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Toshiba to pull the plug on HD-DVD


Better get rid of those HD-DVDs soon.

HD DVD Format on Death Watch
Author: THOMAS K. ARNOLD and ERIK GRUENWEDEL
Posted: February 14, 2008

The format war has turned into a format death watch.

hd-dvd_image.jpgToshiba is widely expected to pull the plug on its HD DVD format sometime in the coming weeks, reliable industry sources say, after a rash of retail defections that followed Warner Home Video’s stunning announcement in early January that it would only support the rival Blu-ray Disc format after May…

…Toshiba had been pitching its discounted HD DVD players toward the standard DVD crowd as well as high-def enthusiasts, noting in its ad message that the new players would make DVDs look a lot better as well. And as a last-ditch effort the company ran an ad during the Super Bowl — a 30-second spot that reportedly cost $2.7 million.

But in the end, sources say, the substantial loss Toshiba is incurring with each HD DVD player sold — a figure sources say could be as high as several hundred dollars — coupled with a series of high-profile retail defections, have driven the company to at last concede defeat.

“An announcement is coming soon,” said one source close to the HD DVD camp. “It would be a matter of weeks.”

Source

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