Toshiba HD DVD Breaks Price Barrier By Mark Fleischmann October 30, 2007 — It's official. HD DVD players have fallen below the $200 barrier. And we're not talking about that no-name Venturer. The breakthrough model is the Toshiba HD-A2. And the breakthrough retailer is Circuit City. The exact price is $197.99 with free shipping. And no, it's not a refurb.

Not long afterward, Amazon matched the price. Also with free shipping.

Question is, will Wal-Mart follow? America's most dreaded mega-retailer has already declared that it won't carry the Venturer during the forthcoming holiday shopping rush. But there are rumors that Wal-Mart will cut the price of the HD-A2 to $198 this coming weekend. Engadget even has a picture of the display.

Clearly HD DVD is pushing its chief advantage over Blu-ray—hardware pricing. That the HD-A2 is about to be replaced by its third-gen equivalent, the HD-A3, is probably also a factor. Note the HD-A2's audio limitations.

The news comes just months after a major software coup that put Paramount and DreamWorks in the HD DVD camp. But according to Home Media Research, Blu-ray discs still outsold HD DVD by two to one during the first nine months of this year.

Update: Gizmodo reports that Wal-Mart will temporarily sell the HD-A2 for $99 this weekend. Best buy is selling it for $99.99. And the third-gen HD-A3 is selling at Sears for $169.