Sony CEO Howard Stringer's comment of the format war being in a stalemate has been taken out of context by the Associated Press and other news reports, the Digital Bits wrote. Stringer was being interviewed by BusinessWeek's Steven J. Adler about his career at the 92nd Street Y in New York City on Thursday, November 8. Here is what he originally said:
"We have a more expensive version, as Sony tends to, and Toshiba has a cheaper version, which seems to keep getting cheaper. I believe it has slowed down the progress of high definition packaged goods. Oddly, the studios kind of liked it for a while. They were able to leverage one of us against each other. But in the end, it's counterproductive. We have a sort of stalemate at the moment. As you know, they had fewer studios, but then they paid a lot of money for Paramount. So we have four studios and they have two or three studios. It's a difficult... it's a difficult fight. There was a chance to integrate it before I became CEO. This is something I inherited. And I don't know what broke down. I wish I could go back there, because I heard it was all about saving face and losing face, and all the rest of it."
The Digital Bits has the entire actual text of the relevant portion of the interview, in which Stringer also discussed:
• How Sony intends to play with Toshiba when the price difference between Blu-ray and HD DVD players is so enormous.
• If he was surprised by how little Toshiba can sell its HD DVD unit for.
• If he thinks Microsoft is working in cahoots or in alliance with Toshiba on HD-DVD, and if that is a competitive challenge to Sony.