DVDs: The Next Generation

March 28, 2006 -- -- For some of us, it feels as if it were only yesterday that we repurchased our entire home movie collection to make the jump from VHS to DVD.

Times had changed, and it was obvious at a glance that the significantly improved picture and sound quality, coupled with a whole host of never-before-seen features, made it well worth the time and money.

But if you thought you could just sit back and enjoy the high-quality DVD presentation, you were sadly mistaken. It's time to open up those wallets again and get a trash bag ready for your DVD collection.

In one corner, there's the Blue-ray format and in the other, HD DVD. Both are new kinds of DVDs that can hold massive files for high-definition versions of movies.

But how will consumers choose one over the other, and do we really need the upgrade?

Both HD DVD and Blu-ray are supported by huge multimillion- and billion-dollar electronics and computer companies, and the Hollywood movie studios own the content that these new formats will contain.

For consumers, it will be tough to figure out which product is best. Even industry analysts say that picking a front-runner is difficult at this point.

"Microsoft is putting their weight behind HD DVD," said Joni Blecher, associate analyst for Jupiter Research. "But you also have Dell and Apple putting their weight behind Blu-ray."

Most consumers will likely buy whatever makes sense for them, and that could be driven by another generation war: video-game consoles.

The PlayStation 3 is expected to use Blu-ray, and there are reports of an HD DVD drive for Microsoft's Xbox 360. Blecher said that will get the millions of consumers who play video games vested in the format used by their games of choice.

"The release of the PS3 later this year and Xbox 360 will actually drive sales a lot," she said. "Whatever format people have in their home is probably the one they'll buy when they have to pick."