Friday, September 24, 2010

DreamWorks, Paramount Blu-ray defection SERAP 150 million U.S. dollars compensation

August 22, according to foreign media reports, Paramount (Paramount) and DreamWorks (DreamWorks) this week announced that it would abandon Blu-ray standard, instead wholeheartedly support the HD DVD format.

There is no doubt that this new generation DVD standards battle have a significant impact. Prior to that, Paramount and DreamWorks to wait and see attitude, which also supports Toshiba's HD DVD and Sony's Blu-ray formats.

But the two companies has unexpectedly said that after HD DVD and Blu-ray on a comprehensive evaluation of both formats, they decided to choose HD DVD. The reason is HD DVD technology has been well prepared universal, and relatively low production costs.

However, according to two people familiar with Viacom said, because the standard only supports HD DVD, Paramount and DreamWorks will get the total 150 million U.S. dollars in financial compensation.

Anyway, after the recent series of setbacks in the HD DVD camp, it certainly is a great comfort. In June this year, Blockbuster has said that its 1,700 stores would only support Blu-ray format, while HD DVD only in their online stores and 250 stores and the Blu-ray with the sale.

July, Target also announced that, although still plans to also sell discs of both formats, but the store will only offer Blu-ray player.

According to a survey released recently shows that in January 2007 to July between, HD DVD sales in the United States is about 795,000 units, while sales of BD discs is 160 million. As of the end of July this year, BD's has sold 2.2 million units a breakthrough, HD DVD's total sales, compared with 1.5 million units.

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