We all (mostly techies) knew that DVD's were superbly clear over the antiquated VHS technology out of the 1980s, but they were never HD-quality.
Speaking of the 1980s, here's some background information. Beta tapes were developed using a high-quality design far superior to VHS tapes, but VHS had the corporate support and marketing strategies that make products soar to new heights. VHS, the unsuperior tape technology, became the consumer standard for video media and Beta went to the wayside (until Beta SP for handheld cameras came out).
HD-DVD (which Microsoft is promoting) and Blue-Ray are two very similar technologies for HD video. Blue-Ray offers 25GB/layer, while HD-DVD only offers 15GB/layer. This means that Blue-Ray can provide higher-quality media, longer videos, and a richer menu system than HD-DVD can. Blue-Ray can stuff an entire HD movie onto a disc and also provide hours of extras and gaming experiences, but HD-DVD has Microsoft to back them up. Can we see a relationship between VHS and HD-DVD now?
I think it would be a back choice for Microsoft to offer HD-DVD support when Blue-Ray is the better technology. Microsoft should hold back and provide Blue-Ray support because it is the better choice. Or should Blue-Ray just get kicked to the side like Beta?