Does anyone not remember that the movie studios had a monopoly on the VHS and rental industry? Back in the 90s most new release VHS titles would sell for $20. There were those obnoxious releases that would retail between $90-$100, and that's for one VHS tape. This is why Blockbuster was a big business back in the day.
When DVDs started popping up back in 1997, I certainly remember new releases being sold for $20, the same price as their VHS counterpart; Disney DVDs were the exception to this and were as high as $35. It is no wonder that DVD vanquished VHS in less than 3 years. When Bluray and HD-DVD came out, Bluray was higher priced as well. Sony's launch player was $1,000 where Toshiba's was $500. People might choose to forget that HD-DVD was the superior format to Bluray when they both launched. Sony eventually caught up and the rest is history.
Bottom line, until the prices of Bluray match DVD, Bluray will not be replacing the DVD format anytime soon. The studios need to go back to memory lane and look at how fast DVD was adopted over VHS. Price played a major role in this. We are already at the $50 player mark. It's time for discs to follow suit.
By the way, format wars suck. I still have my trusty old CED videodisc player which lost out to VHS, Betamax, and Laserdisc back in 1983. Besides, discs are old hat now. Media servers are the way of the future now.