Not everything is lost for Toshiba this year, even if the HD DVD format lost the battle against Sony’s Blu-ray. In order to prove that, Toshiba revealed a new video enhancement technology for DVD that “takes DVD picture quality to a whole new level.”

The XD-E500 or “eXtended Detail Enhancement” technology offers upconversion from 480i/p up to 1080p, as well as selectable picture enhancement modes for greater detail, more vivid colors and stronger contrast, offering a near HD experience.

“Consumers have embraced the DVD format like no other technology,” said Louis Masses, Director of Product Planning at Toshiba. “XDE offers consumers a simple solution to add on to their HDTV purchase […] Toshiba is delivering to consumers what they want – a high quality experience at an affordable price.”

XDE comes with three selectable settings: Sharp Mode, which offers detail enhancement, with sharper edges and more visible details in movies; Color Mode, which offer richness to blues and greens, while at the same time combining improvement in color with the detail; and Contrast Mode, which makes darker scenes and foregrounds more visible without the “washing out” effect that occurs during traditional contrast adjustment.

The XDE will be the subject of an extensive print and online advertising campaign, which includes placement on NBCOlympics.com, and a new website, www.toshibaxde.com, which will help educate consumers on the benefits of the XDE technology.

Toshiba announced the immediate availability of the XD-E500 1080p/24fps Upconverting DVD player for $149.99 at authorized sellers across the United States. The price, which is twice as high as regular upconverters, could be explained through the “near HD” experience it offers.

The XD-E500 incorporates key features that can also be found in other upconverting DVD players today, such as HDMI-CEC, DivX certification, JPEG capability, MP3 and WMA playback, all in a “slim, high-gloss cosmetic design to complement today’s HDTV,” the company said.