"The economy is hitting everybody," said Danny Kaye, executive vp research and tech strategy at Fox. "But we still look forward to a great fourth quarter." There is good news on the horizon however for high-definition video equipment. "I know the economy is tough right now, but the manufacturers are really bringing down the price of their HDTV sets," Paramount vp marketing Chris Saito said.
Blu-ray player prices are falling but not as fast as many consumers would like. The disc sales themselves also present a problem, since new DVDs retail for around $15, whereas Blu-ray releases go for around $25. "We're all constantly looking at (disc) pricing," Sony vp business development Rich Marty said. "What it amounts to is that we'll wait until after the fourth quarter and see how it goes."
Some concerns have also been raised about how consumers might opt for DVD upscaling hardware instead of moving to the Blu-ray format, but MacPherson dismisses the theory "For me, it's the difference between costume jewelry and a diamond," the Disney executive said. "Costume jewelry is nice, but I still want the diamond."