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The Real Reason HD-DVD Lost The Format Wars
Since consumers were looking for a good way to play high-definition media, Toshiba created the HD-DVD format and debuted it in 2006, a few months before Sony launched its Blu-ray disc. The ensuing format war wasn't something either company wanted, but negotiations to allow both formats to stay afloat came to a standstill.
Along with Sony’s savvier marketing, the defining factor in the HD-DVD's demise was the eventual loss of support for the format, which began when Warner Bros. announced that it would only release HD titles on Blu-ray. Other studios followed suit and Toshiba was essentially forced to discontinue the format in 2008.
Avoiding a lengthy and complicated format war was a better move for Toshiba in the long run. It was also better for consumers as there was only one HD format to worry about; the market for the next-generation video was smaller and this made it far less complex for people to get high-definition media and players.