The cost of the High Def player and High Dev DVDs is not that important
The more I think about it, I don't think people are that price sensitive to the High Def DVD players. At this point, if you want a High Def TV, expect to pay $2000 or more for it. If you want High Def programming on your TV, that will often require extra fees to get the High Def cable, plus rent a High Def tuner (otherwise, plan on spending at least another $100 for the tuner yourself). To enjoy the High Def sound, you need to buy a home theater system. To be able to record, like you used to do on your old VCR, you will need to buy a DVR. After spending all of that money, do you think $500 for a player, and an extra $10 per disc is going to deter people away from the High Def players. Until HDTV's are $500, High Def DVD players are going to be a niche product, and people in that niche are used to spending more for quality entertainment, and will be willing to pay higher prices to get it.
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