CES 2008: Warner did not violate HD DVD contract

Lee Stewart · 01-08-2008, 10:49 AM

CES 2008: Warner did not violate HD DVD contract

Quote:

According to BetaNews, after the Blu-ray press conference at Consumer Electronics Show (CES) Warner Bros. President Ron Sanders answered a question everyone has been wondering, whether Warner violated their contract to support HD DVD or not. The answer was, "We did not violate any contract."

We recently reported that one of the six big movie studios, Warner Bros., has abandoned the HD DVD high-definition format, and shifted towards Sony's Blu-ray. Shortly after the whole HD DVD camp expressed their disappointments and Toshiba even hinted that Warner broke the contract. Warner's Ron Sanders however isn't concerned about the situation, responding that Toshiba might be upset and could even file a lawsuit, but wouldn't have anything to accuse Warner of.

"Clearly, [Toshiba and the HD DVD Promotional Group] have reason to be upset... But we fulfilled our obligations to them. That's why we will continue to provide movies in the HD DVD format through May rather than stopping now. They very well could file a lawsuit, but we have done everything that was required of us. We did not violate any contract," said Sanders.

Source:
BetaNews

http://www.afterdawn.com/news/archive/12418.cfm

apocolypse · 01-08-2008, 11:13 AM

While I don't think the contract may have been directly violated, I think WB's timing was absolute crap. They should have waited until the contract was closer to being up before coming out with this. And before anyone starts, I would have said the same if they were opting out of Blu-Ray instead. Right before CES is a kick in the nuts to either side.

unotis · 01-08-2008, 11:17 AM

What do you think he would say?

Yes, we broke our contract, then all the company lawyers would just have heart attacks instantly fall dead.

Super XP · 01-08-2008, 12:34 PM

Quote:

Originally Posted by apocolypse

While I don't think the contract may have been directly violated, I think WB's timing was absolute crap. They should have waited until the contract was closer to being up before coming out with this. And before anyone starts, I would have said the same if they were opting out of Blu-Ray instead. Right before CES is a kick in the nuts to either side.

I agree.

Joe_news · 01-08-2008, 12:42 PM

Warner's corporate lawyers are smart cookies. I don't think they violated it, and while I'm all for taking things with a gain of salt, I believe them.

If Toshiba sues it will be by using a twisted hole in the law that by announcing this early they have damaged them...and then of course the contract would have needed a clause with this listed. Which I doubt a company as large would so carelessly sign a noose around their neck limiting what they can say. HD-DVD needed them, not the other way around.

awol · 01-08-2008, 12:48 PM

Quote:

Originally Posted by apocolypse

While I don't think the contract may have been directly violated, I think WB's timing was absolute crap. They should have waited until the contract was closer to being up before coming out with this. And before anyone starts, I would have said the same if they were opting out of Blu-Ray instead. Right before CES is a kick in the nuts to either side.

Wasn't it a leak that actually started all this anyway? All they did was just confirm the leak. Which honestly, I'm not sure they could have dismissed it, so confirming was the only option. There have already been too many rumors flying around that WB was going to go blu.

pearl-drum-man · 01-08-2008, 01:29 PM

Quote:

Originally Posted by apocolypse

While I don't think the contract may have been directly violated, I think WB's timing was absolute crap. They should have waited until the contract was closer to being up before coming out with this. And before anyone starts, I would have said the same if they were opting out of Blu-Ray instead. Right before CES is a kick in the nuts to either side.

It's my opinion that Warner must have been leaning Blu for some time, if anything they should have made this announcement 2-3 months ago, before the holiday sales rush. If they had waited until May to announce it would have been even worse for people who continued to buy HD DVD players & movies.

tomes · 01-08-2008, 01:32 PM

Quote:

Originally Posted by apocolypse

While I don't think the contract may have been directly violated, I think WB's timing was absolute crap. They should have waited until the contract was closer to being up before coming out with this. And before anyone starts, I would have said the same if they were opting out of Blu-Ray instead. Right before CES is a kick in the nuts to either side.

Wait, and let more people buy into a format that Warner was going to abandon? If anything, they should have announced it before the Wal-mart sales before thanksgiving (though I don't think they had decided then) - it would have saved a lot of people a head-ache..

Deja Vu · 01-08-2008, 01:45 PM

Everytime I see a Warner's title I'll think "rental" from now on. I really believe Fox set Toshiba up. I suspect they agreed to go HD DVD exclusive, knowing full well they wouldn't and then pulled the rug out from under Toshiba when they could do the most damage. Pretty smart move. Here's hoping more and more of their BD+ titles keep appearing on the internet forums for downloading (and they will). Looks good on them!

Cheers,

Grant

apocolypse · 01-08-2008, 01:48 PM

To tomes and PDM, yes, I think they should have waited. First off, they wanted to see what happened in Q4 2007 iirc before making a decision. So to announce any earlier would have flown in the face of this. And secondly, HD-DVD did have quite a bit of momentum going for it prior to this, and was doing fairly well. All it would have taken is a couple more nudges and who knows. Had WB waited a bit and seen the after holiday effect, the outcome may have been far different.

Edit: oddly enough Deja Vu, I had wondered the same. I'm not sure Fox was ever serious about supporting HD-DVD.

MikeRox · 01-08-2008, 01:55 PM

Or it could of course all be a direct result of that HDNow tosser spreading the rumour about 2 studios going HD DVD exclusive, thus giving the BDA time to respond to something they may had everyone kept their mouths shut not known about until it was too late? There is a reason "big" news such as that is usually kept completely under wraps.

hdalltheway · 01-08-2008, 02:03 PM

Huge payoffs and collusion with competitors. "Nah, nothing to see here", say Sony, WB and Fox.

pearl-drum-man · 01-08-2008, 02:06 PM

Quote:

Originally Posted by apocolypse

To tomes and PDM, yes, I think they should have waited. First off, they wanted to see what happened in Q4 2007 iirc before making a decision. So to announce any earlier would have flown in the face of this. And secondly, HD-DVD did have quite a bit of momentum going for it prior to this, and was doing fairly well. All it would have taken is a couple more nudges and who knows. Had WB waited a bit and seen the after holiday effect, the outcome may have been far different.

Edit: oddly enough Deja Vu, I had wondered the same. I'm not sure Fox was ever serious about supporting HD-DVD.

As far as Warner waiting to see what happened in Q4 to make a decision, I wonder what their criteria was from HD DVD to have been swayed in their direction, 'cause HD DVD did quite well in Q4 (at least as well as reasonably could have been expected). THis is why IMO they were leaning Blu.

If their flip was sudden and the result of the rumored $500mil payoff, then so be it, though I find it surprising that Sony could outspend Toshiba and MS in their current financial position. How ironic would it be that Sony's liquidation of their cell processor branch to Toshiba may have contributed to the pay-out to Warner.

sodrock · 01-08-2008, 02:09 PM

Quote:

Originally Posted by Deja Vu

Everytime I see a Warner's title I'll think "rental" from now on. I really believe Fox set Toshiba up. I suspect they agreed to go HD DVD exclusive, knowing full well they wouldn't and then pulled the rug out from under Toshiba when they could do the most damage. Pretty smart move. Here's hoping more and more of their BD+ titles keep appearing on the internet forums for downloading (and they will). Looks good on them!

Cheers,

Grant

Gosh. IN all seriousness if what you speculate is true. I would love to be the person who thought that up and convinced someone to implement that strategy. That takes balls and brains.

hdalltheway · 01-08-2008, 02:13 PM

Quote:

Originally Posted by Deja Vu

Everytime I see a Warner's title I'll think "rental" from now on. Cheers,

Grant

I'm doing that for most titles and the keepers I will get used. Just got the Matrix Trilogy for much less than retail and WB gets none of it.

01-08-2008, 11:17 AM	#3
unotis UNOTIS Join Date: Jan 2005 Location: FLORIDA Age: 54 Posts: 3,347	What do you think he would say? Yes, we broke our contract, then all the company lawyers would just have heart attacks instantly fall dead. __________________ B&K Audio/Video Receiver 507 Harman/Kardon TC30 universal remote Martin Logan Odyssey speakers Martin Logan Center Channel speaker Velodyne DPS-12 Powered Subwoofer B&W rear speakers Toshiba XA1, XA2, A2 HD DVD players Sony PS3 40 GB Panasonic TH-42PZ700U 1080p plasma Panasonic 34" Tau CT-34WX50 widescreen HD-ready CRT Monster Power Center Motorola Dual Tuner DVR/ HDTV capable Officially PURPLE HD DVDs = 105 Blu-Ray Discs = 45 with 5 on the way

01-08-2008, 12:42 PM	#5
Joe_news Sega does what Nintendont Join Date: Oct 2006 Location: U.S. of A. Posts: 951	Warner's corporate lawyers are smart cookies. I don't think they violated it, and while I'm all for taking things with a gain of salt, I believe them. If Toshiba sues it will be by using a twisted hole in the law that by announcing this early they have damaged them...and then of course the contract would have needed a clause with this listed. Which I doubt a company as large would so carelessly sign a noose around their neck limiting what they can say. HD-DVD needed them, not the other way around. __________________ Home Theater Pro 1 ---------------------- Pioneer 5080 Logitech Z-680 Samsung BDP-1600 Panamax M4300 Cox HD-DVR Harmony 880 PS3, Wii, Dreamcast

01-08-2008, 01:55 PM	#11
MikeRox Blu Blu Skies! :D Join Date: May 2007 Location: Huddersfield, United Kingdom Posts: 12,417	Or it could of course all be a direct result of that HDNow tosser spreading the rumour about 2 studios going HD DVD exclusive, thus giving the BDA time to respond to something they may had everyone kept their mouths shut not known about until it was too late? There is a reason "big" news such as that is usually kept completely under wraps. __________________ REGION B 4TW! Latest HD additions - I Love You Man - 17 Again - Born on the 4th of July - Paul Blart: Mall Cop - Monsters, Inc. HD Movies - Um... Lost count >_< bout 250 Latest Gaming Additions - Mirrors Edge - Scene It BOS - Wartech: Senko No Ronde - Lego Indiana Jones/Kung Fu Panda 2 pack - Silent Hill

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01-08-2008, 11:13 AM	#2
apocolypse High Definition is the definition of life. Join Date: Nov 2007 Posts: 453	While I don't think the contract may have been directly violated, I think WB's timing was absolute crap. They should have waited until the contract was closer to being up before coming out with this. And before anyone starts, I would have said the same if they were opting out of Blu-Ray instead. Right before CES is a kick in the nuts to either side.

01-08-2008, 01:45 PM	#9
Deja Vu We Are Right (WAR) ! Join Date: Dec 2007 Location: Great White North Posts: 612	Everytime I see a Warner's title I'll think "rental" from now on. I really believe Fox set Toshiba up. I suspect they agreed to go HD DVD exclusive, knowing full well they wouldn't and then pulled the rug out from under Toshiba when they could do the most damage. Pretty smart move. Here's hoping more and more of their BD+ titles keep appearing on the internet forums for downloading (and they will). Looks good on them! Cheers, Grant

01-08-2008, 01:48 PM	#10
apocolypse High Definition is the definition of life. Join Date: Nov 2007 Posts: 453	To tomes and PDM, yes, I think they should have waited. First off, they wanted to see what happened in Q4 2007 iirc before making a decision. So to announce any earlier would have flown in the face of this. And secondly, HD-DVD did have quite a bit of momentum going for it prior to this, and was doing fairly well. All it would have taken is a couple more nudges and who knows. Had WB waited a bit and seen the after holiday effect, the outcome may have been far different. Edit: oddly enough Deja Vu, I had wondered the same. I'm not sure Fox was ever serious about supporting HD-DVD.

01-08-2008, 02:03 PM	#12
hdalltheway A couch and an HDTV to go please. Join Date: Jan 2008 Posts: 10	Huge payoffs and collusion with competitors. "Nah, nothing to see here", say Sony, WB and Fox.