BD vs Online video

According to Digital Entertainment Group, an industry trade group, in the past of nine months of 2009, sales of BD players in the U.S. increased 13 percent over the same period last year. The U.S. accounts for a third of the world‘s 30 million players, which include PS 3 consoles. The market for BD players opened up last year after winning the standards war against the competing HD DVD format.

So what’s next? Possibly a link to another rising star: online video.

One of the world’s largest BD player original equipment manufacturers (OEMs)--Videon Central, announced deals this fall to improve the player’s services and functionality.

Videon is working with Related Content Database (RCDb), an open BD-Live software shop, to include interactive TV client software on each player. Another partnership with ActiveVideo Networks will improve the ability to access cloud-based video services delivered over the Web that support both linear and broadband programming.

The RCDb client enables a BD player to load and unload applications and connect with a flexible, updateable set of third-party services and content offerings controlled by the player manufacturers and their retail partners.

The wide availability of this kind of client promises to open up BD players as universal client for Internet TV. This could allow consumers to watch movies and TV shows over their disk player without the need to purchase extra hardware.

Utheza said the BD player has the potential to replace the numerous specialized Internet TV boxes such as the Apple TV, VUDU and Roku players.

The Videon Central deals likely will enable millions of BD players to deliver VOD services either in competition or collaboration with cable operators.

Thanks to the work of companies like Panasonic and Oracle/Sun, BD and tru2way are very close. Both support a common global execution model (GEM). But despite the similarities, some analysts doubt that MSOs will offer both technologies.

“It is hard to see a Blu-ray player and the set-top box coming together right now,” Park Associates Research Analyst Jayant Dasari said. “Blu-ray is more of a mainstream CE device, while the set-top box is an extension of the service provider into the home.”

Economics would explain some of the hesitation. “Including Blu-ray is only going to raise the cost of the set-top box and indirectly increase the cost for each home,” he said. Then there are potential operational expenses.

Consumer demand is strong for both HD content and time shifting. And like TiVo, BD players also have a built-in penchant for the Internet. According to the DEG, 80 percent of BD devices are BD-Live capable.