The more I read about the launches of Toshiba's HD-DVD and Sony's (NYSE:SNE) Blu-ray high-definition formats, the more I'm amazed by all the issues that could make a person unhappy with high-def video. This goes way beyond the choice consumers will have to make between two competing and incompatible formats. Here, in no particular order, are some of the potential pitfalls awaiting the unwary or uninformed.

HD 101
Let's begin by asking what "high definition" means. A standard DVD displays 480 separate lines on the TV screen. Unfortunately, there's not a single standard for high-definition resolution. We're being treated to several high-def resolutions that are denoted by the number of lines displayed followed by a letter -- 720p, 1080i, and 1080p. The letters refer to progressive scan (p) and interlaced (i), with the "p" being more desirable.

True videophiles will claim that unless you're viewing a movie in 1080p mode, you don't have real high-definition video, but many televisions don't support this resolution. Just be aware that if you buy a 720p high-definition TV, your friend down the street will likely have something that looks better at some point.

Hoist the Jolly Roger
Another issue regards piracy protection. Both Blu-ray and HD-DVD will include digital encryption to prevent piracy, but it will work only through a specific digital input on your TV called the HDMI input. If you look on the back of a high-def TV, you'll see that the HDMI input is not the only set of connectors present. Most, if not all, high-def sets also have an analog input called the component-video input. The component-video input ignores the digital encryption, meaning that it could be used to make an illegal copy of the movie in all its high-definition glory.

To prevent this from happening, some movie studios have added the capability to their discs to reduce the resolution to 540 lines from 1080 when the signal is sent through the component-video input. While this will not be a problem for those of us who have HDMI inputs on our high-def sets, older high-definition TVs do not have an HDMI input. Fortunately, according to the Blu-ray.com website, several of the studios, including Sony, Disney (NYSE:DIS), Fox, Paramount, MGM, and Universal have no intention of using this capability -- though you can bet that the temptation will always be there.

Backups? Back up!
One last issue regards making digital copies for our own use. Intel (NASDAQ:INTC) and Microsoft (NASDAQ:MSFT), for example, have a vision for the future of home entertainment that includes a PC at the center. A piece of this vision is the ability to make a copy of a movie to store on a computer hard drive, enabling the movie to be sent over a home network to any television or computer in the house for viewing. Both HD-DVD and Blu-ray have implemented a feature called mandatory managed copy (MMC) that is supposed to allow for copies to be made, but according to a recent article in Sound & Vision Magazine, it's still not clear what conditions will have to be met in order to make a copy -- or whether there will be a fee.

Foolish bottom line
While all of these issues make me just want to sit on my wallet, rave reviews of Toshiba's new high-end HD-DVD player makes the switch to high-def awfully tempting. It will be interesting to see how quickly consumers take the plunge ... and how the format war finally plays out.

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Disney is a Motley Fool Stock Advisor pick, while Intel and Microsoft are Motley Fool Inside Value picks. Take the newsletter of your choice for a 30-day free spin.

Fool contributor Dan Bloom owns shares of Intel and Disney. The Fool has an ironclad disclosure policy. Dan welcomes your comments.