While not an all out kick to the curb, Hewlett-Packard has decided to set aside its Blu-ray exclusive status and embrace the HD-DVD format as well.  The battle continues with Intel and Microsoft being strong supporters of HD-DVD and Sony and the gang supporting Blu-ray:

"This integration will reduce development costs and provide a more affordable solution for consumers," HP said. "In addition, HD-DVD provides a rich, cost-competitive solution for the consumer and is easier to manufacture." Entertainment industry executives are eager to avoid a repeat of the VHS-Betamax format wars of the 1980s, which created a divided market for video recorders and hit the profits of companies that invested in the vanquished Betamax format.

Here's more on the reason for HP's decision to also back the competing HD-DVD format.  It appears that HP wasn't too happy that Sony decided to turn its back on iHD support.  Hewlett-Packard was pushing hard for iHD which allows for more interactive features to be included on the disc::

As the Blu-ray backers went against HP's demand to include iHD support, Hewlett Packard has announced that they will join the HD DVD Toshiba-led group; however they will continue to support Blu-ray also.  HP has made the move to support both in an aim to deliver the most user friendly and cost effective solution to its customers, as well as to be on top of development costs due to the potential price variations between both formats.