Toshiba swallows a billion dollars on HD DVD
There are spicy meatballs, and there are spicy meatballs -- and now there's a figure that will be tossed around for decades to come, one which will instantly represent the caution companies should take when embarking on another format war: a billion dollars. At least that's what Nikkei is reporting that Toshiba's losses on HD DVD totaled in 2007 alone: a ¥100b, or about $982m USD. It won't drive Toshiba under or anything, but you seriously have to ask yourself, was it really all worth it? [Warning: subscription req'd][Via Reuters]
Reader Comments (Page 1 of 1)
worldbfree4me @ Mar 12th 2008 10:42PM
No Problem, the deal Toshiba and Sony made on the new Fab plant and other side deals cut (killing the HD-DVD format) should help mitagte that loss and more:)
DeadPlasmaCell @ Mar 13th 2008 12:50AM
This.
Jove @ Mar 12th 2008 10:46PM
...damn... thats all i gotta say...
Jove @ Mar 12th 2008 11:03PM
...just think of the amount of people that can be fed and the many things that can be done with that same amount of money other than just throwing it away...
DEEZNUTZ @ Mar 12th 2008 11:35PM
That pic pwns.
And that is a lot of cash to burn... hard lesson in business.
mntwister @ Mar 13th 2008 12:01AM
I have always been into electronics my whole life, and when I see a loss like that from any consumer electronics manufacturer-it is really sad news. Toshiba will, however, survive and move on. That's business, some win and some lose.
shawnmos @ Mar 13th 2008 1:19AM
I wonder how much Sony would have lost if HD DVD won the format war. Either way, I don't think either side will start another format war for a while. Sony blew a lot of money ensuring their win. By the time the next format comes around I'm sure they will come to some sort of agreement.
JoN @ Mar 13th 2008 1:56AM
sony would have lost much more - because it would have gone on much much longer...
Jim @ Mar 13th 2008 10:23AM
I wonder how much it cost Sony to win? With all the payoffs, I am sure it was almost as much.
HDpurist @ Mar 13th 2008 11:35PM
1 Billion.
LOL
dshan @ Mar 17th 2008 9:14AM
HAHAHAHA yeah, but how much did Sony blow on this entire fiasco???? and how much are they STILL spending to "teach" consumers why they need HD...uh huh, it isn't happening.... no one's buying. This doesn't even count the bribes...er "incentive" payments that were dolled out to studios and retailers to push BD. The true costs of this whole pointless venture may never be known. If I were a Sony shareholder I'd be livid at this waste of capitol.