Does the Wii prove that the HD razor/blade model is flawed?

[jarrod]

bdbdbd said:
@Maxwell: I have been pointing it out for a few years. I also made a topic about Sony not being able to drop the price of PS3 until BD players drop in price.

PS3 did affect on BD winning over the HD-DVD, so in the sense it likely did pay off in the long run. Although, we are talking about billions of discs sold and maybe even hundreds of millions of players sold, before money starts to come in (depending on how the royalties are split). But, what eventually lead to BD winning over HD-DVD was the studios choosing the platform.

Sony had to split BD royalties so many ways in order to bring other companies in, I have to question if it's even worth the sacrifice of the PlayStation business in the long run (physical media's days are numbered anyway).  They're not collecting the highest percentage of royalties even, Matsushitsa (Panasonic) is iirc.