SANYO Electric Co., Ltd. (SANYO) has decided to adopt the HD DVD standard promoted in the DVD forum...

, an international association that brings together some 220 consumer electronics, entertainment, software and other related companies around the world. SANYO will develop next generation DVD players and recorders using the HD DVD standard, and aims to first launch in Japan HD DVD players in 2005: and recorders in 2006: and then expand into the North American market.

Shift on demand from conventional VCRs to hard disc recorders and combo-type DVD recorders has gained momentum, and the DVD player/recorder market has gotten off to a quick start. Electronics Industries Association of Japan research forecasts DVD recorder shipments of 10 million units in 2004. Along with increase of flat panel TVs that can handle Hi-Vision content, increase in demand is expected for recording high-definition software.

HD DVD is being promoted by the DVD forum as the standard for next generation DVDs. It's compatible with current DVDs, so consumers' DVD software libraries can readily be used.

SANYO joined with Toshiba and NEC in the autumn of 2003 for technical studies of HD DVD-R, a one-time recordable version of the format, in May 2004 was able to jointly present this to the DVD forum. In September 2004 SANYO, Toshiba and NEC expect this HD DVD-R technology to become Version 0.9.

Sanyo will provide a core component, the optical pickup, Sanyo officials said Tuesday.

HD-DVD is capable of recording 30 gigabytes of data on a dual layer disk. Sanyo decided to join the Toshiba-NEC camp because the HD-DVD parts structure is similar to that of existing DVDs and the manufacturer can utilize its current facilities, the officials said.