by 
The Curious Bag
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Blu-Ray is an optical disc format that appears to be a DVD, but it has higher quality video and capabilities such as storage and resolution. A Blu-Ray burner allows for recording on blank Blu-Ray discs.
History
DVD, DVD±R, DVD±RW, and DVD-RAM technology uses a red laser in order to read and write data. Blu-Ray uses a blue-violet laser. Blu-ray burners are backwards compatible with CDs and DVDs if you have a BD/DVD/CD compatible optical pickup unit, according to Blu-Ray's official site.
Function
Blu-Ray burners record video and audio on a blank Blu-Ray disc. Using the precise blue-violet laser, the information is burned to the disc so that it can be views on other Blu-Ray players. Burners can also play pre-recorded discs, burn and play regular DVDs and CDs.
Capacity
Blu-Ray discs can be 25GB or 50GB. A single layer disc can be burned up to 25GB and a double layer disc can hold up to 50GB of burned data.
Speed
As of publishing time, the max write speed for a Blu-Ray player to burn a Blu-Ray disc is 2x. To burn a DVD it is 8x, to burn a double layer DVD it is 4x, and ti burn a CD it is 24x. Speeds will increase as the burners become more common.
Potential
Blu-Ray's official Web site claims that in a "recent development by Pioneer ... the storage capacity [is pushed] to 500GB on a single disc by using 20 layers."
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