BeyondGenius.com

Toshiba is planning to drop the HD-DVD format, ending an intense battle over next-generation optical formats against Sony’s Blu-Ray technology. The Kyodo News agency said Toshiba is reviewing its operations, with the timing of the withdrawal to be decided later.

News of Toshiba’s decision emerged just one day after U.S retail giant Wal-Mart announced it would promote mainly Blu-Ray movies and players.

Wal-Mart Stores Inc. said Friday on its website it has decided to sell only Blu-Ray DVDs and hardware and will no longer carry HD DVD offerings. The company announced that by June it will only be carrying Blu-ray movies and hardware, in addition to standard definition DVDs.

Warner Bros. Entertainment decided to make Blu-Ray its exclusive high-definition format. Two major Hollywood studios Paramount and Universal are still backing up the HD-DVD format but this will change now that Toshiba has made their decision. Look for announcements as early as this week.

Best Buy, NetFlix, Blockbuster and Target also expressed their exclusive support for the Blu-Ray format last year.

The real question is how long will it take Microsoft to bring out a Blu-Ray player for the XBox?