Development and launch
Released in 1987, CD Video used analog video encoding on optical discs matching the established standard 120 mm size of audio CDs. Video CD (VCD) became one of the first formats for distributing digitally encoded films in this format, in 1993.[11] In the same year, two new optical disc storage formats were being developed. One was the Multimedia Compact Disc (MMCD), backed by Philips and Sony (developers of the CD and CD-i), and the other was the Super Density (SD) disc, supported by Toshiba, Time Warner, Matsushita Electric, Hitachi, Mitsubishi Electric, Pioneer, Thomson, and JVC. By the time of the press launches for both formats in January 1995, the MMCD nomenclature had been dropped, and Philips and Sony were referring to their format as Digital Video Disc (DVD).[12][13]
On May 3, 1995, an ad hoc, industry technical group formed from five computer companies (IBM, Apple, Compaq, Hewlett-Packard, and Microsoft) issued a press release stating that they would only accept a single format.[14][15] The group voted to boycott both formats unless the two camps agreed on a single, converged standard. They recruited Lou Gerstner, president of IBM, to pressure the executives of the warring factions. In one significant compromise, the MMCD and SD groups agreed to adopt proposal SD 9, which specified that both layers of the dual-layered disc be read from the same side—instead of proposal SD 10, which would have created a two-sided disc that users would have to turn over. Philips/Sony strongly insisted on the source code, EFMPlus, that Kees Schouhamer Immink had designed for the MMCD, because it makes it possible to apply the existing CD servo technology. Its drawback was a loss from 5 to 4.7 Gbyte of capacity.[16][17]
As a result, the DVD specification provided a storage capacity of 4.7 GB (4.38 GiB) for a single-layered, single-sided disc and 8.5 GB (7.92 GiB) for a dual-layered, single-sided disc.[18] The DVD specification ended up similar to Toshiba and Matsushita's Super Density Disc, except for the dual-layer option. MMCD was single-sided and optionally dual-layer, whereas SD was two half-thickness, single-layer discs which were pressed separately and then glued together to form a double-sided disc.[13]
Philips and Sony decided that it was in their best interests to end the format war, and on September 15, 1995 agreed to unify with companies backing the Super Density Disc to release a single format, with technologies from both.[19] After other compromises between MMCD and SD, the group of computer companies won the day, and a single format was agreed upon. The computer companies also collaborated with the Optical Storage Technology Association (OSTA) on the use of their implementation of the ISO-13346 file system (known as Universal Disk Format) for use on the new DVDs. The format's details were finalized on December 8, 1995.[20]
In November 1995, Samsung announced it would start mass-producing DVDs by September 1996.[21] The format launched on November 1, 1996, in Japan, mostly with music video releases. The first major releases from Warner Home Video arrived on December 20, 1996, with four titles being available.[1] The format's release in the U.S. was delayed multiple times, from August 1996,[22] to October 1996,[23] November 1996,[24] before finally settling on early 1997.[25] Players began to be produced domestically that winter, with March 24, 1997, as the U.S. launch date of the format proper in seven test markets.[2]
DTS announced in late 1997 that they would be coming onto the format. The sound system company revealed details in a November 1997 online interview, and clarified it would release discs in early 1998.[31] However, this date would be pushed back several times before finally releasing their first titles at the 1999 Consumer Electronics Show.[32]
In 2001, blank DVD recordable discs cost the equivalent of $27.34 US dollars in 2022.[33][34]