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Blu-ray Players with IP Network Connectivity

High-volume shipments of Blu-ray disc players, most of which feature IP network connectivity, are finally making inroads into the broader disc player and recorder market, according to the latest market study by In-Stat.

By 2013, Blu-ray player shipments will still lag slightly behind the 90 million DVD player unit shipments. However, higher average selling prices will put Blu-ray player revenue at more than 4 times as large as DVD player revenue.

"In North America, significant price drops of Blu-ray players drove unit shipments to triple in 2009," says Michelle Abraham, In-Stat analyst. Regardless, other markets are still the leading adopters of this technology.

The cost differential between standard definition DVD and Blu-ray is becoming much smaller and new features such as IP network connectivity are becoming increasingly important. Blu-ray is finally starting to make significant advances in the marketplace.

Blu-ray players are predicted to become one of the key levers that will aid the growth and adoption of streamed over-the-top video distribution and consumption on legacy television sets -- eventually replacing the top position that is currently held by video gaming consoles.

In-Stat's market study found the following:

- Shipments of IP network-enabled Blu-ray players and recorders will approach 80 million units by 2013.

- 18 percent of U.S. survey respondents with at least some interest in purchasing a Blu-ray player cited cost as a barrier.

- Japan dominates the market for Blu-ray recorders. Europe is the largest revenue market for Blu-ray players.

- The key semiconductor providers supporting the Blu-ray and DVD player/recorder market include Broadcom, NEC, MediaTek, Sunplus and Zoran.

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