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China Technology Out To Kill DVD Market?

There’s a new technology from China that some people claim, could kill the DVD market as we know it. On "Squawk Box", CNBC’s Becky Quick investigated this new technology – and how rapidly it could appear in the U.S.

According to Jim Burger, Director of the DVD Association, China's major audio-video publishers have formed an alliance to facilitate something called the EVD – a competitor to the High Definition DVD.

How’d they do it? Instead of using the “newer” blue laser technology – EVD’s use the “old” red laser technology – but more efficiently so you can get a High Def picture.

No word yet on when, or if, EVD's will arrive in America - but when they do, EVD's will have a significant cost advantage. The players would retail for $87 dollar – nearly 1/5 of what the current HD-DVD players cost.

Burger said, the big issue is content. The price is attractive but consumers won’t buy unless they have something to watch.

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