Toshiba (with its HD DVD) and Sony (with its Blu-ray) have been fighting this war for the past 2 years or so, trying to win over production houses to establish their format supremacy.
I think, Sony has the brand name, might and game console (PS3 is also Blu-ray player) was able to slowly but surely is killing (consider it killed by now) HD DVD.
Most the above new sources (including this story at nytimes.com) claims that it was Wal-Mart's decision to stock only high-definition DVDs and player which are Blu-ray based, is what gave the final blow to Toshiba.
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