It's all about perception.

Obviously this whole "war" is about visibility and which format the public will associate with HD viewing. That is what this fuss about box office receipts boil down to. Obviously HDDVD cannot out gross Blu-ray studios because of the sheer imbalance in the number of studios.

But really, nobody is going to AMC 16 Cupertino Square to decide which hi-def movies they're going to buy. People are going to decide at the stores. With blockbuster exclusively carrying Blu-ray titles at its store. Target, Best-buy, and Wal-mart expanding their Blu-ray shelf space, Blu-ray's visibility this fall will undoubtedly best that of HD-DVD.

Also, this forum post was too amusing to ignore:
http://forums.highdefdigest.com/showthread.php?t=18627

(Read closely - the Blu-ray player is the only one that will let you experience"True HD")


And don't take my word for it, here are some choice words from the CEO's of Disney and Fox.

Disney CEO Robert Iger today criticized studios that have dropped support of Blu-ray in favor of rival HD DVD.
"It's disappointing that the industry hasn't managed to be cohesive," Iger said.
...
According to Variety, Dauman refused to comment on reports that Toshiba paid Paramount $100 million to switch to HD DVD.

But Iger seemed certain that the report was true.

"We haven't taken any money (to choose Blu-ray) because we think it's far and away the best business," Iger said, according to Variety.

...
News Corp. Chairman Rupert Murdoch, whose Fox studio also exclusively backs Blu-ray, told the conference that his favored format offers the best picture.

"The public can tell the difference," Murdoch said, according to the AP.

-from Disney Chief Rips Blu-ray Defectors