This is exactly why I supported HD DVD. I knew that player prices would come down eventually whoever won, that was not an issue though HD DVD had lower prices to boot for standalones, my biggest reason was exactly this replication thing.
For an average replicator who did DVDs and CDs to upgrade to HD DVD 30gb combo capability it cost them around $50k. Actually I think it was below that but including the work of servicing and modifying units.
For an average Blu-Ray replicator, the costs are closer to 2 million and capabilities and yield rates are far from satisfactory Those who invested into BD25 replication (and there are a few of smaller ones like that), I'm pretty sure they are not too excited overall because most studios release on BD50 DL which is much more expensive and it really is still rough around the edges with all the additional things you have to do for protection of discs.
This is why you don't see independent replicators running to Blu-Ray. An average cost for BD50DL on 50k run is around $2.75-$3 a disc. That's not small amount, plus all the processing after, packaging.and so on. you can freely add another couple of bucks for that. So you already have a discs close to $10 or so just from replication to be ready to sell. Barebones cost. Add to that profit and retailer margins and marketing for them and you get discs at $20 minimum on a 50k units or so.. take off a few bucks per disc on a run that's higher then that like 100k+ and you get at best case scenario discs that are around $15-$16 and worst case scenario where they are around $20+.
This is profitable on high profile movies where they replicate larger number of discs because it's a sure thing so the studio has some space there and is pretty sure that sales will be good, but for other catalog titles it becomes an issue. This is why you saw some great new movies on Blu-Ray (blockbusters) selling for great price. They can afford it and still make a profit but on catalog titles they sell for like $15 a piece they are really just trying to get the money back.
Reader Comments (Page 1 of 1)
Bozster @ Dec 1st 2008 6:13PM
@WebDev511
This is exactly why I supported HD DVD. I knew that player prices would come down eventually whoever won, that was not an issue though HD DVD had lower prices to boot for standalones, my biggest reason was exactly this replication thing.
For an average replicator who did DVDs and CDs to upgrade to HD DVD 30gb combo capability it cost them around $50k. Actually I think it was below that but including the work of servicing and modifying units.
For an average Blu-Ray replicator, the costs are closer to 2 million and capabilities and yield rates are far from satisfactory Those who invested into BD25 replication (and there are a few of smaller ones like that), I'm pretty sure they are not too excited overall because most studios release on BD50 DL which is much more expensive and it really is still rough around the edges with all the additional things you have to do for protection of discs.
This is why you don't see independent replicators running to Blu-Ray. An average cost for BD50DL on 50k run is around $2.75-$3 a disc. That's not small amount, plus all the processing after, packaging.and so on. you can freely add another couple of bucks for that. So you already have a discs close to $10 or so just from replication to be ready to sell. Barebones cost. Add to that profit and retailer margins and marketing for them and you get discs at $20 minimum on a 50k units or so.. take off a few bucks per disc on a run that's higher then that like 100k+ and you get at best case scenario discs that are around $15-$16 and worst case scenario where they are around $20+.
This is profitable on high profile movies where they replicate larger number of discs because it's a sure thing so the studio has some space there and is pretty sure that sales will be good, but for other catalog titles it becomes an issue. This is why you saw some great new movies on Blu-Ray (blockbusters) selling for great price. They can afford it and still make a profit but on catalog titles they sell for like $15 a piece they are really just trying to get the money back.