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Hollywood studios, independent production companies, and video store owners are whistling all the way to the bank, thanks to a resurgence in rentals driven by the increasing popularity of the DVD format. Rental revenue increased 4% during the first six months of 2003, according to figures recently released by the Video Software Dealers Association (<A HREF="http://www.vsda.org">VSDA</A>) (VSDA). The upswing is the first for rentals in years. According to research conducted by the <A HREF="http://www.hollywoodreporter.com"><I>Hollywood Reporter</I></A>, in the first half of the year, the home video industry has exceeded $10 billion in revenue and should top $22 billion by December 31.

Photos by Tony Cordoza With the popularity of flat-panel TVs exploding and companies straining to create speakers that will mate with the unobtrusive sets, it seems like the era of hulking home theater gear - towering speakers, massive subwoofers, video projectors hovering above your head like an F-15 - is over.

<A HREF="http://www.dolby.com">Dolby Laboratories</A> is celebrating multiple Emmy Awards nominations for eight television programs that are produced in Dolby Digital 5.1.