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Netflix Chooses Blu-ray
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February 11, 2008 | by .(JavaScript must be enabled to view this email address)
The online video rental company will start exclusively stocking one high-def format.
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Posted by Aaron  on  02/11  at  11:11 AM

I wonder if this will sink in with Universal and Paramount?

Universal “We could sell three times as much if we went Blu-ray.”
Paramount “So why don’t you?”
Universal “I dunno, so why don’t you?”
....
Investor “Idiocy!”

Posted by OVC  on  02/11  at  12:17 PM

LOL @ HD DVD

Posted by goodswipeHD  on  02/11  at  02:29 PM

Another sad blow to the more consumer friendly, non DRM infested, superior format.  Oh well, this will just add to more retailers dropping prices on the HD DVD media!

Posted by lozenp  on  02/11  at  04:20 PM

Just got an email from Netflix, looks like they’re cutting the cord immediately. Take a look at the email, as well as how it looks like Best Buy might be jumping ship.

http://philsplace.wordpress.com/

Posted by Rachel Cericola  on  02/11  at  04:22 PM

I didn’t get anything from Netflix yet, but I will keep checking.

Posted by Peter Smith  on  02/11  at  05:07 PM

More on the Best Buy situation that lozenp mentioned:

Best Buy to Recommend Blu-ray as the Customer’s Digital Format Choice

Posted by skebadadoo  on  02/12  at  02:34 AM

“Toward the end of February, HD DVDs in your Saved Queue will automatically be changed to standard definition DVDs. Then toward the end of this year, all HD DVDs in your Queue will be changed to standard definition DVDs. Don’t worry, we will contact you before this happens.”

I love that…DON’T WORRY.  It implies they’ve gotten the backing of the godfather, errr BDA,  That BDA could fund Bluray’s presidential campaign is they wanted to.

Seriously, I was upset when I got the email.  I thought Toshiba’s recent price slashing moves was going to get the ball rolling back in to the favor of the HD-DVD supporters.  Instead of embracing the user friendly price point, BEST BUY comes out with a statement that HD-DVD are going to get their own little “time out” corner, while Bluray are going to be prominantly displayed all over.  Small problem there, Best Buy.  The entry level Toshiba is $150, while the entry level Bluray is $400, for basically the same features.

Posted by Aaron  on  02/12  at  11:40 AM

Lots of companies are dropping HD-DVD.  Netflix announcement just adds to a huge list so far this year.  It’s happening all over the world and with other companies in the US as well (list is up to 25 companies now for 2008).

02-12-08 Hi-Fi Klubben (large Scandinavian retailer) goes Blu-ray exclusive.
02-11-08 Tripictures (Spain) goes Blu-ray exclusive.
02-11-08 Best Buy recommends Blu-ray
02-11-08 Netflix goes Blu-ray exclusive
02-07-08 FS Films goes Blu-ray exclusive
02-07-08 Kaleidescape goes Blu-ray exclusive
02-07-08 Saturn (Largest German electronics retailer) goes Blu-ray exclusive
02-07-08 SF Films (Sweden) goes Blu-ray Exclusive
02-07-08 Scanbox (Sweden) goes Blu-ray Exclusive
02-07-08 Filmax goes Blu-ray Exclusive
02-04-08 BAC Films (France) goes Blu-ray Exclusive
02-04-08 Manga Films goes Blu-ray Exclusive
02-01-08 ADV Films goes Blu-ray Exclusive
01-31-08 Highlight Video (Germany) goes Blu-ray Exclusive
01-30-08 National Geographic goes Blu-ray Exclusive
01-30-08 EMI (Japan) goes Blu-ray Exclusive
01-30-08 Sonic Solutions Scenarist goes Blu-ray Exclusive
01-28-08 Woolworths Retail Outlet (UK) goes Blu-ray exclusive in store.
01-22-08 Grant’s Appliances to goes Blu-ray exclusive
01-16-08 Senator Entertainment goes Blu-ray exclusive.
01-16-08 Digital Playground goes Blu-ray exclusive
01-11-08 Constantin Film goes Blu-ray exclusive.
01-10-08 HBO goes Blu-ray exclusive.
01-05-08 New Line goes Blu-ray exclusive.
01-04-08 Warner goes Blu-ray exclusive.

Posted by Dimitri  on  02/12  at  12:32 PM

“Netflix also says that while most of its subscribers still rent standard DVDs, the majority of high-def rentals are Blu-ray.” 

weeeeeell,  more like over 90% of its subscribers
golly gosh! together with the “Woollies announcement” this is just awful!!!!

Posted by Jeff Kalman  on  02/12  at  02:23 PM

I wonder what Dimitri has to say about all of this… Does he hear the champagne corks popping yet? ;)

Posted by actiondvdguy  on  02/13  at  10:06 PM

Problem what problem.  Best Buy knows exactly what they are doing.  Profit margin on 400 buck bluray player is 200 bucks.  Profit margin on 150 buck HDDVD player is 75 bucks, maybe.  Bluray is clearly the best format for Best Buys Bottom Line, er I mean for the Confused Buyer’s Mind.

Posted by actiondvdguy  on  02/13  at  10:28 PM

Also, why would Netflix stop purchasing and renting HDdvds.  An online rental company does not add to or subtract from any confusion the average person may have about the highdef format.  When you go online to rent movies, you have to try really hard to find high def discs and you have to get set up to rent them.  Not to mention the combo format on a lot of hddvds that can be rented out as dvd.  On all new releases worth watching for both blu-ray and hddvd there is always “very long wait,”  and with over 1 million hddvd players sold,  there is no way that the demand is not there.  Sounds like pay off to me.  Oh well, guess I’ll just buy Hddvds until every last company sells their collective souls.  At least I won’t have to buy another bluray, ever.

Posted by Aaron  on  02/15  at  11:47 PM

“Also, why would Netflix stop purchasing and renting HDdvds”

...because the rental company is loosing money by trying to stock them.

Posted by actiondvdguy  on  02/16  at  12:28 AM

Aaron
I think when Netflix says “very long wait” next to all the new hddvd releases that means that netflix is making money off those releases.  Now when it says “please, somebody rent me” like it does next to Bluray “I know who killed me”, then Netflix is probably losing money.  There is plenty of cruddy bluray movies collecting dust that could be money spent on popular new hddvd releases.  Payoff.

Posted by skebadadoo  on  02/16  at  12:41 AM

I agree, actiondvdguy.  Not only does it mean that they are making money off of the HD-DVD’s they have, it also means they could be making more if they had a full supply.  It implies that whatever Sony has paid them is LARGE.  There are over a million HD-DVD players in America right now, and Netflix is trying to tell me there isn’t a demand for HD-DVD’s to watch on them?!?

I would go as far to say that the Netflix announcement was bigger than the Warner, at least from the consumer’s point of view.

I’m not a Blu-ray basher.  I honestly don’t know much about it.  What I do know is how much money is in my wallet.  HD-DVD is, and has been, cheaper.  And it looks and sounds great.  I’m sure Blu-ray does as well, but I’ve always been a price point consumer, and Sony and their studio cronies feel so proud of their medium that they charge $35 for a movie.  I can’t support that.

So, instead of migrating from HD-DVD to Blu-ray, I’ll be taking a step back into SD-DVD’s until Sony is willing to entertain the working man.

Posted by actiondvdguy  on  02/16  at  01:08 AM

And then Sony jumps in “Universal, you are so ddduuummmbbb selling a combo to those idiot consumers when you could be selling an overpriced high def disc along with and overpriced standard disc like we do.”  “And whats up with your HDDVD transfers being so pristine and all, shoot holmes, all you got to do is just throw a new label on it and stick it in a shiny new blue box and those name brand buyers will eat it up.”  “Shoot, I know that’s right chimes in Disney.”

Posted by actiondvdguy  on  02/16  at  01:19 AM

skebadadoo
I see Blockbuster online is still renting Hddvd.  Sign up with them and you can start renting, but hurry, their hold out for a bigger than Netflix Sony payout won’t last long!
Don’t forget to browse Amazon.com, you can get HDdvds for around 15 bucks occasionally.  Going back to standard dvds from hddvd is like going back to standard def tv from hdtv.  The transition from blewray to standard is much easier.

Posted by Rich W  on  02/17  at  09:35 AM

Netflix lost money on HD-DVD.  Stocks were kept low with HD-DVD because only a few titles were rented (hits on HD-DVD alone).  All the titles that came in two formats were primarily rented on Blu-ray. 

Blu-ray was breaking even and moving to profit.  By dropping HD-DVD we are able to stock more Blu-ray and move more into profit.  It would have been nice to see some money from the Blu-ray Disk Association (BDA) but I don’t think they felt the need.

The BDA is also much larger than Sony with over 170 members (which also now includes Netflix - so money actually flows the other way).

The real reason HD-DVD died was that Japan and their large firms all considered HD-DVD the “inferior” format as quoted many times in Japanese news.  The BDA grew with over 97% of major company support.

Companies in the BDA include such as:
Apple, Dell, HP, Hitachi, LG, Mitsubishi, Panasonic, Pioneer, Philips, Samsung, Sharp, Sun, TDK, Acer, AMD, Canon, Corel, Dolby Labs, Fujitsu, Funai, Kenwood, NEC, Ricoh, Ritek, Adobe, Bose, Fujitsu, Imation, Daewoo, Konica Minolta, Nichia, Sanyo, TEAC, Texas Instruments, Yamaha, ......

Posted by Aaron  on  02/17  at  10:28 AM

actiondvdguy’s statement:
“There is plenty of cruddy bluray movies collecting dust that could be money spent on popular new hddvd releases.”

You do realise that Blu-ray titles have been more popular than HD-DVD titles by a 350% margin?

Posted by John  on  02/17  at  11:39 AM

Actiondvdguy sounds like he is going to cry, haha…i love it!

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