From where I stand, this war can end in many ways. Here are my top 3 choices:
1. (the long way) 3 out of 4 homes in America will have HDTV's. When this happens, studios are going to notice a dip in DVD sales as everyone waits for a HD format to win. They will put 2 and 2 together and figure out some sort of agreement.
2. Dual format players take off and the consumer gets to enjoy every movie in HD while the feuding between the studios will continue for years to come. The quicker the price for the dual format players to drop below $200, the better.
3. A major retailer (such as Wal Mart) declares a format as a winner and only stocks those types of players. Like it or not, Wal Mart is now plays a big part in the life of an average American. As soon as they get cheap players on the shelves, people will jump for them. If Wal Mart were to say Blu Ray is the winner tomorrow, then it would most certainly be so.
1. As DVD sales drop-off it may lead to the new format, or...it may bring about the era of downloaded movies and disc are irrelevant.
2. Maybe. But they are very expensive now, and that probably won't change because of the royalties involved, and besides MOST manufactures support Blu-ray, and there is really no incentive for them to add a fading format like DVD-HD
3. This has already happened. Target will only stock and sell Blu-ray players. Blockbuster will only stock and rent Blu-rays from its stores. Another recent retailer has also made the decision to go Blu-ray only. The pieces are falling into place and Blu-ray is winning every one of them. On top of that the majority of manufacturing support, a superior gaming machine with built in blu-ray, the vast majority of studios supporting Blu-ray, including the most important for sales, in my opinion, Disney, since they do so well in DVD sales. Kids have to have the movies they want, and if they are only in Blu-ray, guess which player mom and dad are buying.