Microsoft stops HD DVD player manufacturing
Cuts device price to $49
By Danny King -- Video Business, 2/26/2008
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FEB. 26 | Microsoft said it will stop making HD DVD players for its Xbox 360 consoles a week after Toshiba said it would discontinue the next-generation DVD format. Microsoft also cut the price of the add-on by more than 60%.
The Xbox HD DVD player is now listed on Microsoft’s Web site at $49.
The withdrawal won’t have a material impact on Xbox sales, Microsoft said in a statement. The company will continue to honor warranties of its HD DVD drives.
Earlier this month, Microsoft cut the price of the HD DVD add-on by $50 to $129 in an attempt to boost sales.
HD DVD’s market share slid relative to Sony competitor Blu-ray Disc after Warner Bros. said it would start exclusively backing Blu-ray in June.
Toshiba said last week it would stop making HD DVD players and discs next month, after retailers such as Wal-Mart, Best Buy and Netflix said they would start phasing out HD DVD.
Microsoft didn’t address whether it would make Blu-ray players for Xbox.