Janco Partners analyst Mike Hickey has said that Time Warner’s recent decision to support Sony’s Blu-ray format will ultimately facilitate the success of the PlayStation 3 at retail.
As reported by website CVG, Hickey stated this week, "We expect Sony's PS3 product will benefit from an eventual consumer and retail awakening of Blu-ray as the winning high definition format."
If Blu-ray can win the current format war, the true value of the PS3 can be unlocked, and will likely lead to an acceleration of PS3 sales."
Furthermore, renowned Wedbush Morgan analyst, Michael Pachter, echoed similar comments, suggesting that the PS3’s capabilities as a Blu-ray player will prove instrumental in its success, as was the case with its predecessor, the PlayStation 2, and its ability to play DVDs.
"The difference this time is that you can't enjoy the full experience unless you have a 1080p TV, and we are still below 10 percent penetration," observed Pachter.
"I think as overall HDTV penetration crosses 50 percent of households (probably late this year), Blu-ray will become more relevant, and PS3 will have an advantage," he added.