Beginning of the End for Sony? Oh please. Look at it this way, when PS3 launches in November it will be competing against a year old 360 and HD DVD players. Which item do you think most people are going to want under their Christmas tree?
It's unlikely that Disney will release anything on HD DVD this year. Panasonic is from the only other company which stands to lose a lot of money if BD should fail. Sony and their partners are not going to let that happen. Take it to the bank.