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Posted on ZDNet News: Jan 8, 2008 6:16:00 PM

Reuters Logo Microsoft's Xbox video game unit still fully backs Toshiba's high-definition DVD format but could consider supporting Sony's rival Blu-ray technology should consumers want it, an executive said Tuesday.

"It should be consumer choice; and if that's the way they vote, that's something we'll have to consider," Albert Penello, group marketing manager for Xbox hardware, said when asked whether Microsoft would support a Blu-ray DVD accessory in the event that HD DVD failed.

However, Microsoft might not do such an accessory itself. In an interview with CNET News.com, Chairman Bill Gates said that such an add-on drive could be done by a third party.

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Microsoft does not believe the surprise decision last week by Time Warner unit Warner Bros., the top seller of home movies, to abandon HD DVD format in favor of Blu-ray should affect sales of its Xbox 360 video game console, Penello said.

"I fundamentally don't think...this has a significant impact on Xbox 360 versus (Sony's) PlayStation 3," Penello told Reuters in an interview at the Consumer Electronics Show in Las Vegas.

"With the PlayStation 2, DVD was a big part in the beginning, but over time, people were not buying it as a DVD player after first year or two," Penello said.

The Xbox 360 supports a plug-in HD DVD accessory that is bought separately, while Sony, hoping to give its next-generation video format a leg up, built a Blu-ray player into its PlayStation 3 machine.

"You can't say it's not a bummer, not a setback, but I've seen this battle declared over so many times," Penello said of Warner's decision.

"I want consumers to have a voice in this and I think there are a lot of consumers who bought HD-DVD who are going to have a say in how this shakes out."

Warner Bros. is the movie division of media conglomerate Time Warner.

CNET News.com's Ina Fried contributed to this report.

Story Copyright © 2008 Reuters Limited. All rights reserved.

©2007 CNET Networks, Inc. All rights reserved. CNET , CNET.com , and the CNET logo are registered trademarks of CNET Networks, Inc. Used by permission.

Story Copyright © 2008 Reuters Limited. All rights reserved.

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