In a recent post on the News.com blog, David Carnoy opined on the future of Toshiba and its ill-fated decision to back a losing format for so long.
Let us also not forget that some of Toshiba’s biggest competitors — LG, Sony, Panasonic and others — have already signed on to the Blu-ray strategy and offer players. Knowing this, why wouldn’t Toshiba get into that market to ensure it’s not locked entirely out? And if it does want to eventually get in, wouldn’t it want to do it as soon as possible so its competitors don’t control too much of the market?
Pointing to a Wall Street Journal interview with Toshiba’s CEO, Carnoy extrapolated information from the discussion and concluded that because the company’s chief executive said his company would “improve this [upconverting feature] even more, so that consumers won’t be able to tell the difference from HD DVD images”, Toshiba has no designs on a move into the Blu-ray player market.
(Credit: Crave)
Carnoy asserts that 2008 will not bring a Blu-ray player from Toshiba, but it may “change its tune” in 2009.
Toshiba will not try to increase the quality of upconverting DVD players, but it will release a Blu-ray player this year. Why you ask? Simple — it has too much invested in the HD game and now that Sony is no longer the enemy, why would it even consider spending even more cash on upconverting when it can sign an agreement with the Blu-ray backers and release players?
And while Carnoy makes a good point in saying Toshiba Blu-ray players will be available next year, I think he’s off by one year.
And although Nishida indicated that his company currently has no plans for a Blu-ray player, let’s not forget that it’s only March and he has the cash and time to release hardware in a matter of months.
Coming to a store near you…in 2008
Aside from that, the company’s chief executive, Atsutoshi Nishida, may sound averse to jumping on the Blu-ray bandwagon and sympathetic to upconverting, but what is the likelihood that upconverting DVD players will outpace Blu-ray players once the latter’s price falls to a more consumer-friendly level? Further, why would Toshiba dump even more cash into something that can’t stand up to new technology?
As it stands, Toshiba is on the ropes in the HD business. Just two months ago, the company was still a hearty contender in the space and was sitting at the forefront of HD technology. Since then, the company gave up its bid to become the format of choice going forward. But if Toshiba realizes that HD is the future, why would it forego its stance as one of the leaders to back an outdated format? Surely that won’t make sense from a business or PR perspective.
Simply put, the future of Toshiba has everything to do with Blu-ray and regardless of what he spews in a Wall Street Journal article, the company’s CEO knows that. A Toshiba Blu-ray player will be released this year and if I had to venture a guess, look for it by the fourth quarter so it can capitalize on the Christmas rush.