I heard that HD DVDs would have been better for gaming than BluRay discs. I can't find anything other than people talking about storage space and audio/video quality though.
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BD's are actually superior since they can hold up to 50GB of data and HD DVD's can only hold around 15-25. However from my experience, HD DVD's have better picture and audio quality when watching movies. Sony only won because the PS3 had a BD player built in, making it the cheapest HD media player at the time, even though long term wise HD DVD players would've been a better investment as HD DVD titles cost less.
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That's just it though, because of the larger storage capacity it takes disc drives longer to read the disc, which increases loading times, which is why many PS3 games have mandatory installs.
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I think it would be a fair price to pay for developers considering they can store more information onto the disk. As for watching movies, both formats take about the same time to load, but HD movies aren't terrible large anyways. A 1080p video file for Evangelion 3.33 is only 4.7GB. My biggest beef with BD movies and games is that they leave a huge chunk of memory on the disk wasted, I don't mind waiting a bit longer if I can get more content out of it.