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February 19, 2008 6:35 AM PST

It's official: Toshiba announces HD DVD surrender

by David Katzmaier
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(Credit: Crave UK)

The two-year war between HD DVD and Blu-ray officially ended Tuesday morning as Toshiba waved the white flag and declared it would stop producing HD DVD products.

The company, which began sales of HD DVD in March 2006 with the HD-A1 player, "decided it was not right for us to keep going with such a small presence," said chief executive Atsutoshi Nishida. The Blu-ray format is now the definitive winner in the war and stands unopposed as the optical media replacement for DVD.

Toshiba's news release goes into a bit more detail: "Toshiba will begin to reduce shipments of HD DVD players and recorders to retail channels, aiming for cessation of these businesses by the end of March 2008. Toshiba also plans to end volume production of HD DVD disk drives for such applications as PCs and games in the same timeframe, yet will continue to make efforts to meet customer requirements. The company will continue to assess the position of notebook PCs with integrated HD DVD drives within the overall PC business relative to future market demand."

Three movie studios currently support HD DVD--Universal, Paramount, and DreamWorks Animation--but we expect them to follow suit and announce support of Blu-ray sooner rather than later. Update: All of these studios have indeed followed suit.

With Blu-ray support announced by industry heavyweights Netflix, Wal-mart and Best Buy, speculation ran rampant before the weekend that Toshiba would end the war, and the company deserves credit for pulling out as soon as it did. The two incompatible formats have led to plenty of confusion among prospective buyers of next-generation hardware and software, although some have opined that the war was a good thing--at least it led to price drops.

We've been advising readers against the purchase of HD DVD players since the announcement by Warner Brothers in January that it would exclusively support Blu-ray. That doesn't mean we're telling everyone to rush out and buy a Blu-ray player now; we still believe that most home theater fans would be better served to wait for prices on players to fall. Of course, with the exit of Blu-ray's major competition, those prices may fall later rather than sooner.

Originally posted at Crave
David Katzmaier reviews HDTVs for CNET. E-mail David or follow him on Twitter @katzmaiercnet.
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Add a Comment (Log in or register) Showing 1 of 5 pages (128 Comments)
It's done.
by Rick Cavaretti February 19, 2008 7:35 AM PST
It's over, done, sealed. Don't aggravate yourself with a discussion of the 'whys'
or 'what could have been.'
Reply to this comment
ABOUT FRIGGIN TIME!!
by Lord-Vader-198 February 19, 2008 7:52 AM PST
This is the day that I have been waiting for since Jan 2007. It was only a matter of time until the they folded camp and it couldn't have come at a better time. Toshiba had a good run but it followed the same path that Beta did. They both were only manufactured by one company and both had the minority of studio support and both FAILED!!!
Reply to this comment
Beta only made by Sony?
by RenoDavid February 20, 2008 11:22 PM PST
Beta only made by Sony?
by RenoDavid February 20, 2008 11:23 PM PST
Um, no, I remember have a Beta VCR made by Toshiba, interestingly enough.
No aggrevation here
by Ksal005 February 19, 2008 7:55 AM PST
I'm glad the war is over but Sony needs to drop their prices or the average family will not cross over. They'll just wait for the next big thing.

I've been waiting and didn't buy either format. Now that I've waited this long, I'll continue to wait until Sony drops their ridiculous prices or I'll just buy an up-convertering DVD and be happy with 1080i.
Reply to this comment
Prices need to drop
by Ksal005 February 19, 2008 8:01 AM PST
Sony now has no incentive to drop their prices. They need to drop them. They are too expensive and too overrated. I never bought BR or HD-DVD. I've waited but now I'm ready to wait even more until Sony drops their prices.

I'm with the other guy. Either Sony drops their prices or I'll get an upconverting DVD player and watch 1080i instead.
Reply to this comment
Up Convert brick
by rtwaits February 19, 2008 9:55 AM PST
We bought a new LCD TV in November 2007, along with a Toshiba HD-DVD HDA3, which I got for $149, which was a pretty good deal. I used the logic that this was a pricey upconvert DVD player, hedging my bets. I was not going to pay over $300 for Blu-Ray and was not going to simply spend near $100 on an upconvert player.
I have only seen a couple of HD-DVD movies (great! by the way). Fortunately I dont have a big budget so I only bought a couple HD titles. I will buy a Blu-Ray at some point, maybe around $100. I may have a long wait. Since HIGH-SPEED broadband is not ubiquitous, and 1 meg is a bit slow for digital downloads, I bet we will have discs for some time to come.
View reply
blu-ray price drops
by ketjr81 February 19, 2008 9:28 PM PST
ok, a big reason the prices didnt drop is because not many people were buying blu-ray players or hd-dvd players. no one wanted to adopt the dead player.. like all the hd-dvd people have now done. now that the only choice is blu-ray more poeple will buy them..and prices will go down! thats how it works.
View reply
So when will I
by impulse2k1 February 19, 2008 8:02 AM PST
get my 40 year old virgin and Bourne series on Blu-Ray??
Reply to this comment
Bring on the Clearance Sales
by sommer182 February 19, 2008 8:38 AM PST
Since I am willing to bet that it will be, oh, let's see, NEVER that Sony will have a $100 Blu-Ray machine, I'm going to buy an extra HD-DVD on clearance for a back up and stock up on combo format movies that will play on both HD and standard DVD machines. I'll also continue my purchases of standard def DVD discs. I am not a backer of HD or Blu-Ray, per say. I am a backer of reasonable priced electronics that work as advertised. Blu-Ray has NOT worked as advertised and is FAR to expensive for my (or my wife's) budget. So, I'll probably sit the rest of this format out on the sidelines--unless I can con her into a PS3...hmmmm, and an xBox? Eh, not likely!
Reply to this comment
Its not just Sony folks!!
by ianim8 February 19, 2008 8:41 AM PST
I knew the gripes about pricing would be the next debate but lets all remember its not just Sony at fault. Its across the board. Its still an early format. I remember having to shell out 90 bucks for a VHS tape :P
Reply to this comment
This is not good...
by HooHaa February 19, 2008 8:47 AM PST
I hate to see Sony win at anything, as they stopped making quality products
years ago. Luckily, I can see BluRay being surpassed by digital downloads before
it becomes as ubiquitous as DVD...

:(
Reply to this comment
by killkill3 August 30, 2008 1:22 PM PDT
Ridiculous Blu-ray is of Sony's invention but the blu-ray standard is not exclusive to Sony. Samsung, Panasonic, Sharp , Phillips all make blu-ray players.
You think Blu-ray will be surpassed by digital downloads? Not likely, personally I don't know how many people would want to download dozens of gigs of entertainment then watch them on their small PC monitor. Sure some may connect their PCs to their TVs but this isnt very reliable especially with plasmas. I'm happy that this format war has ended, now I can buy a Blu-ray player with peace of mind.
No, it isn't just Sony, BUT...
by sommer182 February 19, 2008 8:50 AM PST
No, it is certainly more than Sony. Sharp, Samsung, Panasonic, a movie industry that continues to freak out on piracy issues without actually DOING anything about it (like putting China out of business)...these are all factors. Heck, the fact that Sharp was GIVING AWAY a Blu-Ray machine with every flat panel TV the week after the Warner announcement was a stroke of genius! That inflated the weekly numbers ten-fold! This and other moves were marketing magic that influenced the media into jumping on the bandwagon and putting even more pressure on Toshiba and retail outlets. Leaves me shaking my head. No, it was more than Sony, but they were the ringleaders, and they were NOT going to have another Beta, no matter the cost to us consumers.
Reply to this comment
To those of you who think Sony won't drop prices..
by planblove February 19, 2008 8:57 AM PST
You guys need to come to your senses. Sony is about to make BILLIONS on licensing fees alone. you really think they'll keep prices where they are? They will make MORE money once the prices come down further and they know this. I fully expect to see Blu-Ray players at or below $300 by the holidays and continue to get cheaper as time goes on - the same as DVD did. The cheapest player is currently at $400, the standalone PC Blu-Ray drive(non recording) is $200 RIGHT NOW. The prices will fall.
Reply to this comment
Digital Downloads...tick tock tick tock...
by ianim8 February 19, 2008 9:15 AM PST
Ive kepy my mouth shut about this topic.
Even though Im all for it, do you people honestly think everyone can afford this? Sure we can say the same about BD but come on! Im on the fastest internet I can get in my area, and I still have to wait over night for a tv clip :P
last I checked, no ones been offering a 1080p version of Cars on the internet :P
Give this Digital Downloads a rest till its actually showing signs of consumer viability. Crap, people are just moving from rabbit ears :P
Reply to this comment
Hi Def war
by kennyk3152 February 19, 2008 9:22 AM PST
I think we should all thank the Toshiba Corp. for having the foresight to end this war as quickly as it did. In my estimation the war did nothing to help the consumer. I do feel sorry for the people who bought into the HD-DVD format, only because they are the losers, and for no good reason. I believe that Sony will now be able to bring all of this to a head. Thereby lowering prices and making us all happier in the end.

Kenny K
Reply to this comment
Way too expensive.......
by jev55 February 19, 2008 10:42 AM PST
So let me get this straight.....Older blue ray players that I could possibly
afford don't have ethernet jacks, or support all of the new features, and also
still cost around $300-$400 and are basically obsolete. And the next best
deal is the PS3 which gives me a bunch of other features I don't care
about(already own an Xbox 360, I only play shooters) And I have an HD DVD
player at home that cost $99 and works just fine with every HD DVD movie,
has an ethernet jack for upgrading, and has combo discs that I can play in HD
at my house and take somewhere else and still watch on a regular DVD
player. Why have people been buying Blue Ray players????
Reply to this comment
THANK YOU VERY MUCH!!!
by sommer182 February 19, 2008 12:22 PM PST
Amen, brother! You hit the nail right on the head! $99.00 got me everything I ever wanted in a HD machine. Heck, I still own a PS2, but was leaning heavy towards picking up a 360 this year after Sony ditched supporting PS2 games on the PS3. Why bother spending that kind of money when I can't play the dozens of games I spent that kind of money on earlier? Everything you said was SPOT ON!!
Who cares about ethernet
by BCF1968 February 19, 2008 12:45 PM PST
Ok so the studios can't spam you into buying stuff while you are watching their movie. WOW that's really a BAD thing isn't it? You do realize that's 90% of the reason for internet connectivity in both HD-DVD and blu-players. Did you ever need an internet connection to watch a DVD? Nope.

The other features like PIP commentary and min-games. Who needs or wants those? No one. 99.99% of people just want to watch the movie and the older BR players do that just fine.

Microsoft will in fact come out with a blu-ray add-on for your precious 360.

Quit hating the war is over. Get with the program or just sit there and cry because you were stupid enough to buy HD-DVD. HD-DVD player wer only cheaper because Toshiba was selling them at HUGE losses to combat blu-ray. If there wasn't blu-ray Toshiba would still be selling them for $300 and movies would still be $30.


To the other poster who said he bought 360 because the PS3 didn't play PS2 games.

A) Since when did the 360 play PS2 games? Of course it doesn't which makes your point rather confusing. Basically what you're saying is that you bought a game system that doesn't play PS2 games because some other game system didn't play PS2 games.

B) Yes the PS3 does play PS2 games. The 80 GB does and if you want that bad enough you'd have paid the extra $100 or kept your PS2. I don't get people that want to spend $400 on a next gen gaming machine only to use to to play old gen games.
View all 2 replies
only playstation boys buy blue ray
by WMJZ February 20, 2008 2:50 PM PST
Have you read thte Blue ray Posts closely? go to the profile and check what they own Nothing but Playstations that might explain why. the Duh factor they don't have 50 inch sets or 102 inch home theaters with 7.1 surround sound they are just ignorant play station fanatics with only a pea size technolgical background unless it's games
Movie watching experience
by smatofu February 19, 2008 10:46 AM PST
>>I do feel sorry for the people who bought into the HD-DVD format, only because they are the losers, and for no good reason.<< Unnecessarily. I bought a HD-DVD player for $100 + 10 movies. I got it because my DVD broke. For me, the difference between HD movie and DVD is pretty small. It doesn't affect quality of the movie a bit: crappy movie is still crappy and a waste of time, even in HD. I got the biggest jump in "movie watching quality" by installing a projector. A projector and big screen outperforms all plasmas and LCDs.
Reply to this comment
you guys are talking about disc-less hd downloads?
by HOPELESSforHIghDEF February 19, 2008 10:59 AM PST
check out the vudu. i have a regular dsl connection and it is fast enough to download any hd movie. they have the first 45 min of the movie as a cached file then while you are watching it, the rest of the movie downloads. get through the first 45 and the rest of the movie is done.

think of having an hd jukebox. this is the real deal.
http://www.vudu.com/

blu-ray won and prices WILL drop.
Reply to this comment
UNBELIEVABLE - My 88 year old uncle is CRUSHED.
by SCAZMarketing February 19, 2008 11:56 AM PST
Well, my uncle is a two time loser: In the 80's he went with Sony and in 2007 he went with Microsoft. Kinda a different perspective on the format wars:

http://www.socoolaz.com/article.cfm?articleID=30121
Reply to this comment
Projector and Big Screen out performs plasma?
by shawakwak February 19, 2008 11:56 AM PST
A projector and big screen outperforms a plasma in one area. Size. And that's it. Projectors: Quality is OK, Colour is OK, Black Levels are OK and overall picture quality is generally poor.

If you want to impress your friends with size buy a projector if you want a great picture buy a Pioneer Plasma.
Reply to this comment
VHS AND BETA FLASH BACK !
by hkoby February 19, 2008 12:16 PM PST
Same scenerio but opposite out come! Remeber Beta did have better quality but VHS won. Same here HD had better players and lets not forget less to none movies not playing. One thing life teaches is the the better guy doesnt allways win the smartest does. In my opinion Sony won with smart moves the were playing chess why HD was playing checkers. Think about it signing deals with major movie studios to only make Blu - Ray movies. Then other deals with department stores. Quality is exatly the same but if you walked into Bestbuy or Wal-Mart before the announcement u saw mostly Blu-Ray titles not to mention the better displaying of the Blu-Ray. With out the last big movie studio moving it was just a matter of time. So to me it was just the right moves.Anyway i'm glad the wars over PS3 here I come! 2 buy any other player would b stupid! at least right now.Oh yea PS3 is the best because i believe the whole format was built around the PS3. why was it the only 1 with upgrade capabilties. and i ve read the gaming industry is bigger than the movie. so another chess move by SONY!
Reply to this comment
digital downloads? Maybe in 2020
by BCF1968 February 19, 2008 12:28 PM PST
FACT: 1/3 of Americans do NOT have internet

FACT: 1/6 of Americans have dial-up( most not by choice )

That's leaves 50% of the country of out digital downloading.

FACT: Currently 50% of Americans with broadband have speeds of 2 Mbps. Too slow for either HD downloading or streaming.

FACT: Since the US doesnt have a broadband policy ISPs are not motivated to provide broadband to those areas currently not served nor to increase speeds where they face no competition.

FACT: Even in areas where there are broadband speeds fast enough for HD downloading and streaming ( 8 Mbps minimum ). Prices remain much to high for the average consumer to want to fork out the cash for any "benefit"

FACT: HD movie downloads from places like Xbox live and Itnes are RENTALS. Which is fine if you like that. If you want to OWN Hd movies you still need to buy discs. Even if the studio did allow you to own HD downloads no doubt they would be full of restrictions to make them impractical and inconvenient to even want to own.

FACT: HD movie downloads from XBL and Itunes are 720p not 1080p like blu-ray and have bitrates from 4 Mbps( itunes ) to 6 Mbps (XBL) whereas blu-ray is 40 Mbps. Anyone claiming a 720p HD download with a 6 Mbps bitrate is the same thing as a 1080p blu-ray disc that has a 40 Mbps bitrate is ignorant.

FACT: It's a good thing HD downloads aren't 1080P with 40 Mbps bitrates because they would take 3 1/2 hours to download even with a 16 Mbps connection and nearly 6 hours with a 10 Mbps connection.

So physical media will be need an wanted for a LONG time.
Reply to this comment
Good Points
by JC-G35 February 19, 2008 2:28 PM PST
I have grown tired of hearing BD (and HD-DVD until recently) are probably only short-run technologies and the next great leap forward will be the delivery of HD content via downloads or streaming media. I couldn't disagree more. The points you make are right on target. While I appreciate the ability to download or stream various content to portable devices (and I see some potential with the products like the upgraded Apple TV and Zudu) and I love the HD content on DirecTV, they in no way compare to the audio and video quality of BD. More importantly, I don't see how that quality can be matched any time in the near future via broadband connections. Those that are waiting for "the next great technology/innovation" are missing out on a great home theater/media room experience available right now!
youre right! Go Blu!
by sonymaster101 February 19, 2008 3:55 PM PST
Ive been trying to make those points for a long time. people just dont seem to understand a lot of the truth behind hd downloads. the fact is, optical formats will always be better than hd downloads, that is unless us isps invest about 1 trillion dollars into our intertnet structure, which for the most part would only make the net more useful for pirates and botnets. great job on the research!
oh how wrong you are
by WMJZ February 20, 2008 5:30 PM PST
It won't be downloading it will be streming it's already there . watch abc and cbs hd content in hd on a 60 inch screen picture is great how wrong you are
Hurdle for BD is pricing for 1080p HDTVs
by dkarageo February 19, 2008 12:52 PM PST
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