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The End of Physical Media

L-s-L69 writes "The register is reporting that Forrester is predicting that a third of all music sales will be made by downloads in the next five years. They also predict that almost 15 per cent of films will be viewed by "on-demand" services such as rather than by DVD or video by 2005. "

50 of 331 comments (clear)

  1. Really? by mgcsinc · · Score: 5, Insightful

    So here's the question: what effect do these predictions have on the ways in which companies in control of these industries approach their market? Do companies move to prevent the predicted move to electronic means or do they embrace it because of it's new seeming inevitability? Or has Forrester taken the very effects of its own findings release into account? And if so, might companies recognize this and try to undermine the research adjustment by acting differently than it otherwise would. Don't you just love how these silly little viscous cycles can come out of attempts at predicting trends in a market so easily controlled?

    1. Re:Really? by Anonymous Coward · · Score: 5, Interesting

      I think they just project the last five years onto the next five years, and if you do that then the findings aren't unreasonable. On the other hand you could point out that PDF has been around for ten years and grown explosively, but hasn't replaced printed media yet.

      I think what these guys keep confusing is that CONSUMING and COLLECTING are two different mindsets, and physical media will always have a market for those of us who like to accumulate.

    2. Re:Really? by QuackQuack · · Score: 5, Insightful

      Pretty much.

      Who keeps track of what Forrester and Gartner predicted in the past? It would be pretty funny to see what they predicted the world would be like now five years ago. IIRC, Gartner said that we'd all be using NT now, and Linux would be nowhere.

      I think the real value in these analysts are for companies who these trends favor. For example, a company who owns a piece of digital music sales can say "Forrester says 1/3 of all music sales will be digital." This helps attract customers and investors.

      --
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    3. Re:Really? by Jonny+Royale · · Score: 4, Insightful

      I don't think they're waiting until "all hope is lost". I do think, however, that they're going to continue with the lawsuits & status quo until they find a way to make a closed distribution system that they can control.

    4. Re:Really? by smallpaul · · Score: 5, Interesting

      PDF is less convenient (to read) than physical media. But MP3s are more convenient (to listen to) than physical media. That's why people rip even CDs that they own into their MP3 players

      People who collect MP3s are also collectors. I definately feel more like a collector when I occasionally log onto a P2P system then when I am in a CD store. While I am in the P2P system it is pure hunting and gathering with no concern about cost. When I am in the CD store it is about deciding which of the CDs are worthy my hard earned money (and let's not forget the space they take up in my CD rack).

      On the one hand it is cool to look at my rack and see the stuff I own summarized nicely. But on the other hand, physical media is a pain in the ass. CDs and DVDs are really poorly designed media. Way too fragile. For DVDs: too many silly restraints about skipping FBI warnings and advertisments. For CDs: not enough information density.
      If I could leave that all behind I probably would.

    5. Re:Really? by jayackroyd · · Score: 4, Insightful

      Yeah. That "next five years" thing is a good trick. They've got, what, two or three year's of useful data? And from that they make five year projections. Reminds me of the first round of pen-based computing. In 1989/90, we're five years away from the death of the keyboard.

    6. Re:Really? by fishbowl · · Score: 4, Interesting

      "PDF has been around for ten years and grown explosively, but hasn't replaced printed media yet."

      It hasn't completely replaced printed media, or replaced it everywhere, but it has replaced printed media to an extent. I routinely receive products with no printed manual, but either a PDF on a CD or else just on a website somewhere.

      --
      -fb Everything not expressly forbidden is now mandatory.
    7. Re:Really? by anon*127.0.0.1 · · Score: 3, Insightful

      Physical media will always have a market, but will they always be available? I can easily foresee a future where ppv and on-demand have achieved such market penetration that content providers no longer find it necessary to release products for sale at the consumer level. They'll try to keep you hooked on paying rent for the same virtual product over and over and over...

      --
      I am NOT a man!
      I am a free number!
    8. Re:Really? by tambo · · Score: 3, Insightful

      Ah, but you misjudge the *AA mindset.

      DVD is great for consumers - for a (quite reasonable) one-time fee, we get permanent ownership of media. We get to watch it infinitely; we get to show it to others; we get to sell the DVD if we don't want it.

      That's great for us, but the MPAA hates that part. They're all about limiting our uses of their media for their advantage. Even DVD has media controls - they can explain away Macrovision as preventing VHS copying, but what about region coding? They really wanted DIVX to succeed, but consumers balked and the technology wasn't there. They would have loved a DRM-based mechanism, where the DVD only plays in one player.

      Why is the MPAA so crazy about controlling its media? Easy - profit maximization. C'mon, they're the kings of repeatedly profiting from the same medium! How many versions of Star Wars were released? Like, 20? We even had three separate VHS releases. DVD is even worse: first the DVD, then the SE/LE/Superbit/Director's Cut, then the Limited Edition with the funky packaging...

      Take this to its next logical step. In the broadband/Palladium era, instead of selling you the DVD for $15, the MPAA will have the option of charging you:
      (a) a $20 annual subscription fee;
      (b) a $20 fee for an ad-free media player on your computer, or a $100 fee for a set-top (pirate-proof) device for your TV; and
      (c) a $5 fee for each viewing of the movie, plus
      (d) a $2 fee for accessing the special features for a 24-hour period.

      Meanwhile, you can't publicly criticize the films or take screen captures without jeopardizing your subscription license ("The MPAA hereby exercises its option under the contract, part XXIV(c)(iii)(a)(2), to withdraw your license to its copyrighted material...")

      End result: The movie industry doesn't sell you content and move on. They nickel and dime you for the privilege of viewing their entire library at rental fees. Even Gigli breaks even. They'd be suckers not to do it.

      Why hasn't this happened so far, you ask? The MPAA hasn't had the technology available to offer such an option.

      Why would we accept this option, you ask? Same reason you rolled over and accepted a $4 charge for Caller ID. They'll raise the prices on DVDs to something absurd, or they'll stop selling them altogether. So, you can take the option they give you, or you can choose never to see a movie at home again.

      - David Stein

      --
      Computer over. Virus = very yes.
    9. Re:Really? by Anonymous Coward · · Score: 3, Funny

      About predictions, I'm still waiting for the paperless office and the U.S. converting to the metric system, as predicted in the 70's

    10. Re:Really? by Jack+Auf · · Score: 4, Interesting

      Five years ago the MegaCorp I worked for at the time was just beginning a merger with another MegaCorp. At that time we had almost completed our Win3.11->Win NT4 migration. The other company had gone from Netware/Win3.11 to Netware/Win95.

      The PHB's at the other company spent a large amount of time and energy lobbying our CIO to go with Netware for everyone. One of their key points was the fact that Gartner had stated in several research papers about that time that Netware was going to be around for quite sometime and was a viable long term technology strategy for the corporate IT environment.

      Riiiiight.

      --
      "They that can give up essential liberty to obtain a little temporary safety deserve neither liberty nor safety" - BF
    11. Re:Really? by wirelessbuzzers · · Score: 3, Interesting

      Sounds more like a hardware problem than a XP problem.

      I'm not sure actually. I can boot Knoppix on it fine, and it runs for as long as I tested it without panicking or anything, which means that if it's a hardware problem, it's probably the hard drive. The hard drive scans fine with CHKDISK, but that doesn't mean it's not occasionally encountering failures. Right now, it usually either bluescreens on boot with a "can't page in" type error, or else it gives "No bootable media found", which certainly hints that it could be the HD. Sometimes it boots fine, but usually crashes pretty quick.

      OTOH, she was hit by blaster, and probably installed several trojans (she sometimes gets popup ads on the desktop), and generally does not run a tight ship, so the system could just be h0sed.

      I suggested that she either take it into the shop, or else back it up (this would be via ethernet to someone else's computer, as she has no CDR), wipe the hard drive, and reinstall.

      --
      I hereby place the above post in the public domain.
  2. Video On Demand by notbob · · Score: 5, Interesting

    I've used the on demand viewing for at home, but haven't been 100% happy with it.

    The whole pause, fast forward, etc... is laggy and inaccurate. I don't like it.

    I don't like only being able to watch it for 24 hours, give me lifetime viewing for 15$ then we're talking.

    As of right now it's just a waste of money as always.

    1. Re:Video On Demand by Shenkerian · · Score: 4, Insightful
      On-demand viewing is going after the rental market, not the DVD collector market.

      I share your beefs with the user experience, but those can and probably will be resolved as the technology is refined. Cable box DVR's, e.g., could allow local caching for smoother rewind and fast forward.

      --
      You tell me how "whilst" differs from "while," and I'll stop calling you a pretentious jackass.
    2. Re:Video On Demand by whatch+durrin · · Score: 4, Interesting
      For many, paying for the on-demand movie is preferrable to making a trip to the video store. Especially when the price is the same.

      I haven't had any problems with the pause/fast forward in on-demand. I only go to the video store now when on-demand isn't showing a particular movie I want to see.

      And if you want lifetime viewing, buy the physical media. Would you actually trust the cable company to "remember" you have lifetime viewing rights anyway?

      --
      ***
      Radio Shack. You've got questions...we've got blank stares(TM).
    3. Re:Video On Demand by 68K · · Score: 4, Interesting
      For many, paying for the on-demand movie is preferrable to making a trip to the video store. Especially when the price is the same.


      Kinda.

      I've used video-on-demand on my satellite box, but it isn't the same as going to Blockbuster. The satellite transmission is limited to Dolby Pro Logic sound at best (because that can be encoded into a stereo stream), so no Dolby Digital or DTS sound for you. Also, the movies are normally shown in the 4:3 aspect ratio. They have a couple of channels carrying widescreen versions, but the choice is far more limited. Oh, and the TV channels have less bandwidth to play with, so the overall quality suffers.

      That's my experience with Sky in the UK, at least. I'll watch something on pay-per-view for the convenience of it, but if I really like it, I'll get it on DVD for the better quality picture and sound.

      I *like* having CD and DVD racks stuff with discs. Shows me where a lot of my money is. I don't think I'd ever be happy having it all stored as licence keys on my PC.
    4. Re:Video On Demand by BrokenHalo · · Score: 3, Insightful
      As I understand it, the original post was referring to music sales.

      If "they" seriously want to push this angle, they will be disappointed with the result. People want media they can take anywhere. I, for one, absolutely insist on being able to listen to Bach's 2nd Partita for unaccompanied violin while sitting in a rowing boat in the middle of the Pacific Ocean.

      Never mind how I'm supposed to get there :-)

      Most people do not have the resources to lug their broadband connections around on their backs. Most people, in fact, don't have broadband connections at all.

    5. Re:Video On Demand by BrokenHalo · · Score: 3, Insightful
      Would you actually trust the cable company to "remember" you have lifetime viewing rights anyway?

      That's assuming the company continues to trade throughout your lifetime. Also assuming they don't decide to change the rules and hit you in the pocket anyway as a matter of policy.

    6. Re:Video On Demand by cens0r · · Score: 3, Insightful
      I do have a problem with in-demand. Maybe I'm not the average user but I much prefer the video store. My problems are as followed:
      • The selection sucks. If it wasn't a recent blockbuster I'm not going to get to see it on PPV. Some days I might want to see the matrix. But other days I'd like to see something like spellbound.
      • The quality sucks. They compress the shit out of all my channels on comcast. It's only gotten worse since they added more HD content. The DVD simply looks better.
      • Only a few of the movies are actually in OAR. I will not watch any movie that has had it's aspect ratio changed. It makes me sick to do so. Usually only those movies that are in widescreen are broadcast in DD5.1. So, a small list gets even smaller
      --
      Jack Valenti and Orrin Hatch will be first up against the wall when the revolution comes.
  3. Is this really a good thing? by Eric+Ass+Raymond · · Score: 5, Interesting
    Is this really a good thing?

    I mean in the worst case scenario this will only mean pay-per-view and draconian DRM.

  4. Still need physical media by Anonymous Coward · · Score: 3, Insightful

    After you download the movie/music, you still need physical media to store it. It may be your hard-drive or your CD-ROM. The title sounds almost like you store the files in thin air.

  5. I agree, except... by mschoolbus · · Score: 5, Funny

    The register is reporting that Forrester is predicting that a third of all music sales will be made by downloads in the next five years.

    I wouldn't go as far as to say 'sales'...

  6. Profit shifts by Empiric · · Score: 4, Interesting

    I believe this will in fact happen, and the ironic thing here is that a lot of the customer's dollar (yen, etc.) will be shifted to the bandwidth providers, rather than the creator of the content. This is really the opposite of the renaissance for artists internet distribution was hoped to provide.

    (Related one-time-no-financial-interest-rant: How many hours of quality reading do you get in a week on Slashdot? Toss your five bucks into the hat already...)

    --
    ~ Whence do you come, slayer of men, or where are you going, conqueror of space?
    1. Re:Profit shifts by Shalda · · Score: 3, Insightful

      Bah. Production and distribution in both new and traditional media are marginal costs. The money is in controling the distribution chanels and the marketing. Any band could get a half million CDs made. The trick is getting radio stations to play your song and Best Buy to stock the disc (in a prominent location). The bandwidth providers are a commodity. The money will still flow to who has the power to decide what gets heard.

  7. No more paper too! by rajinikanth · · Score: 5, Funny

    Paperless offices are a reality! No more paper used at offices! News at 11.

  8. Overpriced Services by Brahmastra · · Score: 4, Interesting

    Services such as OnDemand on cable are way too over-priced. It's usually $3.95 per movie. I'd much rather buy a used DVD for 10 bucks instead. It's the same reason I never rent anything from Blockbuster (Overpriced American movie rental store). I don't see DVDs dying anytime soon. It may get marginalised like VHS in a few years, but it is unlikely to "end" as mentioned in the title

  9. The End of Physical Media? by villain170 · · Score: 4, Interesting

    How is this the end of "physical" media? So is this stuff just going to be stored on nothing? It's rather misleading.

    --

    I am over here... now I am back over here!
    1. Re:The End of Physical Media? by kfg · · Score: 4, Insightful

      Well yes, that's their hope. If you can't store it on anything than you have keep paying for your connection and pay again every time you watch something.

      The media kills your wallet with a financial death by 1000 cuts.

      What's more is the fact that "on demand" viewing is a push model disguised as a pull model. They who control the pipe get to control that which is available to you for your "demand." Think Clear Channel and the pop music machine become endemic to all media.

      Of course this will only work if your media is taken from you or rendered usless by force, because, of course, what you want downloadable media for in the first place is to record it to permenant media for viewing, well, on demand. Like maybe on your boat 10 miles out of sight of land or your mountain getaway cabin or wherever.

      Sure people want the convienience of on demand media from home, so they can record the shit on cheap, free and open storage media.

      Never underestimate the bandwidth of a cupboard full of tapes, CDs and DVDs. Not to mention the fact that such are true on demand media.

      KFG

  10. Re:such as what? by SuperBanana · · Score: 4, Funny
    ... viewed by "on-demand" services such as rather than by DVD

    Such as what?

    Well, the story submitter put something there, but we're not licensed to view it. Sorry.

    Don't feel bad. In a day or two, he won't be able to view it either.

  11. news? by NetMagi · · Score: 4, Funny

    How is this new? I've been getting 100% of my pr0n online now for almost 8 years!

    Heck, I've even got my 51" tv hooked up to a computer for pr0n viewing, and for chrissake. .I'm married. I can only imagine what you single guys are doing !!

    :)

    1. Re:news? by Anonymous Coward · · Score: 5, Funny

      We're single, we can still have sex.

  12. Obsolete or just used differently? by immel · · Score: 5, Insightful

    The article says that CDs and DVDs will become obsolete. I think this is wrong. There will always have to be at least one hard copy that can't easily be deleted. Moreover, it says that people have already started to shun buying CDs. People haven't stopped buying CDs, they are just buying more blank ones. For those who see no need to spend several hundred dollars for an MP3 player in their home stereo or car, and then spending all the time and frustration installing it and syncing it with their PC, burning downloaded music onto CDs is a very viable alternative.

    --

    10 Bits= $.25
    100 Bits= $.50
    110 Bits= $.75
    1000 Bits= 1 byte
  13. Sound Quality by mopslik · · Score: 4, Informative

    ...a third of all music sales will be made by downloads in the next five years...

    Hooray, five years of tinny-sounding 128-kbps MP3s rather than properly sampled CD-audio tracks!

    MP3s are great because they're portable, but they still don't sound as good as compact discs. Never mind the fact that downloading an entire MP3 album pretty much requires broadband to start with.

  14. Hmmm by fleener · · Score: 3, Interesting

    Hmmmm, digital downloads and on-demand content with draconian DRM restrictions? The end to CDs and DVDs? Not bloody likely. People want to own what they buy and they want to be able to share it. People will reject content which is "delivered" (always in transit) instead of controlled and owned. Recording VCRs and rental stores were a boon for Big Hollywood, despite Hollywood's whining. Sharing and pirating generate sales, not stifle them. When will Hollywood learn?

  15. HomeChoice by deepstephen · · Score: 5, Informative

    I used to have HomeChoice at home, and it was excellent. The only reason I stopped using their service was because I moved out of the area they cover, and I miss them very much.

    They use a DSL line with a set-top box which splits the signal into two parts: one for video on demand, and the other to plug your computer (or network) into. The video service has an archive of TV programmes in all kinds of genres, as well as music videos and the most recent news bulletins from a variety of sources.

    Plus you can also 'rent' movies from them, just by clicking a few buttons. You get to play it as much as you like for 24 hours and the cost is comparable to (if not better than) the Blockbuster round the corner. You can pause, fast-forward, rewind, no problem. It works great.

    It's fast, very usable, convenient, cheap and it works. I have seen the future and it is video on demand. And no they're not paying me to say this. :-)

    --

    --
    Karma: Chameleon (you come and go)
  16. Costs, hard copies and piracy. by Channard · · Score: 4, Interesting
    Call me a stickler but I'd much rather have a an actual proper DVD/CD/VHS than a burned DVD or virtual copy. From a financial point of view, providing purely digital online copies of songs/movies will make them much easier to copy and share. Currently - allegedley - if you want to perhaps share a movie you have to rip it, encode it to a managable size and then send it on, a good few hours of work/processor time.

    With a digital copy it'd be just a matter of decrypting the file, sending it along and there you go. If DeCSS was the best the industry could come up with then I don't forsee any online media protection scheme being hard to crack.

    And as for the reduction in costs being passed on to the end user? Doubtful - they'll just be absorbed as profit because if people are happy to pay current prices, why reduce them? CDs were cheaper to produce than tapes yet are more expensive.

  17. physical media == more bandwidth by tuffy · · Score: 4, Insightful
    A dual layered DVD holds ~8 GB(?) of data. Assuming it takes half an hour to drive to the store, buy one, and return, that's ~4.5MB/second. If I buy more than one DVD, the rate is even better. Cable TV delivers more varied content, but little of it is on-demand and the quality doesn't approach DVD. Pay-per-view content hasn't taken off in the 10 years I've had it available, and doesn't look like it's going to anytime soon.

    My guess is that broadcasted (cable/airwave) media and physical media will always coexist to fit different niches in the marketplace to fulfill different needs.

    --

    Ita erat quando hic adveni.

  18. /. states that The Register reports that ... by burgburgburg · · Score: 4, Funny
    Forrester predicts the end of physical media.

    I'm commenting on /. stating that the Register reports that Forrester predicts the end of physical media.

    I disagree.

    Now others might agree/disagree about my commenting on /. stating that the Register reports that Forrester predicts the end of physical media.

    1. Re:/. states that The Register reports that ... by anon*127.0.0.1 · · Score: 3, Funny

      I disagree with you, my friend. I think it's pretty clear that the Register DID report that Forrester predicts the end of physical media.

      Don't try any of those fancy media spinning tricks around here. We're way too clever.

      --
      I am NOT a man!
      I am a free number!
  19. Sure ... by Durandal64 · · Score: 5, Funny

    Yes, physical media is definitely going away. Researchers are looking into using storage media that only exist in metaphysical planes of existence to store data. Rather than clicking a mouse, the user meditates intensely and mutters a small prayer to Hardus Discus, the god of data storage. They've already found that delusional maniacs can hold up to ten times as much data as a standard hard drive platter.

  20. Future Predictions by GearheadX · · Score: 4, Insightful

    Are highly doubtful in general, much of the time. I'd really hate to say it, but a lot of it is corporate-funded pandering and dreaming out to try and force the market in a certain direction.

    I think most people lost their faith in the powers of technological prediction when whole the flying cars by 1990 fell through.

  21. People are packrats. by Picass0 · · Score: 3, Insightful

    People like to own things. It's the hunter-gatherer in us. The author does not understand consumers if he thinks that on-demand services is going to satify collectors. People want to own tangible things - whether it's a table or a DVD. Often times renting something is not enough. They are not as fond of paying for something they get to enjoy once.

  22. On Demand? Pfft. by UncleOzzy · · Score: 3, Informative

    Does anyone here live in the Boston area? Have you actually tried to use Comcast's "On Demand" feature? At least 75% of the time I try to watch something, it skips, or audio drops out, or there are horrendous artefacts, or it just won't start. We actually considered ordering an On Demand movie last weekend, but when the preview wouldn't even play, we gave up and watched Jason X on Showtime instead.

    (Jason X is a fine film. Really.)

  23. Check out this piece from TheOnion by jridley · · Score: 3, Funny

    I have an iPod... IN MY MIND!
    http://www.theonion.com/previous_opinion1.h tml

  24. Re:On Demand? Pfft. by greymond · · Score: 3, Interesting

    I can't agree about Jason X, however over here in San Jose, Comcast sucks balls too. Me and the GF tried digital cable for about 6 months and after continuous outages, supposed upgrades, and ordering shows that would cutout during important dialogues or just get all scrambled for a bit during the great sex scenes, we decided to get rid of it. Now we are much more happy with being able to rent/buy a good movie put it in and not have to worry about it skipping (unless the dvd is dirty, but thats rare) - hell we can even pause it and then go back to watching it something digital cables hasn't figured in yet.

  25. And it will cost the same.... by laddhebert · · Score: 3, Funny
    Even after physical media costs are eliminated, I bet these products will still cost just the same if not more....

    -Ladd

    --
    Don't Panic.
  26. So, what they're saying by Rogerborg · · Score: 4, Funny

    Is that we are to live in a topsy-turvy world where sound and pictures will travel down galvanic wires (snort!) or through the very aether (guffaw!) instead of being carried on good old reliable phonographs and daguerrotypes .

    What next, I ask you? Flying-machines? Women's sufferage? Coloreds sitting at the front of the bus? One can only hope that the imminent dawn of the twentieth-century will put an end to this poppycock.

    --
    If you were blocking sigs, you wouldn't have to read this.
  27. Interesting, but not right? by blinder · · Score: 3, Insightful

    Okay, I thought this was interesting. I got to thinking though, if by 2005 physical media will be well on its way out, that would mean that the vast majority of consumers of DVD (and whatever) would have to have broadband service (with the exception of on-demand via digital cable or satelite, but again, this infers broadband).

    So, I went and googled and found this study that basically says that by 2005 only 40% (or so) of US house holds will have broadband service. This too, is a forecast. So, it just seems to me that this projected date of 2005 is a bit, well, optimistic?

  28. Forrester (bah!) by bildstorm · · Score: 3, Interesting

    I'm so sick of Forrester research. They've been so pro-Internet for so long that every new wave is a realm of optimism for them. They're predictions are always 'out with the old, in with the new'.

    I highly doubt that DVDs are going away any time soon. CDs may not be released as readily, but they thought CDs would die with the advent of the miniDisc. (Who uses that?) The increase in downloading of music has more to do with the paltry and rather pathetically released albums as of late combined with incredibly high prices that with people switching to broaddband for all delivery.

    If the switch comes to broadband for delivery by the industry, chances are it will have more to do with corporate greed and the desire for increased control (see failure of DVD Regions to mean anything for more info) that it will with people not desiring physical media.

    Today's thought.... Stop piracy and corporate greed. Set fair market prices and compete. Damn oligopolies!
    --
    The power of accurate observation is commonly called cynicism by those who have not got it. - G.B. Shaw
  29. This "news" is horseshit by gosand · · Score: 3, Informative
    From the article:
    "Music and studio executives are finally beginning to understand that they must create new media services through channels that consumers will pay for. Consumers have spoken - they are tired of paying the high cost of CDs and DVDs and prefer more flexible forms of on-demand media delivery," he said.

    Hmm, according to this article over at azcentral , DVDs are "a freight train that can't be stopped".
    Full article text:

    DVD sales up 57% in 1st half of 2003
    Greg Hernandez
    Los Angeles Daily News
    Aug. 4, 2003 12:00 AM

    LOS ANGELES - The DVD express continues to gather steam.

    During the first six months of 2003, a phenomenal 427.2 million DVD units were shipped to retailers, representing a 57 percent leap compared with the same period a year ago, according to the DVD Entertainment Group, an industry trade association.

    "This is a freight train that can't be stopped," DVD Entertainment Group President Bob Chapek said. "We are enjoying the momentum and looking to the future for continued growth with an eye toward what is next."

    Fueling the growth in software sales are the 10.3 million DVD players that have already been sold so far this year, easily outpacing the first half of 2002 when 7.3 million players were sold.

    There are now DVD players in close to 50 percent of all U.S. homes,with more than 66 million players sold in the past six years.

    These robust hardware sales are connected to the soaring sales of DVD software.

    Overall, the number of DVD units shipped in North America has reached nearly 1.8 billion since the format was launched in mid-1997, according to figures compiled by Ernst & Young for the trade association.


    Now, back to the crappy article at hand...

    According to Forrester, music sales are set to increase by more than half a billion dollars in 2004 thanks to online revenues.

    Equally, on-demand movie distribution channels will generate $1.4 billion by 2005, while revenue from DVDs and tapes will decline 8 percent.

    Yeah, they will be down from 100 gazillion dollars to 92 gazillion dollars.


    What is this wild speculation garbage? Someone actually gets *paid* to think up this crap? The DVD industry is a huge part of the movie studios' revenue. Even if there were a way to deliver online movies, they would still be raking it in. And they aren't going to change their proven moneymaking business. Look at the record industry, and their unwillingness to change. Hell, they won't even consider change towards a *proven* market for their product. So you think the stakeholders in the DVD market will gladly switch away from their "free" money?

    --

    My beliefs do not require that you agree with them.