Best Buy kicks HD DVD while it's down

Already starting the week off on a bad note, HD DVD's day just keeps getting worse.

Starting next month Best Buy says it will prominently display Blu-ray players and discs in its stores and recommend the format over rival HD DVD, according to a Reuters report.

"Because we believe that Blu-ray is fast emerging as that single format, we have decided to focus on Blu-ray products," Brian Dunn, Best Buy's president and chief operating officer, said in a statement Monday.

It's not an exclusive arrangement since Best Buy says it will still continue to offer HD DVD. But having Best Buy's valuable endorsement in the form of Sunday circulars, front-and-center store kiosks, and staff recommendation seems to be the icing on the cake for a Blu-ray victory in the format war, and potentially the death rattle for HD DVD.

Earlier Monday, online movie rental service Netflix announced it would phase out its offering of HD DVD discs by the end of the year. Netflix's position likely will have less of an immediate impact on the format battle since its business depends on people who have already made a decision on which format they support. In other words, Netflix availability isn't the reason most consumers will lay down $400 for a video player.

But Best Buy is different. It's the nation's largest consumer electronics store, and in a situation where consumer education is one of the biggest battles, much of the actual fighting of the format war needs to be won at the sales level. When someone looking to upgrade to HD video goes in to a store and asks their friendly sales associate which format they recommend, the answer is going to have a serious impact.

Update, 4 PM PT: The HD DVD Promotional Group responded with a statement that's strikingly similar to the one issued earlier in the day: "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 Netflix make the decision to only stock Blu-ray titles going forward. While the Best Buy announcement says they will recommend Blu-ray, at least they will continue to carry HD DVD and offer consumers a choice at retail."

[thenet411]

Hooray for Sony

While both BluRay and HD-DVD had basically the same spec, I am glad that Sony will probably win this one. Beta was superior to VHS in just about every single way but the forces of marketing and consumers acting like lemmings fell for the far inferior VHS.

[`WarpKat]

So was MiniDisc

Even though the format was cool and provided <br />storage with the HiMD format, it still wasn't <br />enough to keep it going, although I will miss <br />it.<br /><br />I am, however, glad to see that there will <br />finally be a single format for me to choose from <br />and I won't have to decided what kind of player <br />to get, even if it might cost an arm, leg and a <br />soul.

[JadedGamer]

Not just Sony

Samsung and Pioneer sell more standalone players than Sony.<br /><br />HD-DVD == Toshiba is far more correct than the misconception that Blu-Ray == Sony just because of the PS3.

[mwfontan]

The battle is not between two disk formats

It's about the ultimate content delivery system, which is certainly not a very fragile medium such as disk. When the studios come up with a secure streaming content solution, the Bestbuys and Netflix of the world will be out of the equation. They are struggling with this now. I think I will keep out of this silly archaic disk strategy conversation because it is moot!

[shahnyboy]

sony saved my life

Hooray, lets celebrate so they can find more ways to install shady <br />software like they did with the CDs.<br /><br />How do people root and trust a company like sony?

[sparhawk2k--2008]

$99 Player?

Let me know when I can get a $99 BluRay player. That was the only reason I even considered HD-DVD. And only once it was combined with the free disc deals...

[GGGlen]

:-)

You get what you pay for.<br /><br />:-)<br /><br />Seriously... once production ramps up things standardize, more <br />and more people will jump in and buy.<br /><br />It's Econ101-Supply and demand, and prices will fall.<br /><br />If you doubt me... I remember my very 1st optical drive <br />purchase.<br />It was a shiny new NEC burner, rated at a whopping 3X, and it <br />set me back a cool $350USD.<br />Today, DVD burners 10 times faster than that retail for $40.00

[GGGlen]

Hooray for capacity!

I can't begin to tell you how frustrating it was, listening to the <br />HD crowd yelling "So what if Blu Ray has greater capacity, no one <br />will ever use it".<br /><br />Yeah right... Bill Gates himself said in 1981 that "No one will <br />ever need more than 640k of ram".<br /><br />HD supporters were a bunch of Luddites, playing some weird <br />game of Corporate Favouritism in lieu of better tech.<br /><br />HD? Good riddance.

[WhuzYoDaddy]

not so quick there sparky

&lt;&lt;&lt;Yeah right... Bill Gates himself said in 1981 that "No one will ever need more than 640k of ram".&gt;&gt;&gt;<br /><br />Oh really? Find the actual quote.<br /><br />Hint: There's not one. He never said it.

[MrTroy03]

Wait a while

How much were VCR's when they were the top technology? $300 or more? DVD Players were over $500. That is what technology does, 2-4 years from now you can get one for a few hundred.

[jrm125]

Blu-ray the winner!

Blu-ray has this war. It's over.<br /><br />Go ahead and flame me. It won't change the fact HD-DUD is doomed.<br /><br />;-)

[tundraboy]

Now that the fat lady is singing. . .

Can we have a Blu-ray burner that can burn HD home movies to Blu-ray format?

[jrm125]

They already exist

They just aren't cheap...yet...

[gonzofever]

HDDVD continues Defending it's Format

It's interesting how HDDVD defends itself with the same remarks every single time. Everything is "unfortunate" according to them. I also love when they mention there are over 1 million players out there. They don't mention how many more studios back Blu-ray, or how more more companies are backing blur-ray than HDDVD. But alas Toshiba might wake up one day and realize they have a dead format. It is REALIZATION that Blu-Ray is THE choice.

[AnthonyNYC]

who's Choice? HD-DVD was the sucessor to DVD

In 2004 the DVD Forum which is a group of about 293 companies voted and the "Official HD" choice to succeed DVD, as you put it was HD-DVD.<br /><br />So when you say, Toshiba should wake up, I think it is unfair. That would be like the US voting for a President then having someone else campaigning for the office gain after the election was held. It's Sony which should have been shunned by these 293 companies but because of their power I guess they went ahead with BluRay anyway. But less than 2 % of DVD sales for both formats combined is hardly a choice by the people.

[rkonowal]

the other format war

Bluray still has a long way to go before being declared a winner, there is another format war to be settled, what about dvd, when will that format be deep sixed, until then blu ray sales will flatten as HD pic is only really evident on large screens so there is no reason for most people to upgrade to Bluray and the high cost of movies many dvds are going for 5 6 or 7 dollars and blurays ar $20 plus <br /><br />cheap HD DVD was the best bet for wide acceptance, unless Sony drops price drastically on players and movies Blu ray could go the way of SACD and DVD Auido

[biffhenerson]

Your right

Most of the population has not made the switch to a HDTV yet. Why would they want an HD player? DVD is fine. Once they switch, or are forced to switch to HDTV, then and only then will they start looking to dump their DVD and move to HD-DVD/Blue-Ray. The so called "war" will not be won for a few more years. Not this month.

[jackrambo]

Netflix IS Influential

"In other words, Netflix availability isn't the reason most consumers will lay down $400 for a video player."<br /><br />I think you missed the call here, Erica. Like many, Netflix is my sole source of DVDs...I no longer would think about walking into a Blockbuster and, for me, buying DVDs is foolish. So, yes, Netflix's decision has GREAT influence over my format choice.<br /><br />Conversely, I?d speculate that many of your readers do their own web-based, consumer research and take virtually everything they hear from most salespeople at Best Buy with a huge grain of salt.

[The_Decider]

Not that influential

Netflix blows with the wind. Most if not all studios will no longer produce HD-DVD titles soon. If would be foolish for a company like Netflix to invest in something when all that is left to be done is to write the HD-DVD obituary.

[fred dunn]

I wouldn't rush out and buy a player yet...

as the two camps are still in competition so technology marches on and by the time Toshiba decides it's going to stop their will be better technology out, there already is but it just isn't being implemented for movies.<br /><br />Wait until Blu-Ray has about a third to a half of the existing DVD titles and stores start indicating they are getting away from standard DVDs before you make your decision.

[smokified]

Bad advice

I would buy a player immediately. The best one on the market is the Playstation 3. The general misconseption is that the PS3 is just an over-priced game console. How wrong.<br /><br />The PS3 is acually the most feature rich "MEDIA CENTER" on the market and therefore the price tag is more than justified. Not only can you watch BluRay discs, you can stream your digital movies, music, and pictures straight from your PC (or storage server) right to your entertainment center. I use my PS3 for no less than 10 hours a week and I would guess that only 10%-15% of that time is spent playing video games.<br /><br />Technology will not wait for you to make up your mind.

This from the company that backed DIVX

hmmm... considering their track record, I'll wait a bit

[Miked350z]

Divx was Circuit City

Try again bucko! I got burned by Divx myself, and that was a <br />Circuit City venture. Best Buy did not carry Divx.

[gsacks]

that was circuit city

Actually, it was Circuit City and Blockbuster that backed the ill fated Divx format. (Not to be confused with the DivX codec) Best Buy had nothing to do with it.

[HD99]

The Real Reason,,,,,

I have had both HD and Blu-Ray for several months now and would much prefer HD over Bray...the players are cheaper, fully compliant and the movie quality is just as good etc....but we all know that. <br /><br />The real reason for the Blu-Ray jumpers is MONEY. How much more can BEST BUY and others make on a $500 Blu-Ray player than on a Toshiba $150 or $99 player? Blu Ray discs at $34.99 etc....<br /><br />Its so sad to see so many HD folks out there that take sides on this issue, and you get screwed by the man....nice.<br /><br />Both formats can survive and we all are the winners, but NO.....all the one sided zealots will bring down the house, no competition and high profit margins...<br /><br />No I can go back to wacthing a BluRay movie, that s if its finished loading the movie yet....yeah its been about 10 minutes...must be ready now..

[mikeburek]

Businesses decision, BB not taking sides

It's just a business decision. The BluRay players are keeping a fairly steady price, as are BluRay discs. But if HD DVD is going to continue dropping player and movie prices every other week, then BB would need very low inventory of HD DVD so that they don't get burned when what they paid for the player/discs is higher than the consumer market price in a few weeks. If HD DVD tries to push price, then there is less markup BB can do. But they can have a higher markup on BluRay and know the price won't be falling fast, so they can stock the inventory and push it out.

[iansmccarthy]

Is it just business?

Given Sony's rather dubious behaviour, do you really think that Best Buy made the decision from the viewpoint of allowing consumer choice? I would be surprised if Sony had not put some pressure on them and made some promises. Adam Smith said that "two businessmen never meet without conspiring against the public".

[arias925]

Best Buy did not back Divx

Circuit City backed divx, Best Buy carried it reluctantly but Circuit City was one of the partners that created it.

[smokified]

What is your point?

In the early days of Divx it was used to play movies that were not legally purchased. Because of how well the software worked it became popular, but not for at least 10 years after the first releases. This is more than likely why Best Buy did not back it from the beginning. Both Best Buy and Circuit City suck anyways so who cares.<br /><br />This has nothing to do with the BluRay vs. HD DvD battle.

[mikeburek]

Time to buy HD DVD

I almost never buy a DVD disc because of the crazy prices. It's just easier and cheaper to rent and I do it from Hollywood Video with their MVP program - so I get a much better deal than anything else, with the "inconvenience" of driving 5 minutes away. But the other day I saw some HD DVD discs at Fry's for about $6 for recent movies. If both formats are pretty darn close to quality, then why not get some of the movies in HD DVD now, while they are cheap. So what if you'll have to have an extra component for the HD DVDs along with the BluRay when it's price finally comes down. Well, what techie person doesn't want more components and lights and remotes?

[Aaron_Moore]

25 Companies go Blu-ray so far in 2008

It's not just Netflix and Best Buy. It's happening all over the world and with other companies in the US as well.<br /><br />02-12-08 Hi-Fi Klubben (large Scandinavian retailer) goes Blu-ray exclusive.<br />02-11-08 Tripictures (Spain) goes Blu-ray exclusive.<br />02-11-08 Best Buy recommends Blu-ray<br />02-11-08 Netflix goes Blu-ray exclusive<br />02-07-08 FS Films goes Blu-ray exclusive<br />02-07-08 Kaleidescape goes Blu-ray exclusive<br />02-07-08 Saturn (Largest German electronics retailer) goes Blu-ray exclusive<br />02-07-08 SF Films (Sweden) goes Blu-ray Exclusive<br />02-07-08 Scanbox (Sweden) goes Blu-ray Exclusive<br />02-07-08 Filmax goes Blu-ray Exclusive<br />02-04-08 BAC Films (France) goes Blu-ray Exclusive<br />02-04-08 Manga Films goes Blu-ray Exclusive<br />02-01-08 ADV Films goes Blu-ray Exclusive<br />01-31-08 Highlight Video (Germany) goes Blu-ray Exclusive<br />01-30-08 National Geographic goes Blu-ray Exclusive<br />01-30-08 EMI (Japan) goes Blu-ray Exclusive<br />01-30-08 Sonic Solutions Scenarist goes Blu-ray Exclusive<br />01-28-08 Woolworths Retail Outlet (UK) goes Blu-ray exclusive in store.<br />01-22-08 Grant's Appliances to goes Blu-ray exclusive<br />01-16-08 Senator Entertainment goes Blu-ray exclusive.<br />01-16-08 Digital Playground goes Blu-ray exclusive<br />01-11-08 Constantin Film goes Blu-ray exclusive.<br />01-10-08 HBO goes Blu-ray exclusive.<br />01-05-08 New Line goes Blu-ray exclusive.<br />01-04-08 Warner goes Blu-ray exclusive.

[biffhenerson]

Format "War" is created by media

I get a kick out of this format "war" thing. It was created by the media for the media because they have nothing else to write about. Who cares which is more popular, Ford or Chevy? Who cares which format is more popular? Buy Blue-Ray, buy HD-DVD, buy 3 cell phones. Who cares? Its only money. I bought a Beta, then I bought a VHS. Big deal. By the way, ALL movies will be DRM protected and streamed in full, HDTV digital quality directly from the production companies in the near future thus I wont need any DVD's. and the production companies only have to worry about one copy. Theirs. lol.

[mwfontan]

So True

There won't be a winner in this one. The studios are taking the hardware manufacturers and retailers for a ride. The solution you suggest is the only one that makes any sense.

[sjohnson29]

why does anyone want the format war to end?

I agree this is such a media thing. I really hate reading how everyone including the consumer is getting screwed by this "format war". Well, I can tell you that I'm not getting screwed. I have no intention of buying an HD capable DVD player until they're maybe $50 and I really see a need for one (which I don't).<br /><br />I really like the format war. I think it is serving its purpose in getting the cost of these players down (via competition) a lot quicker than it would if there was only one standard. Let the idiots who are so entertainment starved as to sit and watch DVDs waste their money now so the rest of us can get them when the price is reasonable.

[iansmccarthy]

Internet movies

In the long run you are correct that movies will be downloaded over the internet but as Keynes said, in the long run we are all dead. Given the physical limits upon bandwidth to most homes it will be several years before their will be fast enough download to compete with HD DVDs. At present it takes several HOURS to download one movie and this is likely to be the case for the next several YEARS.

[FLWB]

The final round count begins

Once the big box stores get in on it then the average consumers will automatically make the assumption that Sony won this time.<br /><br />My question is what incentive was offered to Best Buy by Sony to come out and take this stance? Does such an offer break any fair practice rules?

[ralfthedog]

No incentive

Toshiba wants out. Sony wants Toshiba out. It is just a matter of Toshiba holding on until Sony and Toshiba can find a face saving way for HD DVD to die.<br /><br />If you want to support Blu-ray just buy an HD DVD.

[Waam]

Even Best Buy is tired of this war

DVD sales are taking a hit because people are waiting for their favorite movies to reach Hi-Def. Whether people choose to believe it or not, the trend is moving towards Hi-Def.

[iansmccarthy]

HD DVD versus Blu Ray and free competition

I hold no brief for Blu Ray or HD DVD but most people seem to be confused regarding HOW Blu Ray is winning. If Sony and Toshiba were competing fairly then we could let the market decide and let consumers work out which format they prefer but Sony owns a studio and has paid what can only be considered bribes to other studios to limit competition. HD DVDs and players are inherently cheaper to manufacture and the disks are less subject to degradation over time, because of the lower wavelength of Blu Ray. HD DVD also is zone free and less restrictive in the DRM. That seems to be sufficient to explain why some consumers would prefer HD DVD even if Blu Ray has more capacity on the disk. However the whole point is that the consumer is not being allowed to decide.