DVD Burners Will Continue to be Dominant Volume Optical/Removable Product Until 2011, But Significant Momentum for HD DVD and Blu-Ray Disc is Building, IDC Says

While DVD burners will continue to be the dominant volume product of the optical/removable storage market until 2011, due to commodity prices and almost universal compatibility, next-generation drives are ramping up, according to IDC. Significant momentum is building behind the blue laser formats: HD DVD and Blu-ray Disc (BD). Marketing activities of both camps are accelerating, and more and more companies are joining one of the two or both format groups.

"Similar to DVD and DVD burners, blue laser DVD will need a three- to five-year ramp to reach mass-market volumes," said Wolfgang Schlichting, research director for Removable Storage at IDC. "HD DVD needs to aggressively push volumes to neutralize BD's advantage in support from consumer electronics (CE) and content companies."

Other key findings include:

• Continued PC market growth will give the CD/DVD market a positive outlook in 2007 and beyond. This is especially true for slim drives for laptop PCs.
• Blu-ray disc needs to maintain support from its impressive lineup of consumer electronics (CE) and content companies, ensure that PS3 generates additional momentum, and stay within reach on product pricing.
• HD DVD needs to show a clear price advantage over BD products, be more consumer friendly in terms of moving/accessing content, and provide easy licensing to second tier manufacturers.

Source: BusinessWire.