Paramount to drop Blu-ray high-def DVDs

Paramount Pictures and DreamWorks Animation SKG Inc. will offer next-generation DVDs in the HD DVD format and drop support for Blu-ray, further complicating the race between the competing technologies. Monday's announcement affects the upcoming DVD releases of the blockbusters "Shrek the Third" and "Transformers," along with movies distributed by Paramount Pictures, DreamWorks Pictures, Paramount Vantage, Nickelodeon Movies and MTV Films. Movies directed by Steven Spielberg, however, will continue to be released in both formats. Paramount, which owns DreamWorks Pictures and handles home sales for the separate company DreamWorks Animation, previously released movies in both Blu-ray and HD DVD.