Techies join Blu blockers

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Software giants side with HD-DVD army

The looming format war over high-definition DVDs becomes even more heated today as tech giants Microsoft and Intel are set to throw their weight behind the HD DVD camp.

With the studios already split evenly — Universal, Paramount and WB are backing HD DVD while Sony, Fox and Disney are behind Blu-ray — Microsoft’s and Intel’s decisions cause a schism in the tech world as well.

Previously, format developer Toshiba, NEC and Sanyo were the major technology companies behind HD DVD, while Blu-ray boasted a broader array, including Apple, Dell, HP, Philips, Samsung, Sharp and Sony, which owns most of the format’s patents.

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But while Microsoft will design the next generation of its Windows operating system and Windows Media software to work smoothly with HD DVD, it’s not giving Toshiba its biggest prize: the soon-to-launch Xbox 360 vidgame console.

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Sony’s PlayStation 3, set to hit the market next year, will play Blu-ray discs, giving the format a potential advantage in compatible hardware on the market. Xbox 360, which debuts in November, won’t support either high-definition format for the time being.

Former Warner Home Video topper and “father” of the DVD Warren Lieberfarb works as an adviser for both Toshiba and Microsoft.

Microsoft and Intel are joining HD DVD’s “promotion group,” meaning they’ll lend their considerable marketing muscle to the format, pushing it as the best to work with their digital media software and chips, respectively.

Because compatibility ultimately rests with hardware manufacturers who make the disc drive, both companies’ products can work with either format.

However, Microsoft will design the next generation of its Windows operating system to work smoothly out of the box with HD DVD without additional software.

Several members of the HD camp said Warner Home Video had become so frustrated and pressured by their corporate parent to have the industry commit to a single format that it was thinking of supporting both or even switching entirely to Blu-ray.

Signing Microsoft was apparently key to keeping WB aboard. Now that it’s happened, Warner will monitor the response to the announcement before making any decisions.

Warner refused to comment other than to say the studio remains committed to a single format.

Citing their reasons

Making their decision, Intel and Microsoft both pointed to the litany of advantages HD DVD backers have claimed over Blu-ray, including lower costs, proven manufacturability and so-called hybrid discs that can play high-definition and standard format.

Because they’re focused on digital media in the home, companies also talked up HD DVD’s ability to let consumers take a copy of movies off a disc that they can then move among various devices in the home but can’t duplicate or put on the Internet. Blu-ray hasn’t yet committed to making that possible.

“That’s a very big issue for us because we see it as the future of entertainment consumption,” said Microsoft media and entertainment topper Blair Westlake.

Blu-ray sunny

Reps for the Blu-ray camp attempted to downplay the importance of the decision, as it won’t affect the amount of content or compatible hardware devices on the market.

“We think this does little to shift the momentum building for Blu-ray,” said Marty Gordon of format supporter Philips. “The reality is we have a lot more support, most especially from the hardware side.”

There had been efforts to forge a compromise between Toshiba and Sony, but those talks have broken off. Some industryites did speculate, though, that if the two sides come back together, having Microsoft and Intel on its side will give the HD DVD camp better leverage to get a bigger stake in a compromise format.

For now, though, it is increasingly likely that the two formats will launch next year, potentially confusing consumers and setting back the high-definition DVD market until one side wins out.

Cross-purposes

HD DVD’s camp had hoped to launch by this holiday season, while Blu-ray is set for the middle of next year. But WB, U and Par have now delayed release of their first HD DVD titles until early next year, shortening their time advantage.

With the tech world split like the studios, consumers are likely to be even more confused. What happens, for instance, if you buy a Dell computer with a Blu-ray disc drive but it runs Microsoft software optimized for the HD DVD format?

There will be ways to make the Microsoft software work with Blu-ray, but any compatibility problems could cause consumers to consider high-definition discs more trouble than they’re worth.

In taking sides, Microsoft and Intel feel strongly enough about HD DVD that they’re willing to bet that they can persuade industry and content partners to abandon Sony.

“We hope this is part of a catalyst toward a single format,” Westlake said.

Intel director of optical media Stephen Balogh added, “We think a lot of other companies jumped on the Blu-ray bandwagon pretty early.”

But PC makers that Microsoft and Intel are looking to sway didn’t seem too impressed.

“If they’re hoping we’re going to change our position, they should know we definitely aren’t going to,” said HP’s Josh Peterson. “We hope they’ll change their position.”

(Scott Hettrick contributed to this report.)

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