Did Toshiba Drop HD-DVD Too Early?

Alec Saunders (a fellow Canuck) has an interesting observation about Toshiba and HD-DVD.

IMHO, Toshiba’s comment doesn’t take into consideration Blu-Ray. Not making that statement is political face-saving on their part. Alec argues that they need to move the entire value chain to sell HD-DVD. That means making & selling the technology but also ensuring that the desirable content was readily available. Their trouble is that they were unable to sustain the support of a significant mass of content creators…the studios.

To those of us with HD-DVD players (mine is an HD-XA1) we could see that this battle was over by mid-2007 when HD-DVD releases slowed to a trickle. No new content…no reason to buy the players. At the very same time Blue-Ray releases started to come in good numbers and from a variety of sources.

Now the really good question to ask revolves around did Sony & IBM really make a deal with Toshiba involving dropping HD-DVD in return for additional rights to the cell processor and related manufacturing in the far east?