CES: Warner Home Video backs dual-DVD format

PC World - Warner Home Video Inc. made a splash this week at the Consumer Electronics Show with its announcement of the company's Total Hi-Def disc, which will put an HD-DVD-formatted movie on one side and a Blu-ray version on the other.

2007 International CES: Jan. 8-11, Las Vegas

In true Hollywood fashion, the announcement was an orchestrated and visual event, right down to the coordinated flashes of red and blue -- Warner's way of representing the competing factions. HD-DVD was red (an outgrowth of the deep-burgundy border that surrounds HD-DVD cases), while Blu-ray was assigned blue. Warner said its fellow Time Warner companies, New Line Entertainment and HBO, would also support Total HD. The company expects the disc to become available in the second half of 2007.

Both formats use blue-laser diode technology to deliver greater capacity than standard-definition DVD, enabling the discs to store high-definition content. The two formats are locked in a battle to become the next-generation, high-definition replacement for DVD. Intel Corp., Microsoft Corp., Toshiba Corp. and Universal Pictures are among the staunch backers of HD-DVD. A consortium of major consumer electronics companies, including Panasonic Corporation of North America, Pioneer Electronics Inc., Samsung, Sharp Corp. and Sony Corp., plus seven out of eight of the major film studios support Blu-ray.

One disc to rule them all

The intention with Total HD is to remove the liability and confusion in the marketplace, and to drive consumers to adopt the high-def formats more quickly.

Ronald J. Sanders, president of Warner Home Video, noted that between the two formats, sales of more than 9 million high-def-capable devices were being projected by the end of 2007. That figure is well ahead of the adoption rate of DVD, widely regarded as the most successful consumer electronics format ever. With DVD, 1.3 million players were in the market by the second year of their availability.

"We know that consumers are hungry for high-def movies," said Sanders. Between sales projections from the HD-DVD and Blu-ray camps, Sanders estimates that the potential revenue flowing to studios from disc sales could top $1 billion. "And that's just in the second year."

At Warner, he said, "we think of total content sold, regardless of format. Both are great technologies. [But there's] consumer confusion and hesitancy surrounding these formats." That confusion is causing many people to wait before choosing one format or the other.

"The wait is over," Sanders told the audience. "When you bring together red and blue, you get the best of both worlds, two great ideas on one incredible disc."

"A two-format marketplace is not ideal," he concedes. "We can't change the fact that the current multiple-format marketplace is there." But with Total HD, "you can get all of the content with none of the risk."

Good for everyone

Kevin Tsujihara, president of Warner Bros. Home Entertainment Group, notes that the Total HD disc is good for retailers (which only have to stock one disc), good for the studio (which only has to produce one disc), and ultimately, good for consumers. "Most importantly, it's much better for the customer. Unlike when confronted with the current two-format choice, almost half said they were more likely to buy hardware with this disc. It gives consumers security and choice. It gives them the security to know they won't be left with an obsolete library. It eliminates confusion and fear about choosing the wrong format."