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Best Buy to recommend Blu-ray and Netflix goes exclusive

Fred Derf   via Reuters on 12 February 2008 - 01:41 · 31 comments & 25565 views

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Thanks to Loppdawg69 for the Netflix email (see the extended news page).

BestBuy, the largest U.S. consumer electronics chain, said on Monday it will recommend that consumers choose Sony Corp's Blu-ray high-definition video format. The decision gives Sony yet another victory in the battle with Toshiba Corp's HD DVD to be the high-definition DVD format of choice. A few hours earlier, online video rental company Netflix Inc said it would exclusively stock Blu-ray DVDs after some of the world's biggest movie studios decided in favor of that format. Best Buy said it believes consumers will benefit from the choice of one HD movie format.

"Because we believe that Blu-ray is fast emerging as that single format, we have decided to focus on Blu-ray products," Brian Dunn, Best Buy's president and chief operating officer, said in a statement.

You're receiving this email because you have asked to receive high-definition movies in the HD DVD format. As you may have heard, most of the major movie studios have recently decided to release their high-definition movies exclusively in the Blu-ray format. In order to provide the best selection of high-definition titles for our members, we have decided to go exclusively with Blu-ray as well.

While we will continue to make our current selection of HD DVD titles available to you for the next several months, we will not be adding additional HD DVD titles or reordering replacements.

Toward the end of February, HD DVDs in your Saved Queue will automatically be changed to standard definition DVDs. Then toward the end of this year, all HD DVDs in your Queue will be changed to standard definition DVDs. Don't worry, we will contact you before this happens.

You can click here to change your format preferences.

We're sorry for any inconvenience. If you have any questions or need further assistance, please call us at 1 (888) 638-3549.

-The Netflix Team

info@netflix.com

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#1 lylesback2 on 12 Feb 2008 - 01:44
I heard this earlier today. I guess they just dug HD-DVD up from the dead, just to slap it once more, and re-burry it.
(3 replies) #2 theyarecomingforyou on 12 Feb 2008 - 02:00
Every step seems to take us closer to a Blu-ray only future... I just wish the industry would hurry up about it.
#2.1 Fred Derf on 12 Feb 2008 - 02:07
(theyarecomingforyou said @ #2)
Every step seems to take us closer to a Blu-ray only future... I just wish the industry would hurry up about it.

Today alone put a few more nails in the HD-DVD coffin. It's hard to imagine any sort of comeback now even if they start to give the players away.
#2.2 JoeC on 12 Feb 2008 - 02:10
I dunno, giving the players away would certainly make me side with HD DVD
#2.3 testman on 12 Feb 2008 - 10:26
(JoeC said @ #2.2)
I dunno, giving the players away would certainly make me side with HD DVD

Why, you wouldn't have any new films to play on it so what would be the point?
(1 reply) #3 pjak on 12 Feb 2008 - 02:10
believes consumers will benefit from the choice of one HD DVD format.

that read is quite confusing - it's either HD DVD or Blu-ray, right?
probably best to say HD movie format, instead
#3.1 Fred Derf on 12 Feb 2008 - 02:18
(pjak said @ #3)
believes consumers will benefit from the choice of one HD DVD format.

that read is quite confusing - it's either HD DVD or Blu-ray, right?
probably best to say HD movie format, instead

I agree. I remember when I read the source article I choked on that one too. I just edited my article.
#4 Novaoblivion on 12 Feb 2008 - 02:43
Good news the sooner the war is over the better. I would imagine that both of these are pretty massive blows to hd-dvd. I have been getting Blu-rays from Netflix for a while .
(5 replies) #5 vetKoDeXeRo on 12 Feb 2008 - 03:17
hook, line and sinker. its over now



LOL - wanted HD DVD to win but i'm also happy that ONE format is winning so that i can start my HD movie collection again
#5.1 +Ironman273 on 12 Feb 2008 - 04:03
True. It's a shame the "worse" format won, but at least one of them finally did. The same thing happened with VHS vs. Beta and we survived.
#5.2 DaveBG on 12 Feb 2008 - 12:04
(Ironman273 said @ #5.1)
True. It's a shame the "worse" format won, but at least one of them finally did. The same thing happened with VHS vs. Beta and we survived.


Are crazy? haven't you seen single comparison table??? Blu-ray is way way better than hd dvd...
#5.3 EcPercy on 12 Feb 2008 - 12:18
(DaveBG said @ #5.2)
Are crazy? haven't you seen single comparison table??? Blu-ray is way way better than hd dvd...


What makes Blue Ray better exactly? Space? Higher Bitrate?? It's been proven time and time again when you have a release thats on both formats that they look identical....

So being boned with profile 1.0, 1.1, 2.0, and probably 2.1 or 3.0 makes the format better????? Expensive players so it must be better.

Netflix made a very bad decision here, but it's OK. I am not going to cancel with them. I will continue to get my HD DVD movies until they stop sending them. After that I will just continue with DVD. I will not buy Blue Ray. I will also continue to buy HD DVD movies when the 50% off and BOGO sales happen.

Thankfully, my HD DVD collection will still play. I will wait on the set-top box from netflix and then just stream movies.
#5.4 +Ironman273 on 12 Feb 2008 - 13:54
(DaveBG said @ #5.2)
(Ironman273 said @ #5.1)
True. It's a shame the "worse" format won, but at least one of them finally did. The same thing happened with VHS vs. Beta and we survived.


Are crazy? haven't you seen single comparison table??? Blu-ray is way way better than hd dvd...

No, it's not better. As was mentioned before, the image is exactly the same, the space is a non-issue with what was going to be the newer HD discs and HD DVD was a fully functional format. Even the Blu-Ray camp admitted they released the format early without being complete because HD-DVD was coming out and they had to release something. It's moot anyways. We're stuck with Blu-Ray and it will evolve into the next gen movie format.
#5.5 Jugalator on 12 Feb 2008 - 23:07
(EcPercy said @ #5.3)
(DaveBG said @ #5.2)
Are crazy? haven't you seen single comparison table??? Blu-ray is way way better than hd dvd...


What makes Blue Ray better exactly? Space? Higher Bitrate?? It's been proven time and time again when you have a release thats on both formats that they look identical....

Well.. Except for storing data on the discs. They're hardly identical there.

I'm just waiting for the prices to come down a bit more on the recordable discs. I guess they will eventually, especially if the business start daring to focus on a single format for better production volumes.
#6 Joni_78 on 12 Feb 2008 - 04:42
Paramount and Universal are in deep s*** now.
(3 replies) #7 dvb2000 on 12 Feb 2008 - 08:32
A retailer "recommends" the most expensive product, which it makes the most profit & commissions from.

wow thats NEWS
#7.1 Julius Caro on 12 Feb 2008 - 09:18
More expensive doesn't always mean more profits for the retailer. It all depends on what price they purchase the goods from the manufacturer.
Hardly anything to do with that. They possibly got paid, or actually see a blu future, like... every other one
#7.2 +macf13nd on 12 Feb 2008 - 12:04
there is that.

however, you think we get p'd off about which format to choose? retailers have to be very careful about who they back. consumers are muppets - a simple unified approach is key to marketing so taking a stance one way or another is, imo, mandatory for a company like BB. They had, therefore, two options - back HDDVD or BR. Which one would you choose given recent developments?
#7.3 Jugalator on 12 Feb 2008 - 23:09
(dvb2000 said @ #7)
A retailer "recommends" the most expensive product, which it makes the most profit & commissions from.

And with market support.
#8 ALUOp on 12 Feb 2008 - 09:53
Die HD-DVD, please die NOW!
(7 replies) #9 ahhell on 12 Feb 2008 - 12:01
Of course they will recommend Blu-ray players....they cost 2 to 3 times as much. BB also recommends $129 HDMI cables.
#9.1 paesan on 12 Feb 2008 - 12:35
(ahhell said @ #9)
Of course they will recommend Blu-ray players....they cost 2 to 3 times as much. BB also recommends $129 HDMI cables.


Price of a product has nothing to do win the profit margin of that product. I do agree though that those hdmi cables are way over priced.
#9.2 phiberoptik on 12 Feb 2008 - 14:06
(paesan said @ #9.1)
(ahhell said @ #9)
Of course they will recommend Blu-ray players....they cost 2 to 3 times as much. BB also recommends $129 HDMI cables.


Price of a product has nothing to do win the profit margin of that product. I do agree though that those hdmi cables are way over priced.


Wahhh? Wait...

Your saying the "Price of a product has nothing to do with the profit margin"?

Wtf are you smoking.... thats the whole point of the profit... MFG cheap, and sell high.

I hope you don't own your own business.. rofl.
#9.3 Skwerl on 12 Feb 2008 - 15:59
(phiberoptik said @ #9.2)
Wahhh? Wait...
Your saying the "Price of a product has nothing to do with the profit margin"?
Wtf are you smoking.... thats the whole point of the profit... MFG cheap, and sell high.
I hope you don't own your own business.. rofl.


What he's saying is that an item with a $500 price tag won't necessarily net the retailer as much profit as an item with a $50 price tag. Use your head before posting.
#9.4 winmoose on 12 Feb 2008 - 17:55
What he's saying is that an item with a $500 price tag won't necessarily net the retailer as much profit as an item with a $50 price tag. Use your head before posting.


Umm what? Ok, maybe not *necessarily*, but pretty much every time more expensive products make the same % profit, and therefore more profit.
#9.5 Skwerl on 12 Feb 2008 - 19:40
(winmoose said @ #9.4)
Umm what? Ok, maybe not *necessarily*, but pretty much every time more expensive products make the same % profit, and therefore more profit.


What's your source and figure for "pretty much every time?" You are making assertions, but you don't seem to know what you're talking about. Keystone markup isn't all there is! There are plenty of microeconomics books out there, and some of them are even on-line.
#9.6 QuarterSwede on 13 Feb 2008 - 04:24
(winmoose said @ #9.4)
What he's saying is that an item with a $500 price tag won't necessarily net the retailer as much profit as an item with a $50 price tag. Use your head before posting.


Umm what? Ok, maybe not *necessarily*, but pretty much every time more expensive products make the same % profit, and therefore more profit.

Actually, with electronics it's usually the opposite. More expensive items use net LESS. They're just darn expensive to make in the first place.
#9.7 winmoose on 14 Feb 2008 - 14:00
What's your source and figure for "pretty much every time?" You are making assertions, but you don't seem to know what you're talking about. Keystone markup isn't all there is! There are plenty of microeconomics books out there, and some of them are even on-line.


Do you think a Car gets more or less profit than a can of beans?

Exactly, a car retailer isn't aiming for 2p profit per item. A bean retailer does. I don't have sources to back up the blindingly obvious.

I'm not talking theory, I'm talking real life.
#10 +Octol on 12 Feb 2008 - 18:07
Ha! I just bought a Samsung BD-UP5000 Blu-ray/HD-DVD player [at Best Buy!], so I don't really give a damn which format wins!
#11 +Chrono951 on 12 Feb 2008 - 20:08
I wish HDDVD would just concede now and be done with it. There's no point in dragging this out any longer.
#12 semifamous on 12 Feb 2008 - 21:56
So basically, Netflix is saying that they're going to provide the movies that the studios are selling.

Um... Duh?

If nobody's putting out HD-DVD, Netflix can't very well provide it, can they?

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