But there's little doubt that the rumors have pleased investors. Bloomberg reports that Toshiba shares jumped 5.7 percent on the Tokyo Stock Exchange Monday, hitting a seven-week high. Sony's stock rose by 1 percent.
Whatever Toshiba decides, it is clear that support in the US for Toshiba's format has been eroding quickly. Wal-Mart, the nation's largest DVD retailer, announced Friday that it would stop selling HD DVD discs and machines in June. Earlier, Best Buy, the nation's largest electronics retailer, and Netflix, the largest online DVD rental service, each announced that they would be backing Blu-Ray.
Through 2007, the two formats were evenly matched. But some analyists say the tipping point came on Jan. 4, 2008, when Warner Bros. announced that it would move exclusively to Blu-Ray, leaving Universal and Paramount as the only remaining major movie studios to support HD DVD. With Warner's decision, Blu-Ray locked in about about 70 percent of the high-definition video market.