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Universal have a big stock of HD DVD. They were selling well

Posted by Ole Lund Christensen on January 18, 2008 at 15:08:42:
until January 4th 2008.

Universal have ZERO stock of Blu Ray. It will take about 3 months to build up a stock of Blu Ray.

If Universal today announce they go neutral, they will have close to ZERO sales of HD DVD, and ZERO sales of Blu Ray for 3 months.

So their 1stQ will be worse, if they follow your advice.

If Universal secretly build up Blu ray stock during the next 3 months,
they will sell HD DVD for 3 months, and then sell Blu Ray.

Over the next 1o years, they will sell the same amount of Blu ray, also if they wait 3 months. They control their movies! Nobody else can sell their Blu ray version.

Universal is calm and they will wait, you are impatient.

Warners case were very different, they had stock of both formats, and they did now in advance, what they would do 4th January.
So Warner could secretly reduce HD DVD stocks before Christmas.

I have seen companies go bankrupt by announcing new products too early.
But journalists of course have trouble understanding this :-)