The HD format war ended just a few hours ago, as Toshiba announced that it will stop producing the HD DVD technology.
The decision comes after it has lost support from key studios and retailers and also from the consumers. This allow consumers to not struggle with the choice of the Sony-backed Blu-Ray or HD DVD
It will start reducing shipments of HD DVD players and recorders and aim to shut down production of the technology by the end of next month. However, it will still support those who already bought the players and was still calculating on how much the shut down would impact its earnings.
HD DVD currently has agreements with NBC Universal’s Universal Pictures, Viacom’s Paramount and Dreamworks Animation. These companies are expected to sign agreements with Blu-Ray in the next coming weeks.
This news also comes to bad news who bought the players and discs as now no more movies would be released under HD DVD, but Blu-Ray; leaving consumers having to buy a PS3 or a Blu-Ray player.
The events leading to its announcement were not surprising, as many predicted HD DVD will fall; starting with the defection by Time Warner’s Warner Bros. studio to Blu-Ray. As well, in the past weeks, many US retailers defected to Blu-Ray like Best Buy and Wal-Mart; and the online video rental company Netflix.
As well, HD DVD only focused on the US market while Blu-Ray focused on both the US and International markets. HD DVD did finally expanded outside the US, but Toshiba never did produced players for that market.
Reuters is also saying Toshiba could enter into an agreement with Sony or Panasonic, it could produce Blu-Ray players; or it could use its joint-venture with Samsung to design the optical disks to make the players.