Re: Blu-Ray?
HD (without the DVD), High definition video is a television standard; more lines, 16-9, surround sound; basically more data per time, which means higher density storage (or more compression) and higher access speeds. Both Blu-Ray and HD-DVD offer both (though HD-DV seems to rely more on improved compression algorithms, and HD-Betacam similar, so tape based aquisition systems are lagging)
There is no doubt about the improved image definition of HDTV (sound quality should be better too, but I've not yet observed the improvement).
Still, electronic cinema demands higher standards again, throughout, so I confidently predict that whichever wins, the victory is temporary; there will be new, higher capacity standards following.
Keep those standards coming up, we must be reaching market saturation on conventional DVDs
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