I, like many others, do not own an HD TV. Not planing on buying an HD TV anytime soon. Since the whole HD thing I have slowed down my DVD purchasing to almost zero, figuring I will just get in it Blu-ray sometime in the near or distant future. If Blu-ray where comparable to DVD prices, I'd still be buying movies, blu-ray doesn't look any better on a TV screen the size of mine, but it doesn't look any worst either.
If they were comparable in price, many others like me would be buying them who are currently not buying them. Seems like an larger range of customers paying less would be better than a small group of customers paying more. As it is, they have effectivly knocked me out of the market for buying movies period.
And of course it is the damn pirates who are causing the drop in media sales...