Microsoft squeezes more video onto DVDs

By Jon Healey
Los Angeles Times

Developers of high-definition DVDs have embraced technology from Microsoft Corp. to squeeze more video onto discs, marking another victory for the software powerhouse in its drive to expand beyond the personal computer.

The decision by the Blu-ray Disc Association is the latest sign of progress in Microsoft's efforts to gain a foothold in the entertainment industry.

The Redmond, Wash.-based company has won more support from consumer electronics manufacturers than Hollywood but is gradually laying the foundation for a world of personal entertainment powered entirely by its products.

The association's decision, which is expected to be announced today, will affect a new generation of discs and players that can display much more detailed pictures than today's DVDs.

In a replay of the battle between VHS and Betamax, two different types of high-definition discs — Blu-ray and HD-DVD — are expected to start competing for sales in the U.S. as early as next year.

By requiring "VC-1" video technology developed by Microsoft to be included in all Blu-ray disc players, the association is mirroring a move made earlier this year by the HD-DVD forces. And with support from both camps, Microsoft will stay in the game regardless of which standard wins in the marketplace.

The Blu-ray and HD-DVD endorsements won't force Hollywood to use Microsoft's technology, which is merely one of three options for compressing video onto the next-generation discs. But they give Microsoft its biggest opportunity to date to participate in the home video market, which generates much of Hollywood's profits.