Toshiba has temporarily halted production of players and movies in the HD DVD format, and is contemplating dropping the format altogether, PC World reports. The move would cost the company tens of billions of dollars, but the defection of several studios and retailers to the rival Blu-Ray format has left HD DVD’s future very much in doubt.
"We are making considerations following the impact of Warner's announcement but we haven't made any decision," said a Toshiba spokesman, referring to Warner Brothers' January decision to back Blu-Ray. Further siding with Blu-Ray by Netflix and Wal-Mart in the past week may sound HD DVD's death knell; a formal announcement from Toshiba is expected this week. (Read more Blu-Ray stories.)