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To me, the more people that have HDTVs, the more opportunities blu-ray has of growing. Unlike dvd, blu-ray does require a gateway appliance. As such, the potential market for blu-ray is only as big as the market of HDTV consumers. The step up cost is higher, but I think we are seeing a drop in prices for hdtvs with the deadline coming up for the end of analog. There could be a huge boon for blu-ray by the end of the year and into next year, with falling prices to accompany it.
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