Most people scoffed at the idea of UMD movies on the PSP -- why get a movie in a new format that only works on one player? The recent news of retailers dropping UMDs from their shelves and movie studios halting production of movies on UMD seemed to bear out the idea that no one really wanted this.

But a survey conducted by the NPD Group seems to suggest that the desire is there, it's the people making and selling the movies that are holding consumers back.

The NPD's report, titled, PSP Functionality and Content Study, says that almost two-thirds of PSP owners own movies or TV shows on UMDs, and two-fifths bought the system because they found its UMD capabilities to be "very important."

However, even though many considered the PSP's UMD functionality important upon purchase, no one seems to be buying the format on a consistent basis. The report states that the intent of owners to buy classic movies and TV shows on UMD is about three times the actual purchase rate, implying that there isn't enough compelling UMD content available to coax potential consumers to fully adopt the format.

Users stated that price, followed by selection, were their main reasons for holding off on buying UMD movies. If studios hadn't gotten the bright idea to charge $20 to $25 a pop for their movies, maybe they wouldn't be in the position now to put the brakes on UMD production. There are plans for DVD-UMD bundles selling at $28.95, but with retailers and studios already bailing out on the format, it may be too late for a turnaround.

Source: Next Generation