While Toshiba has not officially admitted defeat, the format war is pretty much
over. In an odd twist, Toshiba has been rewarded for its rumored plan to axe the HD DVD format. According to Bloomberg.com, the price of Toshiba shares
rose by 5.7% percent, reaching a seven-week high, on the Tokyo Stock Exchange.
Toshiba climbed 5.7 percent to 829 yen on
the Tokyo Stock Exchange, a level not seen since Dec. 28. Toshiba is reviewing whether to completely end HD DVD production, said a person
familiar with the plan, who asked not to be identified because the discussions are private, confirming a report by Kyodo news on Feb. 16.
The shares also rose after Nikko Citigroup Ltd. upgraded the stock, saying a withdrawal may add 50 billion yen ($464 million) to
earnings next fiscal year. U.S. retailers said last week they'll stop selling HD DVD products after Warner Bros. Entertainment, the top
DVD publisher, sided with Blu-ray.
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