Sony looks on the verge of winning the clash to power the next generation of DVD players after Warner Bros, preferred to make use of its Blu-ray standard for fresh releases, discarding a rival technology known as ‘HD-DVD’ produced by Toshiba.

Toshiba’s position has been further weakened by its own technology partner, Microsoft, which is understood to have deferred plans to make an edition of its well-known ‘Xbox’ video games console with an incorporated HD-DVD player.

Warner was the last big Hollywood studio still making next-gen discs for use in both Blu-ray and HD-DVD players.

However, it is ready to join MGM, Fox, Walt Disney and Sony Pictures and make next-generation DVDs completely in the Blu-ray format. Paramount, Universal and Dreamworks are the only major studios, which left in the HD-DVD camp.

Warner’s move that has been accompanied by New Line Cinema, home to The Golden Compass and the Lord of the Rings franchise entails that the next-generation DVD editions of about 70% of all new releases will only be on Blu-ray.

Duncan Bell, operations editor at gadget magazine T3 said, “If I were to stick my neck out I would say HD-DVD is dead in the water. But then a lot of people were saying that Blu-ray was dead in the water when DreamWorks came out for HD-DVD.”

Jodi Sally, a vice-president of Toshiba said, “It’s difficult for me to read the comments of the pundits that HD is dead," said Jodi Sally, a vice-president of Toshiba. "But we've been declared dead before.”

"We were particularly disappointed that the decision was made in spite of the significant momentum HD-DVD has made," added Akio Ozaka, head of Toshiba America Consumer Products.

The market for next-generation DVD players is divided roughly equally between the formats. But Sony has a major advantage in that Blu-ray discs can also be read by its PlayStation3 console.

The expense of incorporating the Blu-ray means Sony really makes a loss on each and every device it sells and troubles with the technology directed Sony to setback the commencement of PlayStation3 by six months. Accordingly, it lost ground to Microsoft's Xbox 360 it has still to make up.

The media industry anticipates death to the clash over which standard will power next-generation DVD players will eliminate consumer confusion and augment sales.