Think DVD “packaged” entertainment is a thing of the past? Think again…this piece notes that demand for Blu Ray discs is expected to jump dramatically now that Toshiba/Microsoft’s DVD HD technology has thrown in the towel. Sony alone is ramping up to produce 38 million discs per month – roughly two-thirds of global demand as currently forecast. Let’s assume that’s the entire market and that each disc generates 5 dollars in profit for the studios – that adds up to about 2 billion dollars per year. And that is on top of the non Blu Ray revenues although those are likely to slide as Blu Ray comes online. Of course, as it currently stands 80% of that revenue is off the table when it comes to workers in the EMI sector – who to date have been unable to break into the so-called “distribution” side pile of cash earned by the studios.
Mousetrap Technology – Times Online – WBLG: Where are all the Blu-ray discs?