Video quality:
Warner Bros. will encode it's HD-DVD titles in 1080p using VC1 (Also known as Microsoft Windows Media 9) for compression. Now, this is good news. This should secure the highest possible picture quality available today. Rumors are saying that the first generation HD-DVD players will only output 720p/1080i (We will of course test this!) but 1080p will surly be included in future players so it is nice to know that the software supports it.
Hybrid disc's:
Warner has said that it will release some new titles as Hybrid disc's with the HD version on one side and the standard DVD version on the other. Details are few but these titles will have a suggested retail price of $39.99.
More...Credit: DVD Town