Thursday, February 21, 2008

Pouting in the trenches

Since Toshiba threw in the towel in their battle against Sony for High Definition DVD supremacy, I suddenly understand how it must have felt to be a Confederate/Nazi/Maple Leaf fan. You invest all your hopes and dreams into one side of a war (HD DVD) and then the leaders of your camp throw up the white flag while you're still engaged in battle (at the cash register).

A less offensive comparison to the HD DVD vs Blu-ray Disc (BD) format war would be the Beta vs VHS showdown of the 1980s. VHS won out in the end as the people's choice due to its longer tape time. A lesser known fact is that VHS's win was helped by the support of the porn industry and its legions of fans; Beta's creator, Sony chose a strict anti-porn stance. Several years after Beta sales became flaccid, Sony abandoned Beta and joined the VHS bandwagon.

Yet, I'm going to return to my previous 'soldier betrayed by the officers' analogy because it is more accurate. Sales have not dictated the winner in the HD DVD vs BD battle since consumers have pretty much waited on the sidelines. It was the slow sales of both formats that prompted companies like Warner Bros., Wal-Mart and Best Buy to make the choice for consumers. And unfortunately for consumers, they chose the format that will probably cost more down the line because it is more expensive to produce.

Having chosen the HD DVD side during the most recent Boxing Day frenzy, I feel resentful that my choice, or any buyer's choice, has factored so little in the final result. Adding salt to the wound is how quickly Toshiba has chosen to surrender rather than support their market.

As Toshiba shares rise in the aftermath of their seppuku display, we'll be burning and pillaging our way through HD DVD fire sales that have already begun.

8 comments:

Anonymous said...

PS-Triple!PS-Triple!PS-Triple!PS-Triple!PS-Triple!

:p

Anonymous said...

[quote]Yet, I'm going to return to my previous 'soldier betrayed by the officers' analogy because it is more accurate. Sales have not dictated the winner in the HD DVD vs BD battle since consumers have pretty much waited on the sidelines. It was the slow sales of both formats that prompted companies like Warner Bros., Wal-Mart and Best Buy to make the choice for consumers. And unfortunately for consumers, they chose the format that will probably cost more down the line because it is more expensive to produce.[/quote]

This isn't entirely accurate. Sales were slow for both formats but Bluray was outselling HD DVD in software sales and hardware sales in 2007. Bluray won software sales(movies) every week in 2007(verified by Neilsen). They also sold more hardware(by 10million if you include the PS3). Standalone wise they were at or approaching parity with HD DVD standalones before the holiday season and passed them during the holiday season. They did this while costing $200-$300 more then their HD DVD counterpart and being sold a half year later then HD DVD. These numbers are what prompted Warner Bros to go Bluray which started the dominos tumbling with re: to Bestbuy, Netflix, etc.

I don't know if you knew but Warner Bros publicly said they would go exclusive to one or the other side depending on how holiday sales did. Bluray supporters chose with their wallets. HD DVD supporters....not so much. Those consumers who were fence sitting chose their format by essentially letting the early adopters choose for them by abstaining. Similar to not voting during an election.

Consumers chose.

celestialspeedster said...

I still maintain that it was the choice of the corporations and not the consumers that ultimately decided the fate of HD DVD because choice was taken out of the hands of the average consumer. Early adopters are the minority of the buying public. Plus Toshiba screwed over the whole situation by pulling out in a way that is unprecendented in the history of format wars. It is equivalent to the captain abandoning the ship while the sailors are still plugging the holes in the hull.

Anonymous said...

Ultimately yes it is the choice of the corporations of which direction they wish to go. They give us the options, we can decide whether to buy or not.

Even if early adopters are in the minority they're the only ones that companies can base any numbers off of because they're the only ones buying HDM media. Average consumers aren't buying so there aren't any stats available.

It's like debating VHS vs DVD vs DivX (which HDM is outpacing DVD sales during the same time in it's lifespan). VHS was king and DVD was fighting DivX players for dominance in the optical media format. DivX was supported by one store(Target I think) while everyone else was supporting DVD. The optical media market was miniscule compared to VHS. DVD won and all the average consumers started buying into it. Same things happening to the industry now. Early adopters helped decided the format and the average consumers then jumps on the bandwagon.

Anonymous said...

I agree Toshiba is to blame for the sinking ship but unsubstantiated rumors are that Microsoft was a factor for why HD DVD lasted as long as it did.
--------------------------------
In point form:

MS wants digital downloads to be the new media delivery system.

Cause enough confusion between Bluray and HD DVD long enough for infrastructure to be available for DD.

Provide lipservice support for HD DVD(where was the HD DVD 360?)

Toshiba was reportedly ready to give up on HD DVD x3 but were convinced otherwise by a partner.
------------------------------
BD would have been the decided new format last year if it wasn't for an external influence. Consumers wouldn't have been screwed over by having bought HD DVD's during "black friday" or "boxing day" type sales because it would've been all Bluray. Toshiba is to blame, they could've said "no" early on but they didn't. They just aren't the only ones to blame for this.

Flocons said...

For a slightly different perspective, I blame industry for not agreeing on a format from the get go. Consumers wanted a clear successor to the current DVD format. What they got instead was a pissing match between HD-DVD and Blu-Ray.

Naturally most consumers stood by the sidelines to see who the winner would be. In the end, consumers did get what they wanted: A clear successor. I don't think that anyone really wanted to see HD-DVD and Blu-Ray really duke it out for another few years.

celestialspeedster said...

Actually, what I was hoping to see was HD DVD as the winner.
(pout)

Anonymous said...

Completely understand why you wanted HD DVD to win since you have a player but Toshiba is the reason why there was a HD format war in the first place.

Even if it's Wiki most of this info is correct.

The Format War: the beginning.
http://en.wikipedia.org/wiki/High_definition_optical_disc_format_war

Bluray side:
http://en.wikipedia.org/wiki/Blu-ray_Disc

HD DVD side:
http://en.wikipedia.org/wiki/HD_DVD

Long story short: If not for Toshiba fixing the voting for the HD successor there wouldn't be a war.

DVD forum(Toshiba is chair):
BDA presented 1st time : voted no.
BDA presented 2nd time: voted no.
Toshiba presented AOD(becomes HD DVD): voted no
Toshiba presented AOD 2nd time: voted no
Toshiba added three new members and changed voting rules.
Toshiba presented AOD 3rd time: voted yes by 1 vote.