European Commission looks into next gen DVD format licensing

The next-generation video formats are starting to become available to end-consumers, but the format "war" between the two formats, HD-DVD and Blu-ray, is still open and now there is also another concern: How about the licensing strategies?

European Commission competition officials are looking into the licensing strategies behind the two rival next-generation DVD formats. This is important because this can determine future pricing of the equipment:  If a license must also be paid for even a single screw, prices will be never affordable for the end-consumers.

Once the Commission's anti-monopoly officials receive more information, they can decide whether or not to start an official inquiry.

Sony said in a statement: "There are no indications of any complaint, nor of any antitrust concerns on the part of the Commission or anyone else."

Both HD DVD and Blu-ray have already been released in the US - HD DVD in April and Blu-ray in June.

Sony has already answered that it will co-operate, but Toshiba still did not make any comments.

More details can be read in the BBC website.

Source: BBC News

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