Toshiba Touches off HD DVD Fire Sale

Backed into a corner by the defection of Warner Brothers to Blu-ray, Toshiba drops the price of its entry-level HD DVD player to just $150. Is it a case of too little, too late?

In a press release filed early this morning (and picked up by Engadget), Toshiba announced that its dropping the price of its HD-A3 HD DVD player to $150; meanwhile, its mid-range HD-A30 (capable of delivering 1080p video) now goes for $200, while the top-of-the-line HD-A35 now sells for $300.

The way things are going for HD DVD, however, its cheapest player might not be a bargain at any price. Besides the brutal blow of Warner Brothers deciding to go with Blu-way exclusively, rumors are swirling that both Universal and Paramount—the last two HD DVD-only studios—are itching to get out of their agreements. Indeed, Daily Variety reported last week that Universal's contract with the HD DVD camp has expired, and that Paramount can exercise an escape clause in its agreement with HD DVD now that Warners has jumped to Blu-ray (both studios have tepidly declared their support for HD DVD). In other words, it may not be long before Blu-ray has deals with all the major movie studios—and once that happens, it'll be curtains for HD DVD.

So unless you're just a sucker for bargains, I'd stay away from Toshiba's HD DVD fire sale and hold tight for a little longer. We could have a winner here in a matter of weeks.

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HD DVD fires back, slashes hardware & software prices [Engadget]