The possible delay and the Blu-ray group’s loss of its once-commanding lead are not encouraging developments for Sony in its attempt to revive its electronics group after a series of bungles. PlayStation 3 is crucial to Sony’s future, and not only because the latest version of its gaming consoles could generate billions in revenue; the new machines will include disc drives that will turn them into Blu-ray DVD players as well.
[…] A DECADE ago, a prospective death match between competing first-generation DVD players was averted when Sony and Philips agreed to back down and join the Toshiba/Warner Brothers side, in exchange for a share of royalties that all DVD player producers pay to the format’s creator. Now, no truce seems near, as neither side wants to settle for a small piece of what could be a big electronics success.
So consumers and retailers may be in for a reprise of the confusing VHS-Betamax showdown of the early 1980’s, with Toshiba replacing Matsushita as Sony’s adversary. But Sony hopes to have a happier resolution this time. Sony lost the battle two decades ago when its highly regarded Betamax technology was defeated by VHS, a more widely accepted alternative.
Once again, the differences between the two technologies are not huge. And a growing chorus of critics, including some studio chiefs eager to sell new products as quickly as possible, call the Blu-ray format unnecessarily elaborate and expensive.
Slashdot’s In Sony’s Stumble, the Ghost of Betamax