Pioneer developed the very first DVD player in 1996, but announced recently that it will halt development of TVs from here forward, and will also shift production of DVD players to a joint venture with Sharp Corp. Pioneer is expected to report a net loss for the past fiscal year of $1.1 billion, due in part to a change in currency exchange rates that makes Japanese imports less competitive in American markets and in part due to a decline in demand.

DVD players, by contrast, can be manufactured and sold at a lower price point and are still in demand as consumers switch to digital HT installations and explore Blu-ray technology and new streaming video options. HT components have been changing so rapidly in recent years that by the time a component comes to market another newer version is already being announced that makes it less desirable.