Based on the various forum response, it seems that many are mistaking Toshiba's ploy as introducing another format.
I think a more likely reading of the strategy is that they are just going to make the DVD standard more capabable of storing HD content without causing any effect to existing DVD players.
Everyone gets all wrapped up in the idea of formats, CD, DVD, BD, HD-DVD, but on a fundamental level, all these formats are simply data storage on a medium based on optical methods with slight variations and improvements to the underlying technology with the introduction of each new format. The discs do not care what type of data is stored on them. There is no reason that with the appropriate codec applied to the data that HD video could not be stored on a CD, it would just take a lot of them and changing discs every five minutes would be annoying.
The strategy is a complete endround on the idea of introducing a new format to compete with Blu-ray, they are simply going to slip in the capability to run HD video into the established format that everyone already owns. No one needs a new player to play the discs at SD, but if a consumer wants HD rather than SD, that is when the new players come in.
All that would remain is to get studios to allow HD content on these upgraded DVDs.
It may work, it may not, but either way it is not the direct clash of formats that made HD-DVD/BD a war.
This isn't quite correct, but is close.
There are two different technologies that Toshiba is working on...
1. LSi - This is the new type of DVD that is backwards compatible with existing DVDs, but increases the number of available layers by two and allows for quad layer, and (I believe) double sided discs which can be utlized by new LSi capable DVD players.
2. SRT - Super Resolution Technology, is a processing technique that uses nine frames (or fields?) to interpolate missing data within a single frame. The current Silicon Optix processors, which are near the best, use 5 field interpolation for processing, so this basically doubles the comparing fields to improve upon DVD quality, to levels that they are claiming to be 960p or near to the quality of true 1080p.
The first technology is another SACD or DVD-A level product. They have to convince all studios to discontinue standard DVD replication of a new, and likely more expenisve, manufacturing process, then replace all standard DVDs with LSi versions which will be compatible, but show zero improvement for all non LSi compliant DVD players. As of today, that's 100% of the DVD players on the market.
You can expect these movies to be a bit more expensive for consumers, and the content creation to be a bit more for the studios, yet the final result for most is zero improvement at all, and profits to not rise for studios because of these actions.
The second technology sounds great as an upconversion process, but claims that it will 'revolutionize' upconversion and reinvigorate the DVD market are very much putting the cart in front of the horse. As of yet, Toshiba has not delivered a player for product testing to any organization, and their demos seem to consist of pre-fab content for effect in demos, instead of actual DVDs. How it compares to existing decent DVD players, like those from Oppo, is entirely untested, and deserves serious scrutiny as it's the manufacturer making the claims.
I'm all for SRT and great upconversion for my 300+ DVD collection.
A new DVD technology that costs consumers more? Thanks anyway, my next new disc player will be Blu-ray in True HD, with all the video, audio, and interactivity I could ask for at this time. I'll not take a step backwards to 1996.