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Napster

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bad news for Toshiba, good news for Sony

http://www.ft.com/cms/s/0/8e4625fa-dd86-11dc-ad7e-0000779fd2ac.html

Toshiba set to pull plug on HD-DVD
By Mariko Sanchanta in Tokyo and Paul Taylor in New York

Published: February 17 2008 19:18 | Last updated: February 17 2008 19:18

The two-year battle over which technology will become the industry standard for the next generation of high-definition DVDs looks set finally to end this week after Toshiba gave the strongest sign yet it would exit its HD-DVD business.

The move follows Friday’s announcement by Wal-Mart, the world’s largest retailer, that it would no longer stock Toshiba’s HD-DVD discs and players and was instead committing itself exclusively to the rival Blu-ray format backed by Sony.

EDITOR’S CHOICE
Last showing for Toshiba’s DVD format - Feb-17Wal-Mart puts Blu-ray on brink of victory - Feb-15Toshiba slashes prices in HD war - Jan-14Paramount in HD DVD blow - Jan-08Studios still locked in combat over format - Dec-06Toshiba downbeat on DVD recorder sales - Oct-31Warner Brothers, Hollywood’s largest player in the home video market, made a similar decision last month, putting strong pressure on Toshiba, which has been the driving force behind the HD-DVD format that is also backed by Microsoft.

Early on Sunday, Toshiba said “no decision has been made”, but added the company was “making various considerations about its business policy after Warner’s decision and the announcements by Best Buy and Wal-Mart”.

But the Japanese electronics and energy group is keen to stem its losses from its HD-DVD investment and people familiar with the situation say it is likely to pull out, particularly following Wal-Mart’s announcement.

Such a move would not surprise US analysts, most of whom viewed Warner Bros’ announcement early in January that it was abandoning HD-DVD in favour of Blu-ray as signalling the end for HD-DVD.

Nevertheless, HD-DVD’s fate looks as if it will ultimately be sealed by retailers rather than technology companies. As Andy Parsons, chairman of the Blu-ray Disc Association US promotions committee, said at the weekend, “retailers have a tremendous impact on consumer preferences, and as the world’s largest retailer, Wal-Mart’s reach and leadership are unparalleled”.

The emergence of the Sony-backed Blu-ray as the definitive next-generation DVD format is expected to spur sales. Most consumers had been sitting on the sidelines over the past two years, unwilling to be stuck with an obsolete format while the battle raged.

Toshiba’s mooted decision is not expected to be met by opposition from members of its camp. Paramount, which is owned by Viacom, is understood to have a clause in its contract with the HD-DVD backers that would allow it to switch sides.

In a last-ditch effort to save the HD-DVD format, Toshiba last month slashed prices on its players by as much as $50, but sales remained sluggish. Last year, according to Home Media Research, Blu-ray outsold HD-DVD players by three to one in the US. In Europe, the ratio was 10 to one in Blu-ray’s favour and in Japan the ratio was 100 to one.

Wal-Mart, which has long reigned as the biggest seller of DVDs, said its decision to carry only Blu-ray discs and players was a response to customer preference. It follows similar moves by other large retailers, including Target, Best Buy, Netflix and Blockbuster.
 
Good news the battle is going to be over only problem is that 360 customers bit buggered but hey ho! I am sure Microsoft will get a blue ray drive for the xbox
 
Revenge for Sony.

After all they lost the Betamax V VHS in the video stakes and they had the better quality product there as well.
 
On another forum I was reading about this subject, there was a bloke who refused to accept that HD-DVD was losing, even though other people kept posting links to stories about the latest Movie studios that were defecting to BluRay.

I think Sony pulled a master stroke, much like they did when DVD first came along in bundling a BluRay drive into their latest console whereas as the XBOX 360 didn't come with a built in player.

Personally I haven't bought many BR discs myself yet, I got Spidey 3 with my PS3 and don't see that massive a difference in the quality vs DVD, which IMHO is still a very very good format.
 
Before my time but what was better about Betamax and how did VHS win?

Betamax had slightly better quality picture but the machine was more expensive and recording lengths on tapes were nowhere near as long.
 
I'm a bit wary as to how much this will affect the 360/PS3 war to be honest...

When the Xbox was released, it was a far superior machine to the PS2, but still lost out because the PS2 had a much larger fan base and game catalogue because of the length of time it had been out.

Now, the only thing machine wise swinging in Sony's favour is the Blu-Ray, and the 360 has the advantage of a larger fan base and game catalogue.
 
Betamax had slightly better quality picture but the machine was more expensive and recording lengths on tapes were nowhere near as long.

However in film making and media productions never really died out beaucse of those reasons (im pretty sure a mate of mine whos an editor told me they still use it on occasion)
 
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