Deathblow: Paramount to abandon HD DVD in return to Blu-ray
Paramount Pictures is poised to drop its support of HD DVD in favor of Sony’s Blu-ray format, landing a decisive blow to the Toshiba-backed next-generation DVD format and all but assuring Blu-ray's role as the future standard for all high-definition digital video discs.
The news, which comes by way of the Financial Times, arrives just days after Warner Bros. said it would switch to releasing high-definition movies only in the Blu-ray disc format, abandoning a neutral strategy that saw it's catalog available for both HD DVD and Blu-ray next-generation DVD players.
The move will leave Universal as the lone major Hollywood studio backing the HD DVD format and presumably conclude a multi-year battle for supremacy in the home entertainment market, leaving HD DVD to suffer the same fate as Sony’s now obsolete Betamax video technology when it lost out to VHS in a similar format war back in the 1980s.
As noted by the FT, Paramount and DreamWorks Animation -- makers of the Shrek series of films -- came out in support of HD DVD last summer, joining General Electric’s Universal Studios as the main backers of the format.
However, Paramount is understood to have a clause in its contract with the HD DVD camp that would allow it to switch sides in the event of Warner Bros. backing Blu-ray, the financial paper said, citing people familiar with the situation.
It's reportedly unclear whether DreamWorks has the same get-out clause in its contract with the HD DVD camp, but the animation studio maintains a close relationship with Paramount as the distributor of its films on disc.
For its part, Universal has remained mum on its forward looking plans for high-definition video discs and has declined to comment on the situation since Warner Bros. announced its intention to drop HD DVD support last Friday.
Update: According to Bloomberg, Paramount has denied the report by the Financial Times.
"Paramount's current plan is to continue to support the HD DVD format,'' Brenda Ciccone, a spokeswoman for Paramount, said in an e-mail.
Meanwhile, Keisuke Ohmori, a spokesman for Tokyo-based Toshiba, called the Financial Times' report "speculative."
The news, which comes by way of the Financial Times, arrives just days after Warner Bros. said it would switch to releasing high-definition movies only in the Blu-ray disc format, abandoning a neutral strategy that saw it's catalog available for both HD DVD and Blu-ray next-generation DVD players.
The move will leave Universal as the lone major Hollywood studio backing the HD DVD format and presumably conclude a multi-year battle for supremacy in the home entertainment market, leaving HD DVD to suffer the same fate as Sony’s now obsolete Betamax video technology when it lost out to VHS in a similar format war back in the 1980s.
As noted by the FT, Paramount and DreamWorks Animation -- makers of the Shrek series of films -- came out in support of HD DVD last summer, joining General Electric’s Universal Studios as the main backers of the format.
However, Paramount is understood to have a clause in its contract with the HD DVD camp that would allow it to switch sides in the event of Warner Bros. backing Blu-ray, the financial paper said, citing people familiar with the situation.
It's reportedly unclear whether DreamWorks has the same get-out clause in its contract with the HD DVD camp, but the animation studio maintains a close relationship with Paramount as the distributor of its films on disc.
For its part, Universal has remained mum on its forward looking plans for high-definition video discs and has declined to comment on the situation since Warner Bros. announced its intention to drop HD DVD support last Friday.
Update: According to Bloomberg, Paramount has denied the report by the Financial Times.
"Paramount's current plan is to continue to support the HD DVD format,'' Brenda Ciccone, a spokeswoman for Paramount, said in an e-mail.
Meanwhile, Keisuke Ohmori, a spokesman for Tokyo-based Toshiba, called the Financial Times' report "speculative."
Comments
Now, what has Apple decided on, again? (If it has).
At first I was against blu-ray cause I hated sony. Then M$ entered the picture so I figured dual-format would be best. But since this war is ending so quickly I'm quite happy. This is only going to promote HD adoption and get rid of any confusion. In the end I was wrong about Blu-ray and wrong about hd-dvd. I read this article last night from FT.com, I really didn't see any proof in it that paramount was doing this, but I hope they do... and do it quick.
If I'm also shocked that apple hasn't included a BTO blu-ray drive yet.
http://www.bloomberg.com/apps/news?p...bU&refer=japan
One thing though... Paramount did NOT say they weren't going dual-format. So that is still an option.
Oh of course, but the implications are far less grim than saying they are dropping HD-DVD all together.
Looks like this report is bogus...
http://www.bloomberg.com/apps/news?p...bU&refer=japan
Ah, usually, when a spokesperson says ".... the current plan is to continue with blah blah...." it usually means that they are still in discussions, those discussions are well along, and the current plan will be jettisoned with high probability!
That maybe so, but if Paramount went blu-ray as well, all hd-dvd would have is universal... which seems to be considering blu-ray too with their tight lips.
I'm just posting this because the story is false. Not to start another format debate over whether HD is on the way out. I have both so whoever wins does not matter to me. But for those out there firmly in the HD camp, I'm sure they would appreciate the real story.
I'm just posting this because the story is false. Not to start another format debate over whether HD is on the way out. I have both so whoever wins does not matter to me. But for those out there firmly in the HD camp, I'm sure they would appreciate the real story.
I'd imagine if anything at this point that Paramount would *strongly* consider going back neutral so as to earn more sales (from BR's inevitable win) and not to piss off HD DVD owners. It would be a shock to see them do a complete 180 on support from strictly one format to the other.
The amazing thing is that Toshiba's selling point was 'our product may be less technologically advanced but it is cheaper'. Jesus Christ you're in the high tech industry and you haven't noticed how fast cost and price falls in your industry? You give a short term justification for a long term investment?
...
The amazing thing is that Toshiba's selling point was 'our product may be less technologically advanced but it is cheaper'. Jesus Christ you're in the high tech industry
...
25 years ago, VHS succeeded because of that very argument.
VHS was so poor, so inferior compared to the competition, anyway.
I am glad people in the industry eventually learned something.
best
Both formats look good. I expected both formats to stay like +/- R RW DVD disc. oh well.
People need to read what they see and not what they want to see.
Ah, usually, when a spokesperson says ".... the current plan is to continue with blah blah...." it usually means that they are still in discussions, those discussions are well along, and the current plan will be jettisoned with high probability!
That's been my experience.
Of course Paramount and Universal will switch to Blu-ray. Doesn't matter what's coming out of their corporate mouths today. There is no economally and commerciall logical reason for them to stick with HD-DVD unless they are fans of corporate hara-kiri.
The amazing thing is that Toshiba's selling point was 'our product may be less technologically advanced but it is cheaper'. Jesus Christ you're in the high tech industry and you haven't noticed how fast cost and price falls in your industry? You give a short term justification for a long term investment?
That's EXACTLY what I've been trying to explain.
25 years ago, VHS succeeded because of that very argument.
VHS was so poor, so inferior compared to the competition, anyway.
I am glad people in the industry eventually learned something.
best
VHS succeeded because of two things. The price of the players was cheaper.
The play/record time was longer. 5 hours for Beta and 6 hours for VHS. But a lot of people got rooked into buying VHS because of the supposed 8 hour recording time, which turned out to be almost useless.
Of course Paramount and Universal will switch to Blu-ray. Doesn't matter what's coming out of their corporate mouths today. There is no economally and commerciall logical reason for them to stick with HD-DVD unless they are fans of corporate hara-kiri.
Sometimes it seems that logic has less to do with decisions of media corporations
than the stubborn egos of their executives, so I would not rule out the harakiri option.