Monday, August 01, 2005

Digital dollars

Did you chuckle when you learned that Intel was getting into the entertainment business via Clickstar? Well, Intel may get the last laugh - unless you own Intel stock . . .

Mark Knox, a consultant for Toshiba, claims that "Hollywood makes more money from home video sales than at the box office." Intel's plan is to step in between the box office and the DVD market.

The increasing digital entertainment world will have other winners (and losers). Consumers will be purchasing high definition TV sets and high definition DVD players. Further spreading the money will be the purchases of high definition versions of movies - some of which have already been purchased by the same consumer in VHS and earlier DVD formats.

Adding to the excitement will be the two competing high-def DVD systems - which are not compatible. One technology - Blu-ray - is backed by a Sony led group. The competing technology - HD DVD - is back by a Toshiba-led group.

Joining Sony and Blu-ray are Dell, Hewlett-Packard, Apple Computer and Hitachi.

Joining Toshiba and HD DVD are HEC, Sanyo Electric and Thomson.

Read a well-written article by Brian Deagon here.

Hat tip to Joe of the Pinehurst Thread for the link.

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