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NEW YORK - An exit clause in Paramount movie studios contract to back Toshiba's HD DVD format could lead to a defection to Sony's rival Blu-ray format, ending the war over next generation DVDs, a report on the Financial Times website said.
Viacom's Paramount, among the last of the big Hollywood studios still releasing movies on Toshiba's next generation DVD format exclusively, has a clause in its contract that allows it to exit the agreement if Warner Bros, Hollywood's leading seller of home videos, leaves.
Warner Bros said last week it planned to release movies in the Blu-ray format exclusively.
Viacom could not immediately be reached for comment.
- REUTERS
