Toshiba yesterday introduced a higher capacity version of its HD DVD blue-laser disc format to meet the challenge posed by rival optical storage system, Blu-ray Disc (BD).

Yes, just another article – but The Reg points out some details that weren’t discussed before. Like these discs requiring a tooling change that may eliminate the pricing advantage previously touted for HD-DVD over BD.

Toshiba announced on Tuesday the development of a higher-capacity HD DVD disc. HD DVD is the format the electronics maker is promoting as the next-generation DVD disc format. Previous versions of the format allowed for the storage of up to 30GB, but the latest version can read into a third layer on an HD DVD disc so it can hold up to 45GB of data. The 45GB version of the disc is a read-only version. Toshiba also announced a double-sided, dual-layer, hybrid read-only disc storing up to 30GB on the HD DVD side of the disc and 8.5GB on the standard DVD dual-layer side of the disc.

So, they’re trying to address the capacity angle by adding layers. I wonder if this will be required for the first players, or if there’ll be the risk of early decks not handling this evolution. Of course, Sony has already said they expect to commercialize a 100GB BD (4 layer) in a couple of years, and have shown 200GB (8 layer) discs in the lab.

As for the dual-sided HD-DVD/DVD – There is a BD/DVD as well – but you don’t have to flip it. The BD layers are ‘in front’ of the DVD layers and the DVD red laser just reads through the BD layers. So studios still get to print on one side. Studios and consumers alike never cared for dual-sided DVDs, I don’t see why dual-sided hybrids would be popular.

Claims that moves to unify the two key competing HD video disc formats are progressing to a successful conclusion are “unfounded and erroneous”, Toshiba said today.

OK, maybe they’re not such gracious losers.

Talks between Japan’s Sony and Toshiba to unify next-generation DVD formats are leaning toward a disc structure supported by Sony, a source close to the matter said Tuesday.

…for knowing when to admit they’re beat.

Sony, Toshiba to agree on new DVD format

Both sides have indicated that a new, unified format will use Sony’s technology for recording information onto an optical disk while Toshiba will supply software that will handle efficient data transfer and copyright protection.

So, basically: Blu-ray wins!

It was a huge game of chicken, but HD-DVD blinked. This is really best for consumers, and studios – everyone really. The last thing we needed was a format war.