In a huge blow to the HD DVD format, Blockbuster (America's largest video rental chain) today announced that it will be rolling Blu-ray movie titles into an additional 1450 stores nationwide next month.
Blockbuster had been testing both Blu-ray and HD DVD rentals in 250 stores for over half a year now, and found that 70% of the HD discs it rented were on the Blu-ray format. Although HD DVD discs will still be rented in those test stores and through Blockbuster's "Total Access" online video rental program, no new stores will be receiving HD DVD discs. It also remains unclear if those stores will be receiving new shipments of HD DVD discs, or will be left with only their existing stock.
"The consumers are sending us a message. I can't ignore what I'm seeing," Matthew Smith, senior vice president of merchandising at Blockbuster, told The Associated Press. "When you walk into a store and see all this product available in Blu-ray and there is less available on HD DVD, I think the consumer gets that,"
Blockbuster is a huge player in the U.S. video market, both for rental and for sales, so it will be interesting to see just how much this will hurt HD DVD. Despite what some people are suggesting, this is a major move. For Universal, HD DVDs only major studio exclusive supporter, this effectively means that their titles will be in standard definition DVD only in Blockbuster stores. It also means that customers who frequent Blockbuster stores will see Blu-ray titles available, but not those of the competing format, potentially influencing their purchasing decisions. Lastly, smaller video rental chains and other stores that sell movies could soon follow in Blockbuster's lead if their rental and sales numbers are reflecting those of Blockbuster.
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