
Though firm refuses to deny it; claims to be ‘assessing business strategies’
Toshiba has refused to officially confirm that its HD-DVD format is dead following reports over the weekend that it is to scrap the technology – though confirmation is still expected to arrive shortly.
A statement from the firm read: "The media reported that Toshiba will discontinue its HD DVD business. Toshiba has not made any announcement concerning this. Although Toshiba is currently assessing its business strategies, no decision has been made at this moment.”
However, according to the Associated Press the coffin's lid could be shut as soon as tomorrow following the scheduling of a board meeting to discuss the matter.
Analysts believe that the news, should it arrive, is good news for the consumer – and of course for Sony.
"If true, this will be good news for the next-generation DVD industry in clearing up the confusion for consumers because of the format competition that had curbed buying," Credit Suisse’s electronics analyst Koya Tabata stated. "This will work toward a profit boost for Sony."
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Despite the turbulence, Toshiba’s stock has climbed by 5.7 per cent in Tokyo, most likely as a reaction to the perceived damage limitation that ending the troubled format represents.
Comments
Not Good for Consumers
How is this good for consumers? Now Blu-Ray has no competition, so it has no need to lower it's already overpriced BR disc. The format war brought so many great deals that we won't see them anymore. I hope I will still get my 5 free movies that Toshiba offered.
Re: Not Good for Consumers
Well in some ways we need 1 format so we can make sure movie companies stick with it. I want anime/manga and it looks like its going blu-ray only.
Hopefully this means that the same movies on blu-ray which are on hd-dvd, hd-dvd gets a huge price cut as the movies are way overpriced as it is.
On dvd a movie is say £9 on hd-dvd/blu-ray its around £27 and the quality improvement is usually not that huge to justify the huge price increase especially since they were saying hd-dvd is cheap to make! Well thanks for ripping us off then.
Its because of the PS3 blu-ray is winning...I wish Microsoft had included a HD-DVD drive into the 360 but then again funny enough the 360 total sales out weigh total PS3 sales...So for SONY blu-ray and for Microsoft consoles and gaming.
Re: Not Good for Consumers
Of course its good. DVD had no competition yet prices tumbled because more and more shops competed on prices, supermarkets entered into price wars with DVDs becoming loss leaders. If you work in retail you will know that this will happen. All the time that HD-DVDs and Blu Rays weren't mass produced or stocked in shops that were cagey about backing one format and not the other, prices remained high. Now you will see in coming months and hopefully before the year end, massive price reductions in Blu-Ray disks.
Re: Not Good for Consumers
As per first post - people won't be jumping up and down with joy in 6 months time once Blu-Ray is confirmed winner and they're still paying £27 a BR disc & having to re-buy profile 1.1/2.0 compatible players. Prices will continue to be high along with associated hardware once there is only one format and remember this is Sony we're talking about! Personally can't be bothered with the rip-o*** market and will be importing a PS3 and my BR discs from the US at half the price along with the inevitable dirt cheap HD-DVDs :oD
Re: Not Good for Consumers
H M - have you seen the cost prices on BD's at the moment? They need to come down before there's room for pricing wars. No-one is going to give away the heavy margins needed for a competitive loss leader campaign. You'd be looking at Tesco (Ratatouille style) and very few others until cost prices come down.
Re: Not Good for Consumers
One down one to go...
I'm not convinced that even Blu-Ray can survive as more than a niche format in the UK. The percieved differences are very little over the existing DVD formats, especially considering the added costs.
If Hi Def Freeview boxes come with Hard Drives built in as standard I can't see the Hi Def disk formats being more than a stop gap.
Handy for game storage though so with Sony getting this early upper hand they may be able to under price Xbox on the price per unit & game front in the long run.
Trojan horse.
So Sony's trojan horse, in the guise of the PS3, worked then?!
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