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Viacom's film studio Paramount Pictures, along with DreamWorks Animation, will both be exclusively utilizing HD DVD format worldwide.
This exclusive deal means that all movies distributed by Paramount Pictures, DreamWorks Pictures & DreamWorks Animation, Paramount Vantage, Nickelodeon and MTV Films will all be using HD DVD. Having chosen HD over the much-hyped Blu-ray, this is notable due to Paramount's initial exclusive deal with Blu-ray at its onset. Paramount was then observed to be wavering between the two formats--films from Paramount have recently released in both HD DVD as well as Blu-ray, causing speculation across the board.
DreamWorks will reportedly make an exception for Spielberg films, releasing them in both HD DVD and Blu-ray formats. Nevertheless, Viacom insists that the technology of HD DVD is superior, and continuing in this manner is a more cost effective way of launching films for home sales.