Conferencia CES 2007 HD-DVD

HD DVD Studios Project $600 Million in Revenue for 2007; Market to Grow 40
Times the Rate of 2006

LAS VEGAS, Jan. 7 /PRNewswire/ -- At a press event today at the 2007
Consumer Electronics Show in Las Vegas, the companies of the North American
HD DVD Promotional Group recapped a strong year for the high definition
format, surpassing significant milestones for 2006, announcing more than
300 additional movie titles that will be available this year, for an
expected total of more than 600 titles worldwide. The group also revealed
compelling revenue and growth projections for HD DVD in 2007, and showcased
a live demonstration of the next level of internet connectivity to give
consumers a more personalized experience.
In just nine months time, "The Look and Sound of Perfect(TM)" has
struck a chord with consumers, showing strong movie title sales and high
attach rates. As of January 5th, there are estimated to be more than
175,000 HD DVD players sold in North America, with new models in high
demand. Using Nielsen data and retailer reports for title sales to date,
the HD DVD studios projected an annualized attach rate of 28 movies per
player. Based on an expected install base of more than 2.5 million players
by the end of 2007, the HD DVD Promotional Group estimates HD DVD movie
title sales to exceed $600 million in North America for 2007. This is more
than 40 times the revenue accrued in 2006 by the format.
"HD DVD is a well recognized brand name, and it's the best way for
consumers to make the transition from DVD into the high definition world,"
said Craig Kornblau, president of Universal Studios Home Entertainment and
chairman of the North American HD DVD Promotional Group. "Look at the
facts: HD DVD has the most reasonably priced players and drives on the
market, the highest quality picture and sound possible, and our hardware
sales and attach rates are high. By the holidays, we'll have more than 600
movies available globally, and offer an advanced level of internet
connectivity to drive HD DVD sales."
Attendees of the press event saw a live demo of HD DVD's new advanced
interactive features, working on both multiple PC platforms and consumer
electronics based players -- effectively showing the wide breadth of
support for these features. HD DVD titles with advanced interactivity will
take advantage of HD DVD's mandatory specifications for network
connectivity, secondary video decoders and persistent storage. Titles using
player memory as well as the secondary video encoder for picture-in-picture
were shipping throughout 2006, and titles using network connectivity are
expected to be available in 2007. Using Microsoft's HDi(TM) interactive
technology, the live demo showed how to save and share favorite scenes from
a movie with other HD DVD owners, and how to download HD trailers and other
content from the Internet. To date, HD DVD is the only format delivering
titles using true picture-in-picture.
Fueled by brisk sales of second-generation Toshiba HD DVD players, the
HD DVD drive for Xbox 360, and HD DVD-enabled Intel(R) Core(TM)2 Duo
laptops and desktop PCs from companies like Acer, HP, Niveus and Toshiba,
HD DVD's installed base is estimated to have exceeded 175,000 in North
America.
Several of the more innovative of the Asian manufacturers such as Alco,
Jiangkui/ED Digital, Lite-On, and Shinco will add competitively priced HD
DVD products to the market, and well-known brands such as Meridian and
Onkyo will create HD DVD players as well.
"With the addition of new consumer electronics companies to HD DVD,
we're predicting more than 2.5 million units in the market by the end of
2007," stated Yoshihide Fujii, president and CEO of Toshiba's Digital Media
Network Company. "This growing level of manufacturer support is a clear
result of HD DVD winning over enthusiasts and movie lovers alike."
Earlier today, Toshiba released news of the HD-A20, a 1080p HD DVD
player priced competitively at $599, offering a more affordable path to get
the highest resolution output. The players will be available in the U.S. by
Spring 2007.
Microsoft announced that the HD DVD player for the Xbox 360 video game
console continues to sell rapidly at $199, bundled with the Universal
Studios title "King Kong." Microsoft executives stated that the company
will continue to manufacture players for the Xbox 360 to keep up with
expected demand from gamers in 2007. With the knowledge that every Xbox 360
HD DVD player sold is purchased by someone who wants to watch high
definition movies, studios supporting HD DVD see significant value in the
player, as a great way to bring "The Look and Sound of Perfect" to gamers
while helping ensure strong movie attach rates for each and every player
sold.
Of the more than 41 studios and distributors supporting HD DVD
worldwide, Warner Home Video, Paramount Home Entertainment, Universal
Studios Home Entertainment, HBO Home Video, New Line Home Entertainment,
Genius Product, Inc., The Weinstein Company, Studio Canal, and Bandai
Visual, one of the largest animation companies in the world, collectively
announced more than 300 additional HD DVD titles will be released this
year. The list included acclaimed hits such as: "The Departed," "The Good
Shepherd," "Flags of Our Fathers," "Babel," the entire "Harry Potter"
series, "The Matrix" trilogy and "Blade Runner". Hit TV series will also
appear on HD DVD, including "Battlestar Galactica," "The Sopranos", and the
original episodes of "Star Trek," which have been digitally remastered.
Another reason consumers are finding the transition from DVD to HD DVD
easy and compelling is the release of many of the most anticipated day-and-
date releases on "combo discs" -- with an HD DVD version on one side, and a
standard DVD version on the other. This combo feature, unique to HD DVD,
gives consumers the option of building their library of HD DVDs before they
purchase an HD DVD player, and lets consumers buy one movie that will play
on HD DVD players as well as in standard DVD players elsewhere in the home
or in the car. The release of combo discs was another milestone the HD DVD
camp promised from CES 2006.
As the official successor to DVD, HD DVD is successfully building on
the heritage of the most successful consumer electronics format ever. An
important element of the group's strategy was a nationwide, 18-wheeler tour
known as the HD DVD Mobile Experience. Over five months, the Mobile
Experience helped educate more than 25,000 consumers on the benefits of HD
DVD, showcasing stunning 1080p movie experiences in a home theater, with
PCs and laptops, and through the Xbox 360. New scenarios continue to be
added, including a concept demonstration by Alpine of an HD DVD player
system for use in vehicles. The Mobile Experience will be featured inside
the Main Hall at CES (booth #7914).
About HD DVD
HD DVD is the next generation, post-DVD standard for high capacity,
high definition optical discs, approved by the DVD Forum. The DVD Forum
develops and defines DVD formats. Its more than 200 strong membership
brings together leaders in movies and entertainment, computing, consumer
electronics and software. HD DVD is fast becoming the primary visual medium
for the age of high-definition TV. The North American HD DVD Promotional
Group, Inc. is an organization established to promote the HD DVD format and
educate consumers in North America. For more information and a complete
listing of HD DVD launch titles please visit
http://www.TheLookAndSoundOfPerfect.com.

SOURCE North American HD DVD Promotional Group