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China Technology Out To Kill DVD Market?

Thursday, 14 Dec 2006 | 9:22 AM ET

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.

DVD Format Battle
There's a new format called EVD that may throw a wrench in HD DVD and Blu-ray's plans to take over the video world. Jim Burger, DVD Assoc. Dir., shares his insight with CNBC's Becky Quick.

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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  • Joe Kernen is co-anchor of "Squawk Box," CNBC's signature morning program.

  • Becky Quick is co-anchor of "Squawk Box," CNBC's signature morning program. She's also a columnist for Fortune.

  • Andrew Ross Sorkin is a co-anchor of "Squawk Box," a financial columnist for "The New York Times" and the editor-at-large of NYT's DealBook.