If there is one thing consumers do not like, it is being forced to choose between two expensive and mutually incompatible technologies.
Carl Gressum, a senior analyst at Ovum, claimed that this is good news for consumers, retailers, vendors and content providers.
"In general, consumers want products and technologies that work out of the box, with no need to worry about device interoperability."
Vendors will have fewer incentives to be loyal to one format and may focus more on hybrid players in the longer run, according to the analyst.
Retailers are likely to appreciate a unified product such as a hybrid player, because there is less need to educate consumers as the product is more likely to work out of the box regardless of the disc media.
However, Gressum warned that the HD-DVD Forum and Blu-ray Association will be key in how the hybrid market develops, and much will depend on how they handle the product licensing.
"In the unlikely event that a Blu-ray or HD-DVD licence is universal, the licensor with the lowest price point has incentives to further reduce its pricing," he said.
"By doing so it increases the price delta from its single format product and up to the more expensive single format alternative, while increasing the relative price delta up to the hybrid player.
"This in turn makes the cheaper alternative a more compelling platform from a price point of view."
Content providers are likely to release on the cheapest disc format if hybrid players become popular, which could result in a licensing price war on the disc media to ensure backing from content providers, Gressum concluded.
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