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Toshiba To Halt HD-DVD Production

Posted by Soulskill on Mon Feb 18, 2008 05:19 AM
from the one-format-to-rule-them-all dept.
Multiple users have written to tell us that Toshiba is planning to halt production of devices related to HD-DVD. According to Japanese broadcasting network NHK, Toshiba will lose "hundreds of millions of dollars" as the format war finally draws to a close. Regardless, investors are pleased that Toshiba has made the decision to cut its losses. This comes after a last-ditch price cut was unable to prevent Wal-mart from throwing their lot in with Blu-ray, although some sources suggest that Wal-mart was already aware of Toshiba's plans to withdraw from fight.
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Related Stories

[+] News: HD DVD Prices Slashed By Toshiba 414 comments
Hellburner writes "Hoping to stop the inevitable, Toshiba has slashed the price of entry-level HD DVD players to $150 — down from the previous $300. 'It's a half-empty, half-full moment for retailers, who could see a sales boost at the same time that some may be faced with price matching from holiday sales ... The theory: play up the acceptance by consumers who have already paid for HD DVD versus those who get it with something else like a gaming console, get more players out there--and dare studios to ignore those consumers. In addition to the sales cuts, Toshiba will launch major initiatives, including joint advertising campaigns with studios.'"
[+] News: Toshiba Making Funeral Plans for HD DVD 452 comments
Blue Light Special writes "With HD DVD on life support, Toshiba is reportedly preparing to bow to the inevitable and allow HD DVD to expire quietly. 'While denying that a decision on the fate of HD DVD has been made, a Toshiba marketing exec left the door wide open. "Given the market developments in the past month, Toshiba will continue to study the market impact and the value proposition for consumers, particularly in light of our recent price reductions on all HD DVD players," Jodi Sally, VP of marketing for Toshiba America Consumer Products, said.'" A few folks have also noted that Wal-mart is joining the Blu-ray train, further lowering the stock of HD DVD.
[+] News: Sony Paid Warner Bros. $400 Million to Go Blu-Ray? 487 comments
eldavojohn writes "How much would you pay to be the leading video media technology right now? Is $400 million too much? Sony didn't think so and this article speculates that's how they won the Hi-Def format war. 'With billions of dollars in global sales at stake, experts had predicted the Toshiba-Sony battle would go on for years - not unlike the 1980s battle of videotape formats between VHS (Matsushita) and Betamax (Sony). That war lasted a decade, leaving Sony battered and humiliated. So how did this epic battle come to such an abrupt end? The answer lies in part with the bruising Sony experienced with Betamax, which, like Blu-ray, was also the better product on paper.'"
[+] Why Microsoft Won't Have Blu-ray on the Xbox 395 comments
Ian Lamont writes "Ever since Toshiba stopped production of HD DVD players, many Xbox 360 owners have been wondering when Microsoft will offer some sort of Blu-ray option for the Xbox 360. The answer: Probably never. Microsoft's product manager for the Xbox 360 has told Reuters that Microsoft is not in talks with Sony or the Blu-ray Association. Why not? The Industry Standard points to HDi, an obscure Microsoft technology that was part of the HD DVD interactivity layer. HDi may be dead on physical media, but it could potentially be applied to other Microsoft HD-compatible technologies such as Xbox Live Arcade and Windows Media Center, and be part of a long-term play to own a big share of the market for HD content delivered over the Internet."
[+] News: Bad Signs For Blu-ray 1276 comments
Ian Lamont writes "More than six months after HD-DVD gave up the ghost, there are several signs that Sony's rival Blu-ray format is struggling to gain consumer acceptance. According to recent sales data from Nielsen, market share for Blu-ray discs in the U.S. is declining, and Sony and its Blu-ray partners are trying several tactics to boost the format — including free trial discs bundled into magazines and cheap Blu-ray players that cost less than $200."
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  • by Anonymous Coward on Monday February 18 2008, @05:24AM (#22461024)
    Blu-Ray is so much easier on the tongue than a mouthful of acronym(s).
    • by ledow (319597) on Monday February 18 2008, @05:27AM (#22461044) Homepage
      Yeah, they would have been much more accepted if they had pronounced it "Heidi DVD". :-)

      I always think the funniest acronym is PXE UNDI - it sounds like fairy knicker to me.
        • by Eivind (15695) <eivindorama@gmail.com> on Monday February 18 2008, @06:21AM (#22461350) Homepage
          Nobody gives a fuck. Ok ?

          90%+ of average consumers don't have any clue whatsoever what "VHS" stands for, and couldn't care less.

          For that matter, most consumers couldn't tell you what "HD" stands for either.
        • by Escogido (884359) on Monday February 18 2008, @06:47AM (#22461516)

          But HD DVD doesn't sound stupid. It says exactly what it is, and doesn't embarrass itself. Blu-ray, besides being spelled incorrectly, says nothing about what it is. Whatever happened to the glory days of Video Home System, Compact Disc, and Digital Versatile Disc?
          Are these all *that* much better than BR really? I agree that unlike BR they give people a vague idea what they are about, but you honestly don't expect people to instantly understand what either of them implies anyway. Think of it, if you never knew what a Digital Versatile Disc is, what'd you imagine it to be? A disc with digits on it that can be used as a lot of other things? :)

          It's more like a product trademark to me: you don't complain that the word Panasonic is 'better' than say Toshiba, just because Panasonic literally means pro-sound and Toshiba is a compound noun where To- means Tokyo, and what -shiba is I forgot. But that doesn't still make Panasonic any 'better'.
            • by The Qube (749) on Monday February 18 2008, @03:54PM (#22467484)
              Not to burst your bubble, but Sony has won pretty much every format war:
              3.5" Floppy Disc - today's format is based on Sony design
              Compact Disc - developed by Sony and Philips
              DVD - developed by Sony and Philips
              Digital Audio Tape - de-facto standard in the music and professional audio industry
              Beta - the standard tape format in the video industry for the past 20 years
                • by The Qube (749) on Monday February 18 2008, @04:43PM (#22467976)
                  Not at all. Surgeon General says that smoking is harmful...

                  Betacam, Betacam SP, DigiBeta and the newer HD versions are THE standard in the video industry. Even the Betacam SP, now 20 years old at least, is very widly used and still hasn't been fully replaced by the newer digital versions, even in the "Western" video world.
        • by ozamosi (615254) on Monday February 18 2008, @06:52AM (#22461546) Homepage
          It's a feature.

          Digital Versatile Disc is a backronym - DVD originally meant Digital Video Disc, until they realized how stupid the name actually was ("Yeah, this game is distributed on a video disc. But it's not really a video..."), at which point they just redefined the abbreviation. When I think about it, I realize that HD-DVD's name is just as stupid: you can have just as High Definition audio/video or interactive media on HD discs as you can on "SD discs", just not as much.

          By not having a meaning, blu-ray avoids that problem - a blu-ray disc is a disc that uses blue rays.

          I do think that CD is a good name - it tells me what it is (a disc that's quite small, compared to LP's), not what they developed it to contain. But CDSDWEMRFDTDVD (Compact Disc-sized Disc With Even More Room For Data Than Digital Versatile Discs) doesn't have such a nice ring to it... Of course, today it's more of a Big Disc, compared to Minidisc or mini-DVD, which again shows that neutral names are better.

          To finish off, let me just counter your "glory days" argument by saying "BetaMax" and "Video2000".
          • by Metorical (1241524) on Monday February 18 2008, @08:20AM (#22462030)
            [rant]

            This is not insightful, you've just made up facts, so you're forcing me to finally sign up.

            I visited Samsung back when DVD technology was still in the labs and their guys were very keen to show it off. They all referred to it as a Digital Versatile Disc. Remember at this point you couldn't buy a DVD in the stores and data DVDs became mainstream a long time after videos.

            Also for it to be a backronym then it couldn't have been an acronym beforehand. From dictionary.com:

            backronym jargon
            (Backward acronym) A word which has been turned into an acronym

            or

            n. [portmanteau of back + acronym]
            A word interpreted as an acronym that was not originally so intended.

            [/rant]
            • by rtechie (244489) on Monday February 18 2008, @05:44PM (#22468554)

              I visited Samsung back when DVD technology was still in the labs and their guys were very keen to show it off. They all referred to it as a Digital Versatile Disc.
              He's not wrong. The SPEC was originally called "Digital Video Disc" and it was changed to "Digital Versatile Disc" during development. However, the term Digital Video Disc was widely used in promotional materials, particularly by the DVD Forum. So "Digital Video Disc" became semi-official. You can still find new discs labeled Digital Video Disc. I saw this on some DVD-Rs I bought the other day.

        • by ceeam (39911) on Monday February 18 2008, @07:21AM (#22461714)
          You mean "Vertical Helix Scan" and "Digital Video Disc"? (and I like these original "decodings" better)
        • by drsquare (530038) on Monday February 18 2008, @07:42AM (#22461816)
          HD-DVD doesn't tell you what it is. From the name, I'd assume it was a normal DVD with HD content on, that could be played by hooking up a normal DVD player to a HDTV. With blu ray you know it's a different format straight off. And five fucking syllables...
    • PCMCIA (Score:5, Funny)

      by smitty_one_each (243267) * on Monday February 18 2008, @08:08AM (#22461962) Homepage Journal
      People Can't Memorize Computer Industry Acronyms.
    • by Tony Hoyle (11698) <tmh@nodomain.org> on Monday February 18 2008, @09:17AM (#22462554) Homepage
      Blu-Ray is so much easier on the tongue than a mouthful of acronym(s).

      I'm not sure something that can be (and frequently is) pronounced 'Blurry' is a great name for an HD format either...
  • by plierhead (570797) on Monday February 18 2008, @05:25AM (#22461036) Journal

    This is of course great news (that the war is over - nothing to do with who won), but having forked out for a Blu-Ray disc lately (running around $50 over here) I can honestly say that I wish I had not fallen for the blandishments of that sales guy who told me I should buy a smaller, but much higher definition, TV.

    If I had my buying decision over I would say after the initial technogasm brought on by seeing every hair on the actor's heads, you very quickly forget about the quality and just wish your screen was bigger. (Apparently this is a common effect.)

  • by TheVelvetFlamebait (986083) on Monday February 18 2008, @05:40AM (#22461118) Journal
    May there be a niche market of stupid rich guys waiting for you up in heaven.
  • by beset (745752) on Monday February 18 2008, @05:47AM (#22461156) Homepage
    And in other news, satan is ice skating to work today.
    • by 91degrees (207121) on Monday February 18 2008, @06:15AM (#22461322) Journal
      If Bluray is a Sony format, so is DVD and CD. Sony backed it strongly and presumably did a lot ofthe original development but it's not a Sony format in the same way that minidisc and Betamax were. Sony got other companies on board as part of the standards consortium.

      This might explain why it didn't fail. Companies prefer it when the standards body isn't the same organisation as their rival. There's always a risk that the standard might change specifically to favour one manufacturer.
    • by LingNoi (1066278) on Monday February 18 2008, @06:51AM (#22461534)
      They might have beaten HD DVD but they haven't beaten the biggest contender.. DVD.
  • by Schmiggy_JK (867785) on Monday February 18 2008, @05:59AM (#22461236)
    The real competition is DVD. HD media isn't doing terrible by any means, numbers wise it is doing better than DVD was at this time in its life cycle. However DVD sales are dominating both HD formats. And thanks to this competition prices should continue to be reasonable as HD adoption hasn't taken over yet. Thus this lone single format should be good for HD business, and for consumers.
  • by Anonymous Coward on Monday February 18 2008, @06:05AM (#22461254)
    I was kind of hoping HD DVD would win this one, now we'll be stuck with region locked movies for another decade till the next thing comes along.
    • by robosmurf (33876) * on Monday February 18 2008, @06:29AM (#22461406)
      It's even worse than that: at least with DVD region-free players were available easily almost from the beginning.

      With Blu-ray, almost all Blu-ray players in existence are Playstation 3 consoles. As far as I'm aware, no one has managed a region-free version of this.
      • Both of these appeared on Blu Ray in the US while they were still showing in cinemas in Europe.

        The solution here is to set sane release dates for stuff (both in cinema and on disc) instead of locking out your customers (also, there are a lot of suggestions that region coding is an illegal restriction on free trade... shame no one's sued the studios yet).

        Honestly, if you release stuff in one country before another, you really can't complain when people take it upon themselves to import it (through legal or illegal means).
  • by reybrujo (177253) on Monday February 18 2008, @06:08AM (#22461274) Homepage
    Gaming sites report that Toshiba hasn't given up [gamesindustry.biz] yet. I guess they want to deplete their HD-DVD hardware before killing the format.
  • For Sale (Score:5, Funny)

    by PinkyDead (862370) on Monday February 18 2008, @06:41AM (#22461486) Journal
    1 HD-DVD Player, never used. Best offer accepted.

    (Please...)
    • by Jafafa Hots (580169) on Monday February 18 2008, @05:27AM (#22461046) Homepage Journal
      Exactly. When will huge multinational corporations stop forcing competition down people's throats and realize that what consumers want is monopolies, lack of choice and the resulting high prices!
      • by terjeber (856226) on Monday February 18 2008, @06:07AM (#22461268)

        Why is it that people conflate competition and competing formats? There was more competition in the Blu-Ray camp than there was in the HD DVD camp. Toshiba was dumping players, but there was still no real competition, Toshiba was the only (real) manufacturer. You can have competition when there is a single standard, no problem. There is, for example, competition in the DVD business, always has been. Are there more than one DVD format? Did the DivX fiasco add value for the consumer?

        The format war would have made sure we had continued high prices for a long time to come since the war it self slowed down adoption. With slow adoption both consumers and producers will tend to do a lot of fence sitting, and that is not good for anybody since it takes longer to get to the benefits of economics of scale. Everybody but pirates benefits from this war being over.

        • by robosmurf (33876) * on Monday February 18 2008, @06:21AM (#22461364)
          Except that the Blu-ray specification is such a mess that there is exactly one Blu-ray player on the market that is worth buying as it will be properly compatible - the Playstation 3.

          The Playstation 3 has outsold all other high-definition disc players on the market put together by a huge margin. This is the only machine that disc manufactures will make sure is fully compatible.

          If this situation continues, and the other manufacturers don't drastically improve their performance, then Blu-ray is set to become almost as proprietary to Sony as the UMD.

          • by The13thSin (1092867) on Monday February 18 2008, @07:29AM (#22461752)

            The current 18 board members (as of January 2008) are: [blu-raydisc.com]

            • Apple Inc.
            • Dell Inc.
            • Hewlett-Packard Company
            • Hitachi, Ltd.
            • LG Electronics
            • Mitsubishi Electric
            • Panasonic (Matsushita Electric)
            • Pioneer Corporation
            • Royal Philips Electronics
            • Samsung Electronics
            • Sharp Corporation
            • Sony Corporation
            • Sun Microsystems
            • TDK Corporation
            • Thomson SA
            • Twentieth Century Fox
            • Walt Disney Motion Pictures Group / Walt Disney Studios Home Entertainment
            • Warner Home Video Inc.

            Like the PS2 was one of the biggest DVD players in the beginning, the PS3 will be the biggest Blu-ray player... that is untill in 1 1/2 year a $100 Samsung / LG profile 2.0 Blu-ray comes on the market.

          • by gEvil (beta) (945888) on Monday February 18 2008, @08:45AM (#22462220)
            Except that the Blu-ray specification is such a mess that there is exactly one Blu-ray player on the market that is worth buying as it will be properly compatible - the Playstation 3.

            And even that one isn't feature-complete with regards to the audio codecs that BD supports. To the best of my knowledge, there isn't a single BD player out there that supports the full range of options that are in the BD spec.
              • by Miamicanes (730264) on Monday February 18 2008, @10:40AM (#22463458)
                It's ironic... the cheapest crap DVD players from China will play anything vaguely resembling an optical disc with files vaguely resembling a standard published somewhere just fine, but expensive high-end players even choke on discs they're SUPPOSED to be able to play. I had a friend with the exact same problem... the $600+ Denon he had in his living room refused to play anything from a DVD+R, but the $129 no-name player from WalMart in the bedroom worked just fine (this was a few years ago, as you can tell from the prices).

                Concerns about 1.1 players aren't completely unfounded thanks to BD+ and its DRM "enhancements". BDA has reserved every right to revise the Blu-Ray standard in a way that would render 1.0 (and possibly 1.1) players unable to play even the main feature. They haven't done it yet... but they could, and consumers (in the US, at least) would have no recourse whatsoever. It says so right on the first or second page of every new player's manual.
                • by prisoner-of-enigma (535770) on Monday February 18 2008, @11:54AM (#22464524) Homepage
                  It's ironic... the cheapest crap DVD players from China will play anything vaguely resembling an optical disc with files vaguely resembling a standard published somewhere just fine, but expensive high-end players even choke on discs they're SUPPOSED to be able to play. I had a friend with the exact same problem... the $600+ Denon he had in his living room refused to play anything from a DVD+R, but the $129 no-name player from WalMart in the bedroom worked just fine (this was a few years ago, as you can tell from the prices).
                  You are so right on the money. You have no idea how many tortured conversations I've had with idiot clients that went something like this:

                  Client: The DVD your sent me is worthless! It doesn't work! Send me another one!
                  Me: Sir, what brand player do you have?
                  C: It's a Marantz, their top of the line! Your product is crap! I want a new DVD!
                  Me: Sir, the Marantz players are not compatible with DVD-R/RW or DVD+R/RW media, and they do not properly implement the full DVD specification. It's not our disc, it's your player.
                  C: [frothing] That's impossible! It's the most expensive player on the planet! I paid $8,000 for that DVD player! It's made of precious metals! It has to be the best because it costs the most! Your product is the problem! I demand a new disc!
                  Me: Sir, there's nothing we can do to make it play on your Marantz. If you call Marantz they will confirm it will not play burned media. I suggest you go purchase a cheap $99 upscaling DVD player at Wal-Mart. It will play our discs just fine and with a quaility indistinguishable from your Marantz.
                  C: [completely unhinged] That's insane! How could a $69 player work better than my platinum-encased $8,000 Marantz? It must be your disc at fault!

                  Eventually I convince the client that reality does indeed exist. They try the cheap player. They see it work. They try the same disc in their gold-plated uber-player and it doesn't work. They feel like complete asses for spending that kind of dough on a DVD player. Next client, please.

                  Barnum was right.
                • by HTH NE1 (675604) on Monday February 18 2008, @11:56AM (#22464554)

                  Profile 2.0's only real feature is Internet connectivity, which is kinda neat...
                  I remember when the complaint about DiVX was that it phoned home your viewing practices. I guess this has become more acceptable now that it uses the Internet instead of your phone.
      • by Kris_J (10111) * on Monday February 18 2008, @06:12AM (#22461304) Journal
        I don't want more choice, I just want better stuff.
      • Fail... (Score:5, Insightful)

        by sgant (178166) <`moc.liamg' `ta' `tnagsk'> on Monday February 18 2008, @07:56AM (#22461888) Homepage Journal
        So there should be two formats or even more out in the world to give a choice for consumers? A choice to not buy either until one format wins so they don't get left with obsolete hardware where nothing new is going to be released on?

        How about this, every studio comes up with their own format! That way, there's tons of choices for the consumer! Want to watch a Univeral or Paramount movie? You have to buy a special player to play their formats. Think of the possibilities! Think of the competition! Think of the illegal downloads because no one would want to put up with that bullshit!

        I think your analogy needs work.
        • by mrxak (727974) on Monday February 18 2008, @05:54AM (#22461208)
          For those that think we're better off without standards, imagine if there were multiple competing HTTP protocols.
        • by Gerzel (240421) <brollyferretNO@SPAMgmail.com> on Monday February 18 2008, @06:22AM (#22461366) Journal
          They mean the same thing to a complex mind when the formats in question are both proprietary and do about the same thing.

          In this case there was competition between the formats not only in which format was "better" in terms of storage quality (not to mention archival, access speed and other properties) but also even if one format was clearly superior which was better in terms of price and availability.

          I don't think having both formats around was hurting anything as both are still in early adoption phases, most users don't have Blu-Ray or HD DVD yet and a large portion perhaps even a majority don't have the capabilities to use such formats (at least in the new abilities they provide) yet over the older standard.

          I still see this as a bad thing and perhaps the "wars" are not over at all as Hard Drives, Flash drives and other storage options are coming down in price and are able to offer similar amounts of storage. The real contender in these "wars" as I see it could be download bandwidth rather than delivery of a physical piece of media.

          In the end these media wars are good for the consumer. Take CDs for example, a format that won with relatively little competition. The way things are sold to consumers is that the new format is more expensive at first but as it takes hold and becomes dominant is prices drop to match the old cost with a margin determined by the cost of production. Music CDs are still fairly expensive and have not come down (as I believe) to a price comparable to that of Cassettes even though the older format has been more-or-less out of the market for several years now.

          For Formats it is difficult to raise prices on consumers as there is an expectation that the prices will fall over time and consumers will need a reason to pay more with the information on the format primarily being a luxury good. However that expectation works both ways as consumers expect that two items of the same format will cost about the same on average.
    • by 0xdeadbeef (28836) on Monday February 18 2008, @06:35AM (#22461444) Homepage Journal
      Toshiba will think twice next time when it comes to forcing competing formats on consumers.

      I bet you post comments on YouTube.
      • by Charcharodon (611187) on Monday February 18 2008, @06:14AM (#22461320)
        Left, right it doesn't really matter. I took me all of two weeks to stop feeling weird driving on the left and a month to stop making random right lane errors.

        The only thing that I find unfamthomable is the use of some of the colors on the road.

        For example they only use white paint for the lines. In the States they use white and yellow. You can tell the difference real quick which lanes are for your direction of traffic (white) and which is the divider line (yellow). I've had more than a few moments of panic where I could not tell for the life of me which lanes were which.

        I take that back there are two things about driving in the UK, the second is do you people believe in F'ing street/road signs? Considering that the names of the streets change every 3 blocks and they don't run in a straight line more than 25 yards at a go, it would be simply amazing to have both the street and the cross street names on a sign, you are lucky just to even have a cross street that you can see from the road you are travelling on.

        I foresee a GPS in my immediate future.

      • by gsslay (807818) on Monday February 18 2008, @07:35AM (#22461778)
        Whenever anyone mentions England driving on the right, I think; "Good, won't be affecting the rest of us in the British Isles then."

        Although it would make crossing the borders interesting.
      • by Xesdeeni (308293) on Monday February 18 2008, @09:42AM (#22462836)
        We tried in the 70's.

        My theory about why it failed is that this was the same time the government decided we needed to slow down on our huge highway system. So 70+ Mph roads were reduced to 55 Mph. About the same time, there was an attempt to introduce the Metric system, requiring cars to have kph on their dials and Speed Limit signs to include it as well. The problem (my theory) is that they chose to equate 55 Mph to 80 Kph. It didn't take a calculator to figure out that 80 Kph is closer to 50 Mph, because it was clearly obvious on your own speedometer! So drivers eschewed the Metric system so they didn't have to slow down even more. If the powers that be had had the greenest of green marketing team, even they would have realized posting 90 Kph (almost 56 Mph) would have garnered more public acceptance.

        But as a result of the attempt, we now live in a perpetual limbo. Gas and milk are sold by the gallon. Cola (soda pop, whatever you call it) is sold by the liter. Everyday life is measured in inches, feet, yards, and miles, while anything scientific is carried out in meters. Dry medicine is measured in milligrams, but our weight in pounds. Sigh...

        Xesdeeni
    • Re:PS3 Success? (Score:4, Insightful)

      by MosesJones (55544) on Monday February 18 2008, @08:29AM (#22462104) Homepage
      Its an interesting definition of disastrous to say that the biggest selling HD console has been a disaster, and as for the idea that bundling Blu-Ray into the box wasn't a smart move this has been cited from the beginning as a major issue with XBox 360 in that while MS backed the HD-DVD standard they didn't integrate it into the box because of the desire to get the console to market quicker. This led to a market in which one "HD" console has HD level movie content (and similarly large available storage on its gaming disks) and the other has an after point of sale device with no gaming advantage.

      Anyone who thinks this wasn't part of the strategic play for Sony and that having the cheapest Blu-Ray player on the market won't help PS3 sales is looking at this from a purely gaming perspective.

      Wii remains the family console, Sony is now the HD player and the "pretty" graphics console option.

      The biggest question is now where this leaves XBox as it is in a real bind as to how quickly they role out a Blu-Ray player extension to stop people buying the PS3 to get Blu-Ray and whether they release a new XBox 360-HD edition that has Blu-Ray baked in.