Microsoft, a leading HD-DVD format supporter has taken steps in the last week that have led some to speculate whether it's hedging its bets in the Blu-ray vs. HD-DVD HD disc war.
First, Microsoft unveiled its new XBox 360 Elite game console that can play high-def movies downloaded from the XBox Live Marketplace. XBox 360 Elite, which will be available next month for $479, does not include a HD-DVD player. In comparison Sony's PlayStation 3 features a built-in Blu-ray player. So with a price tag comparable to PS3's entry point of $499, it's surprising that Microsoft also did not match Sony's high-def player feature.
Second, In an interview, Microsoft Europe's senior regional director, Neil Thompson, discounted the progress of the HD disc market, but left open the possibility that XBox 360 could support Blu-ray at some point: "I'm not sure the market has moved to High Definition (movies) yet. And if and when it does, then the way that we've constructed the offering we've made means we'll be able to go whichever way we want."
Do Thompson's remarks reflect the thinking at Microsoft headquarters? In recent months, Blu-ray player and disc sales have easily outpaced HD-DVD and many industry observers are concluding that Blu-ray could be reaching the stretch drive.
"Whatever format wins, it is highly likely we will offer a solution," Thompson told the BBC. "The only debate is if you want to watch Blu-ray movies and pay the extra money for that feature. We prefer to offer the consumer choice." Even if the consumer choice is Blu-ray?
