BBC reports that some film makers will switch camps, supporting HD DVD instead of the Blu-Ray format. Paramount and DreamWorks said they were dropping Blu-ray in favour of the rival HD-DVD format on Monday, repored on BBC news.
The announcement means that blockbusters like Shrek the Third, and Bay's Transformers film, will not be released on Blu-ray. Movies directed by Steven Spielberg, however, will continue to be released in both formats. Electronics giant Sony, which owns Blu-ray, is locked in a battle for supremacy with Toshiba, which created HD-DVD.
The latest Spider-Man film will only be released on Blu-ray
Blu-ray discs have more storage space, which can mean a better image, while HD-DVD offers more interactive features.
The Blu-ray camp has notched up some victories against its rival recently, including a vote of support from video rental company Blockbuster.
Prices of players on both sides have dropped recently - with dedicated HD-DVD players outselling Blu-ray in the US.
However, the fact that Sony's PlayStation 3 games console can play Blu-ray discs means more homes have Blu-ray players.
It is believed that Hollywood studios could ultimately decide the fate of the two formats, but the fact that Sony is itself a movie studio has complicated the matter.
Warner Brothers is now the only company to release films in both formats, meaning that Spider-Man 3 will be a Blu-ray exclusive, while The Bourne Ultimatum will only be available on HD-DVD.