Monday, March 17, 2008

Toshiba reportedly set to lose nearly $1 billion in wake of HD-DVD format death

In order to truly enter a format war, one must possess a number of things. The first, of course, is a viable format, unique from all others currently on the market. The second is the persistence to constantly push your format on as many film companies and consumer electronics producers as you possibly can, to ensure your victory. Finally, should said victory never come, you must possess a strong stomach and a wide wallet -- as losing a format war is a costly and heartbreaking endeavor.

According to the Nikkea Business Daily, Toshiba is learning this lesson to the tune of a ¥100 billion loss in revenue this year (to grasp the magnitude of this loss, here it is in numeric form: ¥100,000,000,000) or roughly $986 million in U.S. cash. We usually leave the economic speculation to the experts, but we're pretty sure that's a large sum of money that Toshiba would rather not part with. But as they say, in order to make an omelet, you've got to break a few eggs; though sometimes, you have to break 100 billion eggs, only to find that nobody wants to eat your omelet. Okay, nobody says that.

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