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Both formats will ultimately lose.

by TJGodel / May 23, 2007 9:24 PM PDT

While the two format fight to be the standard for high def the price of hard drive space and bandwidth will continue to fall. Each format will become a niche with not much appeal to the general market place because of confusion by the general consumer. Ultimately Apple will use it's AppleTV to provide a service that will do to the two formats what Apple did to the market for mp3 players.

Hardware is a commodity which is what the two format war is all about. They are fighting for market share over a commodity hardware.

Service providers such as Apple and maybe Netflix, with a combination of hardware, software, online service and ease of use, will rule tomorrow.

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