Warren Lieberfarb, former head of Warner Home Video since 1984, now CEO of media, entertainment and technology consultancy, Warren N Lieberfarb & Associates (contrary to incorrect reports you may have read elsewhere) has savaged Sony Computer Entertainment over its tactics surrounding the emerging Blu-Ray DVD format by making a speech that has left video industry and game industry-watchers alike agog.
“If I were to put Blu-Ray in PlayStation and I don't license it to Microsoft for Xbox and then get all the studios to only publish on PlayStation, I'll beat Microsoft in the next-generation games market,” Lieberfarb said in an address to the Perspectives in European Video conference yesterday in Biarritz. “and we've been sucked into a case of PlayStation versus Xbox…”
Opening up a long-sidestepped debate on the tactics employed by Japanese companies compared to those in the West, he continued, “If you have ever read The Art of War, you will see all of Sony's moves, including that of taking all its enemies into a single tent and then leaving them empty-handed. These are things that they have always done historically. They did the same thing to Matsushita and to Betamax and they did the same thing to Matsushita on compact disc. They did the same thing to Matsushita on the digital video camcorder too. They compete like Samurai and it just is not the way we compete in the West.”
The speech has sent shockwaves through the video industry with a similar battle to that between VHS and Betamax now rearing its head. “Hollywood blew it and they got duped,” continued an enraged Lieberfarb to a stunned audience. “They could have created the format that optimized their creative interests. It looks like we lost, because there are six studios supporting Blu-Ray and only three supporting HD-DVD. But you know, there's always surprises.”
Of course, one must ask why Lieberfarb is so impassioned, so anti-Sony. Put simply, his consultancy is a key proponent working with Microsoft on the HD-DVD format, a fact some games industry reporters completely missed. They also missed the fact that Lieberfarb left his role at Warners in 2002 and missed, well... loads of stuff. But there you go.
“Convergence is here. Everything is digital. The Internet is going to deliver video and you are going to want to pass information from one device to another and HD-DVD versus Blu-Ray is really the first battle in the issue of who controls the home.” Convergence being a key word, especially given Paul Campbell, Director, Business Development, Media Entertainment Technology Convergence Group at Microsoft Corporation, is a known associate of Lieberfarb’s. Indeed, Lieberfarb made a presentation to Paul Campbell back in December of 2004 at the Caltech/MIT Enterprise Forum, entitled Entrepreneurial Opportunities in Entertainment, another point of consideration widely missed.
Of course, the sensational nature of Lieberfarb’s coments were too much to resist for many ‘journalists’ simply copying one another in a frenzy without checking - checking anything at all really, with the prize for most worthy journalistic performance again heading to a certain writer at a certain games industry business site.
So, what are we to make of the former Warners man’s anger at Sony? Simply that he seems frustrated to have lost the battle and is now crying "Foul".