DVD drives video industry to record breaking year

DEG (Digital Entertainment Group)
announced today at
the International Consumer Electronics Show that for the second consecutive
year, DVD sales have helped make home video America”s most popular entertainment
medium. Last year the American consumers spent US$ 22.5 billion renting and
buying DVD and VHS versus US$ 9.2 billion moviegoers spent at the theatrical box
office.

Consumer spending on home video was up 18.2 percent over last
year with DVD representing 72 percent of all home video transactions. DVD
retail sales grew to $ 11.6 billion in calendar 2003, an increase of 33
percent over last year. Consumers also spent $ 4.5 billion renting DVDs,
up 55 percent from 2002.

The fourth quarter was particularly strong
for DVD with more than 381 million DVD titles shipped to retail according
to figures compiled by Kaplan, Swicker and Simha on behalf of the DEG.
This is a 43 percent increase over the fourth quarter 2002. More than one
billion software units were shipped in 2003 bringing the total number of
units shipped since launch to nearly 2.4 billion discs.

“With sales
of both hardware and software reaching new record levels, the DVD format
has emerged as the dominant format in the home entertainment industry said
Bob Chapek, president of Buena Vista Home Entertainment and president of
DEG: The Digital Entertainment Group. “We should all look ahead with
unbridled enthusiasm as the growth of this format grows further into the
mass market which will prove to open even more doors for this
industry.”

There are currently some 29,000 DVD titles available. Finding
Nemo (Buena Vista Home Entertainment) topped the year’s DVD sales followed
by numerous DVDs that broke sales records in 2003, selling in excess of
five million copies.

The article adds that there
are currently more than 4,000 DVD Music Video and DVD-Audio titles available.
According to figures compiled by the DEG based on data from the Consumer
Electronics Association (CEA), retailers and manufacturers, nearly 34 million
DVD players were sold to U.S. consumers in 2003, a 34 percent increase over
2002.

Source: Mi2N