Target is doing the following (I believe my info and research is correct):
1. They will carry stand alone Blu-ray players in stores exclusively
2. They will offer both HD DVD and Blu-ray movie titles
3. They will still carry the X-Box 360 add-on HD DVD drive in stores
4. They will (duh) carry the PS3 which includes Blu-ray
5. They will offer all of these items, including HD DVD stand alone Toshiba players online.
I am not of the opinion that universal players are going to drop in price enough to make a difference in this war as there seems to be a rather obvious lean of the industry, backed by consumers, towards Blu-ray at this time. Realistically, if Universal goes Blu-ray then pretty much 100% of all movies will be available on that format.
As for price... It's just my experience, but two days ago the Sony BPD-301S player was in Sam's Club for $440.00 (no HD DVD there) and across the street at Best Buy the Toshiba A2 was $300 and the A20, which is more comparible (kind of) was $400.
So, if Universal goes neutral then that $150.00, and falling, price difference will deliver nearly 100% of what you will ever want to see.
This holiday season I believe Blu-ray will significantly dominate and early 2008 may spark some reaction from Universal. Should that happen, HD DVD likely has numbered days.
Please note: The 'Samsung' branded HD DVD/Blu-ray combo player coming out shortly is being produced by a Samsung & Toshiba joint venture that is 51% owned by Toshiba, not Samsung.