Gates also reportedly said Microsoft is considering adding HD-DVD support to the Xbox 360 game console.
HD-DVD, originally developed by Toshiba and NEC, increases the capacity of read-only discs to 15 GB for a single-sided, single-layer disc -- up from 8.5 GB today -- according to Toshiba. The format has been adopted by the
DVD Forum as its next-generation DVD format.
Microsoft and Toshiba say they also plan to strengthen their collaboration on iHD, the DVD Forum's latest interactivity format. The companies signed a cross-licensing agreement in April to "promote the exchange of innovations" developed by each company. The licensing agreement covers developments in computer and digital consumer electronics areas, according to the companies.
"Microsoft values our strong relationship with Toshiba, a company we admire for its long-standing commitment to innovation," said Gates. "This agreement demonstrates our desire to share our innovations with other companies in ways that promote the spread of new ideas -- and benefit customers by accelerating the development of exciting new products."
Toshiba president Nishida noted that the Microsoft and Toshiba have worked together "since Toshiba launched the world's first laptop PC back in 1985, and we enjoy a relationship rooted in mutual respect and understanding."
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