Topic: BREAKING NEWS: The War is Over - Toshiba Gives Up on HD DVD

[Clondalkin]

NHK 7 o'clock News (Sat 16 Feb) reported that Toshiba has decided to iniate the withdrawal phase of HD DVD business.  It is reported that production of HD DVD player at Aomori plant is about to be stopped.

http://www3.nhk.or.jp/news/2008/02/16/d20080216000104.html

[striderhiryu1]

Toshiba to exit HD DVD, end format war-NHK

http://www.reuters.com/article/companyNewsAndPR/idUSL1627196120080216

TOKYO (Reuters) - Toshiba Corp is planning to stop production of equipment compatible with the HD DVD format for high-definition video, allowing the competing Blu-Ray camp a free run, public broadcaster NHK reported on Saturday.

Toshiba is expected to suffer losses amounting to tens of billions of yen (hundreds of millions of dollars) to scrap production of HD DVD players and recorders and other steps to exit the business, Japan's NHK said on its website.

No one at Toshiba could be reached for comment.

The format war between the Toshiba-backed HD DVD and Sony Corp's Blu-Ray, often compared to the Betamax-VHS battle in the 1980s, has slowed the development of what is expected to be a multibillion dollar high-definition DVD industry.

Toshiba was dealt a blow on Friday when Wal-Mart Stores Inc said it would abandon the HD DVD format, becoming the latest in a series of top retailers and movie studios to rally behind Blu-ray technology for high definition DVDs.

Toshiba plans to continue selling HD DVD equipment at stores for the time being but will not put resources into developing new devices, NHK said.

[Mr. Hankey]

Another related article: http://economictimes.indiatimes.com/International_Business/Toshiba_to_pull_out_of_HD_DVD_biz/articleshow/2787936.cms

TOKYO: Japan's Toshiba, which has led the HD DVD video disks format, plans to withdraw from the business as it is losing the battle against rival Sony's Blu-ray format, a report said on Saturday.

The company is in the final stage of deciding the pullout, public broadcaster NHK said without naming sources.

The report came after top US retailer Wal-Mart on Friday drove another nail into the coffin of HD DVDs by announcing it would shift to exclusively selling movies on Blu-ray. Toshiba would take HD DVD machines off store shelves and cease production and research for future models, NHK said.

Losses could reach tens of billions of yen (several hundred millions dollars) if the company decides on the pullout, it said. No comment was available from Toshiba on Saturday. The HD DVD camp also includes Microsoft, Intel, Universal Home Studios, and Paramount Home Entertainment.

Wal-Mart's announcement came in the week that major electronics seller Best Buy and online video rental giant Netflix declared their allegiance to Blu-ray, a new high-definition format promoted by a coalition led by Sony.

The death of HD DVD has been heralded since January, when Warner Brothers studio, Hollywood's largest distributor of DVDs, pulled out of an alliance with Toshiba and switched to Blu-ray.

Industry analysts and electronics makers maintain the format war has stifled sales of high-definition DVD players because consumers are waiting for a victor before plunking down money for the expensive new technology.

The loser of the battle will become a mere footnote in consumer electronics history, much the way Betamax was forgotten after VHS became the technology of choice for home video players, according to industry analysts.

[Ctlim]

Wow... looks like alot of Harakiri's are in order...

[Clondalkin]

What happened here?  I didn't open this thread.  The moderators did?

Take note, the literal Japanese translation was "according to sources related to Toshiba"..thus Toshiba's official confirmation is yet to be heard of still... but it's NHK's so I guess it should be reliable enough.   And it's Saturday so I'd rather give Toshiba some break until Monday.   

If this is all confirmed by next week, what a ruthless massacre these past 1.5 months ne.  Amazing how blazingly fast events unfolded.  An excellent technology killed swiftly by the studios and the retailers.

Ok, let's watch some hd movies.

[tonedeaf]

not fair! my hd-dvd player hasn't even arrived yet. hahaha!

does this mean a price drop for hd-dvd titles? hmm.. will collect as many as i can.

[Mouldingo]

Stopped all my HD DVD orders and happily waitng for the blu versions to be announced. BTW, I thought the players are made in China so what HD DVD models were made in Japan? 

[juanch]

 

Oh well, I enjoyed it while it lasted.

I'm keeping my player though, there are enough movies on hd-dvd to make it worth keeping

[oReOsHaKe]

Finally... Obviously this would happen the moment Warner turned Blu-ray exclusive.. Now I guess we have to wait for Paramount and Universal to say their piece..

[frootloops]

Toshiba rumored to quit HD DVD as Wal-Mart pulls support
By Aidan Malley

Published: 06:00 PM EST

The conflict between high-definition disc formats is rapidly drawing to a close, as Wal-Mart is the latest store to back Blu-ray over HD DVD and Toshiba is reportedly poised to withdraw its format from the market in the near future.
 
Remaining support for HD DVD began to unravel on Friday morning when the Hollywood Reporter cited a source which claims Toshiba will shutter its HD DVD efforts "soon," with an announcement potentially due within weeks.

The apparently reluctant concession would follow weeks of steep decline in support for the optical disc standard, which began with Warner Bros.' switch to Blu-ray as its exclusive HD movie format just ahead of the Consumer Electronics Show in Las Vegas. Since then, Best Buy and Netflix have both chosen Blu-ray as their de facto choice for HD movies, relegating HD DVD to second-tier status and threatening to discontinue it entirely in the case of Netflix.

Several independent movie studios have also followed Warner's lead in opting for Blu-ray, with only Paramount and Universal now left as HD DVD supporters.

Just hours later, however, the likelihood of an HD DVD resurgence was dimmed even further by an official announcement by Wal-Mart that it would focus solely on Blu-ray. A statement issued by the big-box retailer on Friday revealed that the company would reorganize shelf space at all its Wal-Mart and Sam's Club stores within 30 days to promote Blu-ray alone. HD DVD products will exit the company's product channel entirely by June.

Wal-Mart's decision is anticipated to be especially damaging to HD DVD's prospects, as the nationwide chain is often regarded as the single largest video sales outlet in the US and is sometimes cited as a potential obstacle to widespread adoption of online movie downloads through its influence over movie studios' pricing.

And while Toshiba officially remains confident in HD DVD, its frequent partner Microsoft has itself seemingly scaled back its normally vocal endorsement of the beleaguered storage medium, says the Reporter. The Windows developer's technology evangelist for HD DVD, Kevin Collins, has reportedly failed to respond to multiple requests for comments.

Apple has largely kept to the sidelines during the battle between Blu-ray and HD DVD, providing small amounts of support to both camps while declining to build either technology into its Mac range.

Source: AppleInsider

[Clondalkin]

BTW, I thought the players are made in China so what HD DVD models were made in Japan? 

Most likely the Japanese domestic models with HDD and HD DVD-R recording functions (RD-A Series 600/300/301), the flagship model with pillar shaped legs, and high-technology components of overseas HD DVD players.

[andre]

I had a couple of HD-DVD movies, But I never bought a player for it. Most of my collections are BD for my ps3 player. But I'm really glad the format war is over.
Now please release the transformer on BD format.   

[john5479]

If Toshiba pulls the plug then we just have to wait when Universal and Paramount will release their new titles on Blu-Ray.

[pekspert]

hey if the a35 would sell for $100 id still buy one, it would still make a great upscaling sd-dvd player

[oReOsHaKe]

hey if the a35 would sell for $100 id still buy one, it would still make a great upscaling sd-dvd player

It can upscale but then limited to just one region of DVDs.. Only if there is a way to unlock these units..

[Moks007]

Arigato toshiba for everything. I salute you. You made hidef affordable to early adopters.

[Mouldingo]

It can upscale but then limited to just one region of DVDs.. Only if there is a way to unlock these units..

May firmwares pa ba ilalabas ng Toshiba? If not, then puwede na ipa kalikot sa mga hackers...

[Mouldingo]

Ito daw ang magiging press release ng Toshiba America...Hehehe

"We have long held the belief that HD DVD is the best format for consumers based on quality and value, and with more than 1 million HD DVD players on the market, it's unfortunate to see Toshiba make the decision to only stock Blu-ray titles going forward."

[pekspert]

May firmwares pa ba ilalabas ng Toshiba? If not, then puwede na ipa kalikot sa mga hackers...

theres a code for everything, its out there. Its just a matter of time before someone leaks it out.

[darkwing]

Ito daw ang magiging press release ng Toshiba America...Hehehe

"We have long held the belief that HD DVD is the best format for consumers based on quality and value, and with more than 1 million HD DVD players on the market, it's unfortunate to see Toshiba make the decision to only stock Blu-ray titles going forward."

hehe they started that template since Warner

[av_phile1]

Having neither formats, I guess it's now easy for me to enter the HD world with a winning format.  But I have always rooted for HD DVD as the best value for the money based solely on what I have read.   This may be late in the day, but here's an article that is closest to my conviction eversince this silly format war started.


Sound Advice: Blu-ray wins in format war, but at what cost?
Saturday, January 12, 2008
By Don Lindich

In the past I have strongly recommended the HD DVD format as the best choice for consumers. Surprising developments this month led Warner Bros. to drop support for the format, which likely will lead to a Blu-ray victory in the format war. I started receiving inside information about a week before it happened and will recount the story here.

Warner Bros. publishes on both HD DVD and Blu-ray and found the "format war" was not only slowing the adoption of high-definition discs, but also hurting their regular DVD sales -- clearly an untenable situation for them. They wanted to bring the format war to a quick close by picking a side.

If they chose HD DVD, studio support would be roughly equal but would likely go HD DVD's way eventually, as Warner is the biggest producer of high-definition discs. If they chose Blu-ray, studio support for Blu-ray would be lopsided and the war would end more quickly.

When rumors started flying publicly, I e-mailed Jim Noonan, a Warner Bros. vice president, who immediately replied that they had not decided to change their policy. A WB executive in New Zealand issued an even stronger public statement denying imminent changes.

Obviously, they had decided to change -- they just didn't know the direction. Given their long partnership, Warner gave Toshiba an opportunity to lure a Blu-ray studio to HD DVD, in which case they would go HD DVD exclusive and give HD DVD a clear studio advantage. This did not happen, despite much-rumored negotiations, and Warner went with Blu-ray.

With no studio joining them on the HD DVD side, Warner's hand was forced and it went with Blu-ray, receiving a reported $500 million for doing so.

Obviously I am saddened by the implications for my readers, the industry and consumers, but still believe I recommended the better, more solid format, which was much more affordable, as well.

I was at their booth at the Consumer Electronics Show and regretted I could not find a single stand-alone player worthy of recommendation -- and if HD DVD goes away, the cost of entry to high-definition movies will be doubled. It's sad for the consumer, really.

My mind and my heart were in agreement that HD DVD was the way to go. To not recommend HD DVD would not be true to my own convictions, and it would be unfair of me to not recognize Toshiba's accomplishment in bringing an affordable, fully developed product to market.

Many in the industry agreed with me, and no one in the media expected Warner to pull the plug so quickly when HD DVD stand-alones were selling so well this holiday season. As for my future course, I will recommend the Playstation 3 to people who want Blu-ray until fully specified Blu-ray Profile 2.0 players are available and their performance matches the PS3.

http://www.post-gazette.com/pg/08012/848675-96.stm

[oReOsHaKe]

I guess initially the cost of Blu-ray softwares and hardwares will be expensive but in the long run if these are not selling well, the cost will eventually go down.  Just like what happened with DVD discs and DVD players.

[darkwing]

yup anyone remember how much a DVD first costs? at Amazon even 300 BD is just $20

[av_phile1]

I guess initially the cost of Blu-ray softwares and hardwares will be expensive but in the long run if these are not selling well, the cost will eventually go down.  Just like what happened with DVD discs and DVD players.

That should be expected.  But for how long, and with SONY lording it, I wouldn't bet on it yet.  I'm afraid that for as long as Blu ray technology hasn't fully matured (and also cannot be pirated besides with China-generic players flooding the market) , it will have a longer and different evolutionary path or history from DVD.  Bear in mind also that DVD technology patents was and is half-owned by Toshiba, sharing it with Sony that averted a potential format war in 1996.  Now, the BD format is almost Sony, despite having the BD consortium.

Having said that, the distributors have chosen the format that will make entry to the HD world expensive at this time, as the article above indicates.  The cost will evevtually go down as the technology matures.  But HD DVD has shown that its more mature technology already can do that for consumers now.   If anything, this format war has shown than Toshiba is really just a minor player in the world of consumer electronics. with no marketing and diplomatic savvy that Sony has.  With no more than 2% of the total HT market worldwide, the endgame for HD was obviously decided by distributors.   And Toshiba capitulated easily. This format war will be one great case study to be dissected in Masteral and Doctoral courses.

[pekspert]

actually i think, since theres no longer competition, bluray will even costs more. How do you think sony will get its investment (ie. those payoffs or lagay  they made to the studio companies, bestbuy, walmart..etc.) back? though im not a toshiba fan, I honestly thought hd-dvd was better for the consumer.

[darkwing]

errr 17 companies hold BD patents, its not Sony who has the bigger share of the IP, its Panasonic, Sony kinda just became more known coz of its decision to put a BD drive in the PS3

[av_phile1]

I honestly thought hd-dvd was better for the consumer.

It is.  Like I said and what most pundits in other AV forums have said, this war was finally settled by the distributors.  Not the market who is probably as misinformed or ill-informed about high def technologies as anyone.  We're just talking about a 2% market penetration on HD.  And the distributors are finding the penetration too slow for them to make a good quaterly profit statement.  So they just have to put their foot down and decide for the market.

actually i think, since theres no longer competition, bluray will even costs more.

Your fears are not yours alone.  You only need to go back during the launch days to know that had it not been for HD DVD, BD players would have been priced at ridiculous levels with an immature technology using an old MPEG2 video format using storage hungry LPCM tracks.  No wonder they needed BD50.

But that's all water under the bridge, as they say.  So with the new BD spec 2 enabling their java-based interactivity features, you can expect the cost of new generation standalone players to remain high.  But I won't mind being wrong here.    Also bear in mind that SONY products are always priced higher than any competing brand for the same features.  Their upscale mentality is everywhere.

[darkwing]

actually i think, since theres no longer competition, bluray will even costs more. How do you think sony will get its investment (ie. those payoffs or lagay  they made to the studio companies, bestbuy, walmart..etc.) back? though im not a toshiba fan, I honestly thought hd-dvd was better for the consumer.

Payoffs? i wonder where you got those sources, even that $500m payoff was just an imagining of some blogger which some news site picked up which has long since corrected them, anyways I'm glad this war is over, oh wait some HD-DVD die hards are even pushing for downloads vs BD @_@

[tonedeaf]

i really don't have much love for Sony. their TVs are overpriced. so is the PS3. so I don't think they will bring down the cost of blu ray (players or software). its against its nature. hehehe.

i hope i'm wrong though. will blu-ray really be the next big thing? or will it suffer the same fate as the laser disc and mini disc and whatever else have been introduced after the betamax and the dvds? abangan.

[darkwing]

i really don't have much love for Sony. their TVs are overpriced. so is the PS3. so I don't think they will bring down the cost of blu ray (players or software). its against its nature. hehehe.

i hope i'm wrong though. will blu-ray really be the next big thing? or will it suffer the same fate as the laser disc and mini disc and whatever else have been introduced after the betamax and the dvds? abangan.

errr everybody is forgetting that Panasonic, Philips, Pioneer, Samsung, LG etc... are also selling BD drives and in Europe alone, HD discs (including HD-DVD) is outpacing the growth of the DVD since it started

http://www.hollywoodreporter.com/hr/content_display/international/news/e3if908f8e7990b7157065a14eacddd44ae

"The Blu-ray Disc Association (BDA) announced today that they have broken the two million discs sold milestone in Europe, only two months after selling their one millionth disc. According to research done by GfK International, a total of 2.4M Blu-ray discs have been sold across Europe since the format launched. This equates to 79% of the high definition market.

In December alone, a half million Blu-ray discs were sold during the important holiday season. The biggest seller during this time was 'Pirates of the Caribbean: At World's End' which sold nearly 100,000 units. Coming in second was 'The Simpsons Movie' followed by 'Casino Royale'. During this time, Blu-ray sold at a 3-to-1 ratio over rival high definition formats.

When comparing this success to DVD, the results are even more impressive. The second year of DVD resulted in 230,000 players and 2M discs sold. For Blu-ray, it has resulted in 3.5M players (3.2M PS3s and 340,000 standalone players) and 2.3M Blu-ray discs sold."

i doubt things will slow down now that the format war is over and again BD is not Sony's format, its Matsucrapa(Panasonic), Pioneer, Philips, Thomson, LG Electronics, Hitachi, Sharp and Samsung also