Thanks to the PlayStation 3, the Blu-ray disk format successfully became a viable medium for physical distribution of high definition video and gaming. But thanks to the struggling economy, Blu-ray attach rates and sales have not met the expectations of analysts.
However, with significant decreases in production costs for Blu-ray drives, Blu-ray players are expected to meet a price point of $50 by 2012. On top of this prediction, Futuresource Consulting also expects the Blu-ray media to make up 50% of the video market in 2012 leaving digitally distributed media with 29% of the market, which includes on-demand television, internet video, and mobile video.
All in all, tangible media will reign supreme over digital distribution for many years to come until larger data storage and faster broadband become a more mainstream luxury.