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BluRay succeeded in large part because Sony tethered it to the PS3, giving it a quick and easy way to expand the user base.

HDDVD failed in part because MS refused to do the same thing.

HOWEVER...

PS3 has struggled BECAUSE it tied itself to BluRay, raising prices well beyond consumer demand.

And the 360, being independent of HDDVD, will be able to survive it's demise with no problem.