companies decided to go neutral v. how many exclusive HD DVD companies decided to go neutral.

I know we always talk about the major studios. But what about the rest of the eco-system? That would perhaps provide a broader indicator of what is going on at the industry level with respect to support....
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post #12 of 16 Old 02-14-2007, 12:50 PM
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Quote:
Originally Posted by plazman View Post

Hopefully, your definition of Asia will go beyond Japan at some point. The growth markets are India and China. Both have thriving film industries and both have a growing base of affluent people....we'll have to see if they are more likely to adopt HD DVD or BD.

HP, FWIW is one company that is doing very well with their hardware in India.

Quite true.

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post #13 of 16 Old 02-14-2007, 12:58 PM
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India, unfortunately, won't be going HD for anytime soon. A small percentage are very affluent and have HDTVs and are looking for HD content, specifically movies. In India, movies are a large part of the culture as they have a film industry that is larger (in volume) than Hollywood and is increasingly regionalizing itself and gaining further international presence. India went VCD initially, but now has seen sharp adoption of DVD. As the middle class burgeons and spends money, expect the rise of LCD HDTVs to facilitate a big push towards HD DVD (based on investments in DVD). BD has no shot other than the fact that Sony has a huge market presence and more importantly brand preference among Indians.

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post #14 of 16 Old 02-14-2007, 01:12 PM
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Quote:
Originally Posted by Forceflow View Post

India, unfortunately, won't be going HD for anytime soon. A small percentage are very affluent and have HDTVs and are looking for HD content, specifically movies. In India, movies are a large part of the culture as they have a film industry that is larger (in volume) than Hollywood and is increasingly regionalizing itself and gaining further international presence. India went VCD initially, but now has seen sharp adoption of DVD. As the middle class burgeons and spends money, expect the rise of LCD HDTVs to facilitate a big push towards HD DVD (based on investments in DVD). BD has no shot other than the fact that Sony has a huge market presence and more importantly brand preference among Indians.

India does have the largest film industry in the world. Infact it is their main export, and national product.
To the rest of the world, apart from the USA, Indian movies are the most famous and lucrative movies.
I think it is a very large and powerful market. And whomever is able to harvest it would win this war hands down.

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post #15 of 16 Old 02-14-2007, 08:44 PM
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Quote:
Originally Posted by Emannikcufesin View Post

What are the reasons that HP moved from a supporter of Blu-ray to a supporter of both formats.

MAUREEN: HP wants to ensure that its customers have a choice in high definition. HP is committed to providing customers with the seamless interoperability needed to store high-definition digital content easily on either a PC or a digital entertainment device.

Without going too far into the realm of speculation, I like the sound of this. It opens the door for other companies, besides LG, to make hybrid players.

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post #16 of 16 Old 02-14-2007, 09:13 PM
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Quote:
Originally Posted by Ajegunle View Post

India does have the largest film industry in the world. Infact it is their main export, and national product.

It is not their main export.

"The services sector is the most dynamic sector in recent years, accounting for over 50 percent of GDP, with telecommunications and information technology registering particularly rapid growth. The agricultural sector, including forestry and fishing, accounts for around 20 percent of GDP, but employs about 60 percent of the labor force. The industrial sector accounts for about 27 percent of GDP, with major products including textiles, processed food, steel, machinery, chemicals, and computer software."

Quote:
Originally Posted by Ajegunle View Post

To the rest of the world, apart from the USA, Indian movies are the most famous and lucrative movies.

Very true. Internationally, they have much sway across Asia, especially in the Middle East given their conservative tendencies.

Quote:
Originally Posted by Ajegunle View Post

I think it is a very large and powerful market. And whomever is able to harvest it would win this war hands down.

I'm not sure about that. By the time Indian film companies get some quality products out the war could be well solidified. In fact, many companies could choose both sides and further prolong the war. We, sadly, can't say how India would affect this issue. Sony Pictures has deep pockets in India and has 2 TV channels, one of them a popular (relatively) movie channel on cable.

India is the dominant film industry outside of the US and is definitely more dominant in Asia, especially conservative countries. I'm just hoping that the average quality rises as the Indian approach currently (and especially a decade ago and earlier) has been quantity over quality. That is starting to change and production values are increasing as well as spending on technology. I strongly feel that HD DVD is a better match for India, but since when do thing go how I feel?

Anyways, back to topic. The HP CEO seems to know what is going on in a broader scope. The formats encompass more than what is often mentioned on these forums and the delivery of Vista may influence some consumer experiences, especially wrt what MSFT can deliver vis-a-vis HDi and Vista.

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