Rumor: Toshiba Dropping HD DVD, Ending Format War

Thu Feb 14, 2008 11:18PM EST

See Comments (58)

Sources say the fat lady has sung: Toshiba will be killing off the HD DVD format in a matter of weeks, after retailers' decisions to stop carrying hardware and software using the format have left it with no other choice.

For the record, Toshiba officially states that no decision has been made, but that the company is "studying the market impact and the value proposition for consumers" of HD DVD.

But the writing is pretty clearly on the wall. Since the beginning of 2008, Blu-ray discs have outsold HD DVD discs at a rate of 3 to 1. With more and more retailers opting not to stock HD DVD equipment and movies, there's just no way that number is going to go up. (Even the HD DVD fire sale and a $2.7 million Super Bowl ad don't seem to be helping.) While previous analysts have guessed that HD DVD would survive through the holiday season of 2008, it looks like Toshiba is ready to call it quits and move on to greener pastures. It's said the company now loses several hundred dollars on each HD DVD player sold.

The only real question remaining is how soon the announcement could come, and what the remaining backers of HD DVD will do when it does. How quickly will Paramount and Universal be able to switch production from HD DVD to Blu-ray? And what will Microsoft, a longtime HD DVD supporter, do? Fodder a-plenty for future blog posts, I'm sure.

Meanwhile, I'm happy to kick off the official date of death pool for HD DVD right here. My guess: March 7. (Why? Toshiba's fiscal year ends on March 31, and it will want to take the huge writeoff it has coming before the end of the year. March 7 gives it enough time to set things up for a rebound in 2008... probably making Blu-ray equipment and eating humble pie.)

Post your death date prediction in the comments section below. Winner gets bragging rights until Sony jacks Blu-ray prices up an extra 20 percent in celebration of its big win. Yay!

(Update: Wal-Mart announced it's going Blu-only today, too. Come on, Toshiba!) 

LINK: Toshiba to drop HD DVD, sources say 

Comments on Rumor: Toshiba Dropping HD DVD, Ending Format War

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  • 1 Posted by azheelshock on Fri Feb 15, 2008 12:06AM EST Report Abuse

    I'm an HD-DVD supporter. This news doesn't upset me, and I'll tell you why. I am looking forward to the bargain basement prices HD-DVDs that will hopefully follow this news. If I can build my HD-DVD collection to 250+ titles for cheap, I feel I will have easily justified the $119 that I spent on the Toshiba A3 last week. Blu-ray is not going to replace standard DVDs market dominance for a couple years, and I'll live with renting new releases from Netflix on that lesser media. In a few years, however, maybe Blu-ray players will be cheap enough to add to my cabinet, alongside my HD-DVD player.

  • 2 Posted by mel_wfm_mnc on Fri Feb 15, 2008 12:38AM EST Report Abuse

    I agreed with you azheelshock, also a HD-DVD supporter. If this does happen, those hd movies will hit low prices and i would also build my collection. I have no plans in buying a blu-ray any time soon. $400 for the cheapest player. Give me a break. Dvd will still be here for a good 5 years. maybe then ill buy a blu-ray.

  • 3 Posted by salinger@rogers.com on Fri Feb 15, 2008 12:54AM EST Report Abuse

    HD-DVD supporters still don't get it, even when it's in front of them in black & white. The HD-DVD players weren't cheap because they were at that natural price point in their life cycle, they were cheap because it was Toshiba's last ditch effort to stem the tidal wave of Blu-ray hardware and software that was drowning them. The fact that Toshiba was losing "hundreds" of dollars per player, shows that if they hadn't been so desperate, HD-DVD players would have been as, if not more, expesive as Blu-ray players. Thank goodness this charade is finally over.

  • 4 Posted by chrmnxpnoy on Fri Feb 15, 2008 3:08AM EST Report Abuse

    mel_wfm_mnc, how many times do you have to post the same message? Stop SPAMMING the boards!

  • 5 Posted by icosier on Fri Feb 15, 2008 5:39AM EST Report Abuse

    From:IC.U.K. I will not be reading large amounts of comments on these pages if people repeat themselves so many times.Do not aste my valuable time!

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