Well unless Disney is planning to shoot silent movies and charge 25 cents per person (brown bag lunch included) to be in the audience, it's not going to compete with THAT Universal Tour -- circa 1920's.
How much is Universal spending on their "Evolution"? And how much of that is going to Harry Potter and the rest of the theme park? It's going to enjoy a newfound popularity that will make DCA 2.0 and Carsland look like nothing, because in addition to all the new visitors for Harry Potter, being refreshed, Universal Studios Hollywood is one park that many locals may not have felt a need to visit for years, decades even. Even if they're not massive Harry Potter fans, the "new" Universal will be a draw in and of itself to relive moments on the Tram Tour PLUS "see this new Harry Potter thing".
Disney should focus on it's Hollywood Land as the next part of it's own evolution.
The problem with USH is that it's landlocked and there's barely any room for expansion without taking out considerable chunks of existing attractions. It will never be the resort destination that DL is, and can only be a day park at best because it doesn't have the room to entertain people for any more than that. WWOHP will be a great addition and will spark people's interest but only for a day I think. DL is still an actual vacation destination (well, to more of an extent than USH).
While USF is taking Disney visitors that's because they have so many things to do and more room to expand (they are currently building a new hotel with cheaper rates than their pre-exisitng deluxe hotels). I doubt that will ever be the case with USH though. I think DL can rest easy. Even if they did have to compete with something, Hollywoodland doesn't need to be the way to go--people will get bored with two Universal-type theme park experiences.
NBC Universal Evolution
By "EVOLUTION" I mean this expansion plan, recently approved by LA City and County.
Anyone that sais the land isn't large enough to include a substantial number of attractions might as well be saying that Disney should give it up and close down the embarasing (in comparison with USH) little diversion of a land. Whatever it takes<Hollywood Land needs to be expanded and diversified.
You know we focus only the remaining parking lot/7-Eleven/hotels in the corner behind Tower of Terror for expansion, as well as the "BACKLOT" section of Hollywood Land. But I don't know what Disney plans to do with the setback between Harbor Blvd and DCA. It's extensive enough for the tram driveway, a backstage road, guest drop/off parking etc. Couldn't some show buildings build out closer to the street?
What if WDI put a Howard Johnson's Restaurant in Hollywood land, particularly in one of those fake buildings to the left (at end of 'block')? Not only would that fit the 1930's theme, but who doesn't love Howard Johnson! Doesn't Disney own a motel of their's anyway???
HoJo restaurants, the orange roof? They started in 1925, but 3/4 of the 1,000 restaurants closed in 1985? There are now only 2 left in the world?
Hopefully there is at least ONE person who knows what I am talking about.
You at least know about the motel that is right across the DL resort, which once housed its own HoJo's restaurant. I think they even sponsor these DL threads.
After 7 years, it looks like the Universal expansion is a go: