90 sweeting hettrick supra note 9 91 ronald grover

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90. Sweeting & Hettrick, supra note 9. 91. Ronald Grover, Peter Burrows & Cliff Edward, A Warner Bros. Green Light for Blu-ray? , B US . W K ., Oct. 5, 2005, tc2005105_6128_tc024.htm. 92. Barnes, supra note 10. 93. Press Release, Viacom Inc., Paramount and DreamWorks Animation Each Declare Exclusive Support for HD DVD (Aug. 20, 2007), available at newstext.aspx?rid=1042073. 94. Barnes, supra note 10. 95. Blu-ray DVDs Outsell HD-DVDs , L.A. T IMES , Oct. 24, 2007, at 7, available at 2007 WLNR 20871979. 96. See infra tbl.1. 97. Barnes, supra note 17. 98. Staci D. Kramer, Warner Bros. Goes Exclusive with Sony’s Blu-ray , F ORBES , Jan. 4, 2008, .
2009] FORMAT WAR, ANTITRUST CASUALTIES 187 to the deal reported that Warner received financial incentives in the form of marketing support. 99 Warner did confirm, however, that the backers of HD DVD had previously offered “substantial incentives” to support HD DVD exclusively. 100 On January 13, 2008, Toshiba responded by cutting the price of its HD DVD players by 40 to 50 percent, hoping to attract additional consumers and win back the movie studios. 101 In the retail market, Blockbuster and Target had already announced exclusive support for the Blu-ray format in June and July 2007, respectively. Warner Brothers’ decision caused a further chain reaction within the retail market: on February 11, 2008, Best Buy announced that it would begin recommending Blu-ray as the preferred next-generation format; 102 on the same day, Netflix announced that it would discontinue support of HD DVD; 103 and four days later, Wal-Mart announced that it would also discontinue carrying HD DVD products. 104 3. Video Game Console Support Sony’s Playstation 3, which launched in the United States on November 17, 2006, included Blu-ray support out of the box. 105 In November 2006, Microsoft, one of the strongest supporters of HD DVD, released an HD DVD player add-on made by Toshiba for its Xbox 360 video game console. 106 Microsoft’s Xbox 360 add-on, however, did not sell very well. 107 By the beginning of 2008, 10.5 million Playstation 3 consoles had been sold, while Toshiba had sold only 1 million HD DVD players (including the Xbox 360 add-on). 108 99. McBride, supra note 14. 100. Barnes, supra note 17. 101. Yinka Adegoke, Toshiba Cuts HD Player Prices in Blu-ray Fight , R EUTERS , Jan. 15, 2008, . 102. Press Release, Best Buy Co., Best Buy to Recommend Blu-ray as the Customer’s Digital Format Choice (Feb. 11, 2008), available at 2/11/08 BWIRE 20:31:00 (Westlaw). 103. Press Release, Netflix, Inc., Netflix, Citing a Clear Signal from the Industry, Will Carry High-Def DVDs Only in Blu-ray Format (Feb. 11, 2008), available at index.php?s=43&item=265. 104. Press Release, Wal-Mart Stores, Inc., Wal-Mart Moving Exclusively Toward Blu-ray Format Movies and Players (Feb. 15, 2008), available at 7944.aspx.

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