The Writing is on the Wall for HD-DVD

On what must be a sad day over at the HD-DVD camp, the group has canceled a press conference previously scheduled on the eve of the Consumer Electronics Show. From the email they sent out:

Based on the timing of the Warner Home Video announcement today, we have decided to postpone our CES 2008 press conference scheduled for Sunday, January 6th at 8:30 p.m. in the Wynn Hotel. We apologize for any inconvenience this may cause.

We are currently discussing the potential impact of this announcement with the other HD DVD partner companies and evaluating next steps. We believe the consumer continues to benefit from HD DVD's commitment to quality and affordability – a bar that is critical for the mainstream success of any format.

Toshiba, the main consumer electronics company behind HD-DVD has also chimed in on today's devastating news that Warner will be going Blu-ray exclusive in June 2008.

Toshiba is quite surprised by Warner Bros.' decision to abandon HD DVD in favor of Blu-ray, despite the fact that there are various contracts in place between our companies concerning the support of HD DVD. As central members of the DVD Forum, we have long maintained a close partnership with Warner Bros. We worked closely together to help standardize the first-generation DVD format as well as to define and shape HD DVD as its next-generation successor.

We were particularly disappointed that this decision was made in spite of the significant momentum HD DVD has gained in the US market as well as other regions in 2007. HD DVD players and PCs have outsold Blu-ray in the US market in 2007.

We will assess the potential impact of this announcement with the other HD DVD partner companies and evaluate potential next steps. We remain firm in our belief that HD DVD is the format best suited to the wants and needs of the consumer."

Well, Toshiba, HD-DVD won't be for long. As of June when the Warner support goes Blu-ray exclusive, 70% of Hollywood content will be on Blu-ray only. In the meantime, with all the press reporting the Warner news, this will negatively impact HD-DVD player sales.
This effectively is the beginning of the end for HD-DVD. With only Paramount and Universal backing it, the HD-DVD format cannot last beyond the end of the year. Variety seems to agree, reporting "Warner's shift toward Blu-ray is expected to hasten the demise of HD DVD."