Friday, August 06, 2004

Sony makes the right move for a change

I have a small fascination with standards battles. The winner of these battles often can walk away with millions, if not billions, from having won, while the loser often has to put their head between their legs and adopt the very standard they fought against. What also makes these battles so interesting is that they are played out over relatively long period of time, with each company responding to another companies move... it is like watching a chess match.

Today Sony launched their version of a "check mate" move, by announcing that their Playstation 3 console will utilize Blu-ray disc technology. The implications are huge... since millions of games will be sold on the Blu-ray discs, these disks will ride down the cost curve potentially quicker than the competition.... giving this technology a clear cut cost advantage.

This of course is all until Microsoft announces that the next version of X-Box will only work with high-definition DVDs... I have said it before, and I will say it again, this is the BetaMax vs. VHS battle of my generation.

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