Just an observation, here in Santa Monica, I have been finding that Blu-Ray dics are being sold more at Frys, City Circuit and Best buy. They have better presentation (a paid for service) but seem to be the default standard for the sales guys.

Blu-ray is going to win this fight. Wal-Mart and Best Buy control a huge market share of the DVD purchasing industry, and Netflix and Blockbuster dominate rentals. All four back Blu-ray. The recent press that Blu-ray is getting (intentional, surely, as all of these companies want to get more people into the store) will raise recognition of Blu-ray discs, and Best Buy has said it will showcase Blu-ray, offering center store placement and sales to promote it. This means more people will be buying Blu-ray equipment in the near future.

LCD TVs. These things are selling like crazy, and are the number one consumer electronics product right now. If you go buy an LCD TV with a great picture, aren't you going to want movies in high definition? The only other option is on-demand, because internet bandwidth does not support the downloading of hi-def movies yet because the files are too big. Eventually, digital movies will be the only way to go, but in the short term Blu-ray is going to be the dominant technology.