The high-definition DVD format war has been officially by since mid-February, when HD-DVD backer Toshiba threw in the towel. While studios and hardware manufacturers are adapting to the triumphant Blu-ray format, its victory could be short.

Transitory and Price Resistance

Microsoft has moved into the acceptance phase with a recent acknowledgment by CEO Steve Ballmer that its Windows operating system will support Blu-ray. The software giant said last month that it would stop manufacturing HD-DVD players for its Xbox 360. But Ballmer plus told reporters that he considers a high-definition format a transitional medium, considering eventually more high-definition subject matter will be delivered by the World Wide Web than by discs.

In addition, for a Blu-ray victory to endure, prices for players need to fall. Last week Sony Electronics President Stan Glasgow said prices for Blu-ray players would drop slowly. Sony’s players are now upwards of $400, but Glasgow predicted prices under $300 by Christmas and under $200 by the end

of next year. Other Blu-ray player manufacturers, such as Sharp and Samsung, are plus expected to lower prices.

But Glasgow told The New York Times that the Blu-ray organization would try to avoid the extremely low prices that hit DVD players by not licensing the standard to Chinese manufacturers. He indicated there will be made-in-China players, but not soon.

DVDs Will Endure

As for the discs themselves, prices are beginning to fall. Amazon and other retailers are reportedly pricing some Blu-ray movies under $15. Some observers are predicting Blu-ray discs below $10 within a few months.

But the big question is whether consumers will buy the format. Paul Jackson, an analyst with industry research firm Forrester, said numbers are not yet out, although he added that anecdotal reports indicate consumers are beginning to move toward Blu-ray.

Yankee Group’s Josh Martin noted that about 35 to 40 percent of American households…

Orginal post by Top Tech News