In our last episode of the high-definition DVD soap opera, Warner Bros. last week shunned a former good friend, the HD format, in favor of Blu-ray. There were gasps from the audience, as HD clung desperately to its last remaining industry friends. But, wait, there’s more….
Stop the War
Reuters reported Tuesday that Warner’s newfound monogamous love for Blu-ray was driven by falling DVD industry sales and “fears of a deteriorating U.S. economy.” DVD sales, which can account for as much as half of a feature film’s profits, declined last year. Citing a “top executive,” the news service said Tuesday the company decided it needed to stop the format war before the economy tanked and DVD sales worsened.
According to published reports, Kevin Tsujihara, president of Warner Bros. Home Entertainment in America, said that consumers were “gravitating towards Blu-ray — particularly in the U.K. and Japan.” Counting PlayStation 3 videogame consoles, which include a Blu-ray player, 80 percent of the high-definition disc players on the market are reportedly Blu-ray.
In order to convince consumers of their love for Blu-ray, Reuters said, the Blu-ray consortium — which now numbers five of the seven major Hollywood studios — is considering spending half a billion dollars in 2008. That’s more than was spent on both formats combined over this past holiday season.
Meanwhile, HD’s parent, Toshiba, is presently in what is technically known as a funk. It canceled a press conference scheduled for Sunday at the Consumer Electronics Show in Las Vegas, and has refused to talk to the media about its dilemma.
Et Tu, Paramount?
But this melodrama of changing relationships may be nearing its climax. According to published reports, Paramount is ready to drop HD in favor of Blu-ray.
Paramount has denied the claim, and said it expects to continue being HD’s friend. But one report said Paramount can…