Sony, white flag is good....this solution is better. READ!

[Blue]

"And we are willing to share the profits with YOUR stock holders. No one losses, only one technology will prevail...and no one has to lose their job, or their investment capital."

Tron nice sentiment but a minor flaw your theory. Toshiba are quite happily creaming millions off DVD (one estimate 100M) and none of that is going to the Sony shareholders.
This is business or is that war with stocks instead of bullets. Toshiba had a big win with DVD and tried and failed with the next generation - just like Sony with Betamax.
I'm sure they will get over it. The name would be nice, but don't think Blu Ray are going to pay much for it - a few blu ray blank disc's maybe, better still a HP laptop, using a Sony LCD screen with a Panasonic blu ray drive, wrapped in Dell packaging with Apple O/S (we can't have Mircosoft) keyboard from Philips, games from Paramount on TDK media - that should about cover it and keep Toshiba occupied for the next decade and hopefully they will be involved with our next generation of toys.
On the other hand Blu Ray is a name that can't be easilly confused with DVD, so maybe an advantage.