Variety.com, Sun., Jun. 6, 2004 1:05pm PT

Sony projects a rival digital future
Co. touts device that delivers better resolution, contrast ratios

By BEN FRITZ and MARC GRASER

HOLLYWOOD -- Sony emerged as a player in the digital cinema space last week, showing off a digital projector it hopes will compete with Texas Instruments' DLP Cinema System.

Company held the presentation for industryites at the Digital Cinema Laboratory in Hollywood, displaying images projected by the new projector it plans to start building in January.

New device uses Sony's SXRD microchip imaging technology that the company promises will deliver picture resolution and contrast ratios at a specification known as "4K," or four times the pixel count of high-definition displays. Texas Instruments' system uses the "2K" technology.

"A 4K projector has long been considered the holy grail of digital cinema," said John Scarcella, prexy of Sony Electronics' broadcast and production systems unit. "This is what the industry has been waiting for."

Texas Instruments counters that in assessing the appeal of a projector, contrast ratios and color performance concern the industry more than resolution.

While Sony wowed many in attendance with the image quality of its footage, others questioned glitches that Sony execs promised would be ironed out by the time another prototype is shown in October.

Sony plans to begin building its new projector in January, with the larger model costing around $80,000, the smaller $60,000.

Sony's entry into the market comes as the major studios are readying to release final technology standards through the Digital Cinema Initiative, which will open the doors for other manufacturers to begin developing their own projectors and related equipment.

Industryites continue to bicker over whether theater owners or the studios should pay the bill to roll out digital cinema; storing and archiving issues also remain a concern. Regardless of whether Sony's or TI's system proves more popular, growing competition has industry insiders excited that digital cinema will finally gain a foothold.

Not to be outdone, Texas Instruments held a presentation last week of its DLP system. Currently 220 of its systems are being used worldwide; studios have released roughly 100 movies digitally over the past four years using Texas Instrument's technology.

Company execs said they weren't concerned by Sony's new projector.

"Sony doesn't change anything we're doing," said TI's Doug Darrow. "We have cornered a quality level that's significant for the rollout of digital cinema. It's not about waiting on invention now. It's about dealing with the economic aspects of transitioning to digital cinema."