Here's the good news, while DVD revenue was down a stark 14% last quarter, according to the Digital Entertainment Group (a home entertainment trade organization), Blu-ray revenue was up 105% and digital downloads were up 19%.
But here's the bad news: About a decade after digital movie downloads started and over two years after Blu-ray launched (and a year since HD DVD folder), their substantial growth is still not big enough to make up for the declines in DVD revenue.
To be precise, Blu-ray revenue rose $118 million to $230 million, while digital download revenue grew $78 million to $487 million.
Standard DVDs, however, fell $470 million to $2.89 billion.
That's a $291 million gap between growth in new formats and the decline of the old.