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Old 08-Feb-2006, 17:38   #1
Carl B
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Default Sony Announces Blu-ray Movie Pricing

I don't know, I deliberated between putting this here and putting it in the 'general discussion area,' but as Blu-ray news often defaults to the 'console' forum due to it's role in PS3... well I opted for here. If a mod wants to move it though, by all means.

Quote:
...Sony Pictures yesterday announced wholesale pricing for film releases on the next-generation Blu-ray optical format. At $17.95 for catalog titles, Sony has claimed this price to be largely in line with what studios charged retailers at the debut of the DVD format back in 1997. New theatrical releases on the format will be sold at a slight premium to existing catalog titles, wholesaling for $23.45...

...In addition, Sony is considering bundling DVD movies with Blu-ray releases in a move similar to what they will soon be doing with UMD films. By charging nominally more for a Blu-ray movie whose case also includes it's DVD counterpart, Sony feels this strategy will allow consumers to build up their Blu-ray libraries in advance of an actual move to the new format - via a Blu-ray player purchase - while at the same time offering the customer a substantial discount relative to what seperate purchases of both the DVD and Blu-ray would amount to...
Article

That's honestly as good as I think anyone could have hoped for, and it was smart of Sony to put this information out there early.

PS - Thanks go to Koldfuzion for the heads-up on this news
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Old 08-Feb-2006, 17:49   #2
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Slow poke!

New thread doesn't hurt though.

I'm pretty happy with the pricing though (15-20% increase at the start, it seems).
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Old 08-Feb-2006, 17:53   #3
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Oh man, yeah Titanio kicked my ass there! I was even thinking of posting it in that thread, but I thought the purpose there was more for Blu-ray drive technology/seek-tme discussion.
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Old 08-Feb-2006, 19:22   #4
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if you think about it, umd movies cost 23euro here in the stores (belgium)
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Old 08-Feb-2006, 19:56   #5
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Just remember that these are wholesale prices, there is no telling what the retailers will charge once they are in stores. The question is how will these prices stand-up at Wal-Mart (the US' largest DVD retailer) who routinely prices new DVD releases at $15 retail?

Also, I think the other article mentioned that HD-DVD was going to wholesale at the same price, so the same question holds for them, as well.
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Old 08-Feb-2006, 20:06   #6
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I think the 'Internet economy' will help with that to an extent though - there's going to be someone somewhere pricing these movies barely above wholesale, if only to drum up business. I expect that more to be the case after PS3 launches, as I can easily envision a whole push to pander to the PS3 demographic as that installed base grows. I also expect a lot of the first year's worth of Blu-ray to consist of titles that, similar to the UMD titles, appeal to young men aged 25-32.

I think for the beginning of it's life though, Blu-ray will definitely carry a hefty premium, at least as long as it's relegated to movie stands that sit not with the main selection of movies, but stands that stand alongside the $1000 Blu-ray players.
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Old 08-Feb-2006, 20:07   #7
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Sony's going to start bundling UMDs with DVD movies? About f'n time, I say!

If they bundle a DVD with their BR movies that'll really rock too. I guess it'd put an end to two-disc DVDs tho as it might be difficult to fit three discs in a standard case, and the movie studios will likely think it "too expensive", despite the discs themselves cost pennies to make and sell for, well, magnitudes more.
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Old 08-Feb-2006, 20:10   #8
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I agree, I think the UMD/DVD thing is a smart move. In fact beyond Blu-ray/DVD and DVD/Blu-ray, I can easily envision Blu-ray/UMD down the line.

Here's the UMD/DVD MSRP and info:

Quote:
Sony has indicated that beginning March 28th, special DVD-UMD combination packs will be offered to consumers who would otherwise be looking to purchase seperately both the DVD and UMD editions of a film. Starting with "Crouching Tiger Hidden Dragon," "The Grudge," "Resident Evil," "Underworld," and the original "Terminator," Sony will boost the offerings on April 25th by adding "Mad Max," "Ghostbusters," "Snatch," and "The Fifth Element."

The suggested retail price for the combo packs will be $28.95, compared to the $19.95 normally associated with new UMD releases.

Sony expects that during May and the proceeding months, additional combination packs will be added to the roster.
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Old 08-Feb-2006, 20:26   #9
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Let the price battle begin.
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Old 08-Feb-2006, 20:27   #10
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Yeah but what the hell is Chronos?

I just think that's essentially a placeholder on Amazon's part. I certainly don't consider it to be indicative of what the norm will be.
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Old 08-Feb-2006, 20:28   #11
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Quote:
Originally Posted by xbdestroya
I agree, I think the UMD/DVD thing is a smart move. In fact beyond Blu-ray/DVD and DVD/Blu-ray, I can easily envision Blu-ray/UMD down the line.

Here's the UMD/DVD MSRP and info:



Link
Heh if they are going to try and charge $29 bucks for a crouching tiger combo pack, that's still ridiculous. (I paid less than $15 for that on dvd a while ago).
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Old 08-Feb-2006, 20:29   #12
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Quote:
Originally Posted by AlphaWolf
Heh if they are going to try and charge $29 bucks for a crouching tiger combo pack, that's still ridiculous. (I paid less than $15 for that on dvd a while ago).
I know, it still can't be qualified as cheap by any stretch - but it is cheaper than doing the purchases seperately - and doubtless over time the ~$30 price will slide to $25, maybe down to $20, etc...

I'm the last to say it makes UMD a compelling value - *but* - it does make it a better value.
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Old 08-Feb-2006, 20:34   #13
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Quote:
Originally Posted by xbdestroya
Yeah but what the hell is Chronos?
A movie, somewhat like Baraka... it'd probably look rather fantastic in HD (although, so would Baraka).
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Old 08-Feb-2006, 20:35   #14
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Here's a thought. The size of the BRD case is far larger than needed for a 5 1/4 " disk. Is there the possibility of forward planning for room for a UMD disc to fit in there too?
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Old 08-Feb-2006, 20:51   #15
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I can't see blu-ray taking off as fast as Sony might hope.

I doubt most consumers will know the difference or the benefit of blu-ray, especially considering HDTV is still in its infancy, couple that with slightly higher pricing and its going take a while to catch on.

They need to make all blu-ray movies double sided and have a standard dvd version on one side.

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Old 08-Feb-2006, 20:55   #16
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Quote:
Originally Posted by Shifty Geezer
Here's a thought. The size of the BRD case is far larger than needed for a 5 1/4 " disk. Is there the possibility of forward planning for room for a UMD disc to fit in there too?
Let's hope so Shifty, let's hope so.
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Old 08-Feb-2006, 20:56   #17
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Quote:
Originally Posted by GB123
I can't see blu-ray taking off as fast as Sony might hope.

I doubt most consumers will know the difference or the benefit of blu-ray, especially considering HDTV is still in its infancy, couple that with slightly higher pricing and its going take a while to catch on.

They need to make all blu-ray movies double sided and have a standard dvd version on one side.
How long do you think Sony wants Blu-ray to take off? Do you think they are giving themselves say 1 year? What 2 years? What do you think?
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Old 08-Feb-2006, 21:00   #18
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Quote:
Originally Posted by xbdestroya
Yeah but what the hell is Chronos?

I just think that's essentially a placeholder on Amazon's part. I certainly don't consider it to be indicative of what the norm will be.
Will maybe the norm is, old mvoies going HD=$24.99, while new releases and current hits will most likely be $29-34.99.

Quote:
Originally Posted by Shifty Geezer
Here's a thought. The size of the BRD case is far larger than needed for a 5 1/4 " disk. Is there the possibility of forward planning for room for a UMD disc to fit in there too?
Quote:
Sony also plans to bundle in DVD and/or UMD formats (not for free, dig?) with some BD releases as a key component of their marketing strategy. While this allows you to watch your new flick on multiple devices, it doesn't mean they've given up on managed copy. That's something they (and a few notable others) are "still working on."
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Old 08-Feb-2006, 21:08   #19
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Quote:
Originally Posted by GB123
I can't see blu-ray taking off as fast as Sony might hope.

I doubt most consumers will know the difference or the benefit of blu-ray, especially considering HDTV is still in its infancy, couple that with slightly higher pricing and its going take a while to catch on.

They need to make all blu-ray movies double sided and have a standard dvd version on one side.
Well, for this year it's supposedly going to be 50% of all new TV's sold in the US will be HD or something, going up from there in the followng years.

I think after HD-DVD and Blu-ray launch, there are going to be a lot of upselling opportunities on the storeroom floor when customers buy their TV sets, as well as fairly significant marketing campaigns to boot I imagine. I think the end result will be that by the end of 2006, a good share of the consumers that would be the target market of Blu-ray and HD-DVD to begin with, will know what they are.
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Old 08-Feb-2006, 21:24   #20
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Quote:
Originally Posted by xbdestroya
Well, for this year it's supposedly going to be 50% of all new TV's sold in the US will be HD or something, going up from there in the followng years.
That's not a particularly useful stat though. 50% of TVs sold may be HD, but how many sets is that? 20 million? Or 1 million? It also shows that customers are buying new TVs that aren't HD - they're not thinking of the future. I presume this is the price sensitive sector.

The more important figure is penetration. If 100% of EU TVs sold next year are HD, but that's only 1% of the populace buying new TVs, the penetration after one year will be a measily 1%.

The question of BluRay becoming successful is dependant primarily on the availibilty of cheap HD sets. As long as HD cost in the region of a grand, adoption isn't going to be that quick, as the cost of watching HD films will be HD player ($n hundred) + TV set...which is unlikely to drop below a thousand nicker in 18 months the way things are going.
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Old 08-Feb-2006, 21:26   #21
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Quote:
Originally Posted by xbdestroya
Well, for this year it's supposedly going to be 50% of all new TV's sold in the US will be HD or something, going up from there in the followng years.

I think after HD-DVD and Blu-ray launch, there are going to be a lot of upselling opportunities on the storeroom floor when customers buy their TV sets, as well as fairly significant marketing campaigns to boot I imagine. I think the end result will be that by the end of 2006, a good share of the consumers that would be the target market of Blu-ray and HD-DVD to begin with, will know what they are.
Well everyone is the target market, its all going to come down to where they set the price. IF they think they can get away with charging a 50% or more premium on non AAA movies they are going to be very disappointed. If they are willing to push the limits and get the price in line with DVD (dropping the price on DVD slightly), they might speed up acceptance, but I don't see $30 copies of DOOM in HD flying off the shelves this year or next.
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Old 08-Feb-2006, 21:33   #22
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Yea, AAA titles might be worth $30, maybe and those have to be the ones with lots of special effects and action, rather than the great story/romance movie.

I wonder what the prices would be if they bundle the DVDs in the Blu-Ray package.

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Old 08-Feb-2006, 21:39   #23
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Like shifty said.

If you think of the amount of people who have recently bought plasma tv's or standard CRT tv's, they won't want to buy another TV for at least another 5 years or so.

Buying a TV is a pretty big deal for most people.

Blu-ray's target resolution is 1080p isn't it ? and there are barely any TV's which currently support this resolution.

Quote:
How long do you think Sony wants Blu-ray to take off? Do you think they are giving themselves say 1 year? What 2 years? What do you think?
I have no idea.. but if PS3 is the tool they are going to use to get Blu-ray into a large amount of homes then i would say 2 years.

The thing with Blu-ray is that it is ahead of the technology to display it, unlike DVD was.

Anyone could get a DVD player and use it out the box regardless of what kind of TV you had.

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Old 08-Feb-2006, 21:40   #24
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Quote:
Originally Posted by AlphaWolf
Well everyone is the target market, its all going to come down to where they set the price. IF they think they can get away with charging a 50% or more premium on non AAA movies they are going to be very disappointed. If they are willing to push the limits and get the price in line with DVD (dropping the price on DVD slightly), they might speed up acceptance, but I don't see $30 copies of DOOM in HD flying off the shelves this year or next.
Well, everyone will be the target market eventually, but I think for the start of Blu-ray's life 'everyone' will be no more the target market for Blu-ray than 'everyone' is the target market for Ferrari's. (ok... maybe Mercedes)

Studios *must* be aware that it will be niche to a certain degree - and in that I do think PS3 will provide a good sell-through base, a la UMD and PSP, until things become more mainstream.

PS - By no means did I mean movies as bad as Doom - afterall, who in the demographic I described would pay even DVD prices for that film? In all honesty, I was thinking the 'Serenitys,' 'Star Wars,' and sure, 'Crouching Tigers' of the world. It's not so narrow a range really - it's just that it excludes Steel Magnolias and the like.
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Old 08-Feb-2006, 21:45   #25
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Quote:
Originally Posted by GB123
Like shifty said.

If you think of the amount of people who have recently bought plasma tv's or standard CRT tv's, they won't want to buy another TV for at least another 5 years or so.

Buying a TV is a pretty big deal for most people.

Blu-ray's target resolution is 1080p isn't it ? and there are barely any TV's which currently support this resolution.

The people who have thus far bought HDTV's are the clear minority - the people that will purchase HDTV's, the majority. Shifty made a great point in saying that 50% of the purchases is a great number, but how much does that number actually represent? 50% of what? That's true - it can't be all that high. Still though, it marks a shift in the consumer consciousness towards high def.

I mean I'm not going to lie, I own an HDTV and after I get my PS3, all movie purchases from there on out will be on Blu-ray. It's not that DVD may not still be a better value at the time even, it's just that I will consider all DVD alternatives to be 'sub-optimal' after that point in terms of available options. I don't want to be buying a DVD movie that even three years down the line I might want to replace, afterall. I'm not saying my choice will even represent the norm whatsoever, but there is a calculus for it.
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