AFI BLOG: Media and Technology

Best Buy, Netflix Back Blu-ray In High-Definition Format War - The Wall Street Journal

In another move that appears to cement Blu-ray’s position as the winning next-generation format for DVDs, Netflix and Best Buy Co. are throwing their support behind Blu-ray discs.

The votes of support for Blu-ray, developed by Sony Corp., from Best Buy and Netflix don’t bode well for the rival high-definition format, HD DVD, largely developed by Toshiba Corp. It is still reeling from a major blow from Time Warner Inc.’s Warner Bros., which had been supporting both formats but in January said it would start supporting Blu-ray only.

Toshiba has been running an extensive marketing campaign, including price cuts and steady advertising, to keep consumers interested in HD DVD, but didn’t make promises about the future of its format after Monday’s news about the retailers. “Given these developments, 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,” a spokeswoman said. She called the decision by Best Buy “unfortunate.”

The decision by Best Buy, the nation’s #2 DVD retailer, should encourage other retailers to take similar steps. A spokeswoman for Wal-mart, the nation’s #1 retailer, said it was still undecided on the future of its high-definition discs as of Monday evening.

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