Toshiba's Plan for Life After HD DVD
Nishida Says Firm Will Target Consumers
With TVs, PCs and Standard Disc Players
By YUKARI IWATANI KANE
March 3, 2008; Page B1
TOKYO -- In February, after a long, expensive battle with Blu-ray over the format for next-generation DVD players, Toshiba Corp. Chief Executive Atsutoshi Nishida pulled the plug on the company's HD DVD business. The move surprised analysts. Japanese companies tend to look for acceptable compromises to save corporate pride, and the analysts had expected Toshiba to phase out the format quietly.
The defeat is a blow to Toshiba, a vast electronics conglomerate that makes semiconductors, appliances and nuclear reactors. The company saw HD DVD as a way to increase its presence in consumer electronics, where it is a relatively small player.
Mr. Nishida, who studied German political thought and joined Toshiba through an affiliate in Iran, is a different kind of manager for the tech giant, which has historically chosen engineers. He talked to The Wall Street Journal at his office about how he came to the HD DVD decision, his management style and how Toshiba intends to remain a player in consumer electronics. Excerpts follow:
WSJ: When did you first start thinking about withdrawing from the HD DVD business?
Mr. Nishida: When Warner [Time Warner Inc.'s Warner Bros.] announced its support for Blu-ray on the 4th of January. We took a little time before reaching a final decision, so we could give people a chance to voice their opinions and we could consider all the ramifications and consequences of pulling out, such as how it would affect consumers and us.
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http://online.wsj.com/public/article/SB120450428955606405-9lqgFmxs9BeILl9efB_faFr0Bt4_20090303.html?mod=rss_free
