Home Media Magazine - December 30, 2007 - January 5, 2007 - (Page HD12)

studio roundtable Craig Kornblau Ron Sanders Bob Chapek Kelley Avery Steve Beeks Mike Dunn David Bishop Steve Einhorn » Continued from page 9 Avery: We need to communicate all of the advantages of high-definition and clearly demonstrate what it can deliver. The broadcast industry has already taken on the task as they ready the consumer for the switch from analog to digital television. On the packagedmedia front, HD DVD has done a nice job of creating an attractive and affordable value proposition that makes a lot of sense for our audiences, and we need to continue touting these benefits. Sanders: Research indicates a high level of consumer satisfaction with standard definition. However, research also shows that consumers appreciate the dramatic difference when they are exposed to high-definition media. In the mid-1990s, our industry did a great job of educating the consumer to the benefits of DVD versus VHS. We need to replicate that kind of industrywide effort and deliver effective marketing messages to the consumer. Bishop: As the format war dissipates, consumer interest in Bluray will be spurred to coincide with the increased demand for high-definition entertainment. And the additional high-definition services being promoted by not only retailers, but also by satellite and cable distribution companies, also is helping to raise interest among consumers in the high-definition experience. Kornblau: Clearly the focus needs to be on consumer education. People are still for the most part happy with standard DVD. We’re also just seeing true 1080p HDTVs bigger than 42 inches coming down to a price level for mainstream consumers — that’s where you really see the quality difference over DVD. And pricing is critical, which HD DVD is achieving with sub-$199 players. I HM: It’s not just consumers who are confused. Store-level retailers are sending mixed messages to customers. Who needs to take the lead in educating the masses? Avery: The advantages and benefits of high-definition are essential to a variety of industries: CE, media outlets, broadband and entertainment. A coordinated effort between the hardware manufacturers and content providers is likely the most effective way to offer a cohesive message about the benefits of this format. Sanders: Unfortunately, the dueling formats created an information logjam in what should have been our conversation with consumers. It is not just necessary, it’s crucial that we as an industry make communication with the consumer THE priority. Bishop: We are working with key studios and CE companies that support BD to create a wide-reaching consumer ad campaign, which kicked off in October and which will run through the beginning of 2008. The campaign is aimed at a broad audience that includes the growing number of high-def TV and PS3 owners as well as early adopters. The intent is to brand the BD format and high-profile studio releases on BD, thus re-enforcing the message that Blu-ray is the format of the future. Dunn: This past fourth quarter saw the launch of a multimilliondollar advertising and promotional campaign linking Blu-ray and high-definition television hardware that will continue through spring. With nearly all available Blu-ray consoles selling out, we’re clearly reaching our audience. In general, coordinated efforts by all the parties involved have always been the most successful. I HM: Will we ever see one standard? Bishop: Even in the weeks with the most compelling HD DVD offerings, Blu-ray has continued to win the software battle between the competing formats, going back to December 2006. This continuing 2-to-1 sales ratio leaves little doubt that Blu-ray will win the war in the end. Chapek: I hope so, since that is what is in the best interest of the consumers. More than 170 companies worldwide have backed Blu-ray. Many retailers across the world have also chosen Blu-ray, and every day we are seeing more and more consumers choosing Blu-ray as well. In some parts of the world the software sales ratios are as high as 10-to-1 in favor of Blu-ray. Kornblau: HD DVD is cheaper to make, offers a combo-disc option for consumers and has fewer compatibility issues than other formats. While it’s unfortunate that efforts to find a resolution to the format war haven’t succeeded, the HD DVD companies continue to stand behind our value proposition, which offers consumers a compelling and consistent high-def experience at the most affordable price. I HM: Can you give us a preview of what’s in store from your studio for calendar 2008? Sanders: We’ll have a very strong lineup of theatrical releases this holiday season through the fall of 2008 that includes I Am Legend, The Bucket List, Speed Racer, Get Smart and The Dark Knight. Bishop: In addition to expanding our slate of Blu-ray titles with such tentpole releases as Hancock and Angels & Demons, Sony Pictures Home Entertainment will continue to expand our Bluray offerings with a broad mix of catalog titles. Avery: Paramount has a tremendously strong and diverse slate on tap for 2008, and we’re looking forward to expanding our HD DVD offerings with titles such as DreamWorks Animation’s hit Bee Movie, the groundbreaking Beowulf, Sean Penn’s critically acclaimed Into the Wild and more. Dunn: 20th Century Fox will aggressively release both new theatrical titles and catalog product on Blu-ray Disc in 2008. Some highlights include Aliens vs. Predator: Requiem, 27 Dresses, Horton Hears a Who, The List, The Happening, Babylon A.D. and What Happens in Vegas. 12 HOLLYWOOD goes HIGH-DEF Winter 2007/2008

Table of Contents Feed for the Digital Edition of Home Media Magazine - December 30, 2007 - January 5, 2007

Contents News Commentary TV DVD Reviews Pipeline Research Top 20 DVD Sellers Top 20 Rentals and Top 10 Charts Just Announced Hollywood Goes High-Def

Home Media Magazine - December 30, 2007 - January 5, 2007

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