Technology review of the year 2008

The death of HD-DVD, the first 'internet president', Twitter power, the rise of the ebook reader and the Microhoo debacle - it's been a fast-paced12 months in the world of technology.

1) Death of HD-DVD

January saw the death of HD-DVD in the long-running battle to become the de facto, next-generation, high-definition DVD format. Just hours before the HD-DVD group was due to hold a press conference at the Consumer Electronics Show in Las Vegas, Warner Bros film studio announced that it was withdrawing its support for HD-DVD, and instead would be exclusively backing rival format Blu-ray. The studio's defection spelled the end of the line for HD-DVD, which had been backed by Toshiba and Microsoft, among others. By February, Microsoft announced it had stopped making the HD-DVD add-on for its Xbox 360 console, while Toshiba also said it would cease production of HD-DVD players. Blu-ray may have won the format battle, but it may yet have lost the war. Our love affair with DVDs shows no signs of abating, while the growing number of services that allow users to download high-def films straight to their TV could eventually replace high-definition discs before the format even gets a foothold.

2) The little computer that could

Perhaps the biggest consumer electronics success of 2008 is the rise of the "netbook", the small, cheap ultra-portable laptops that offer little in the way of memory or storage, but which provide a convenient, low-cost way of getting online wherever you are. Asus won plaudits for its Eee PC, which offered lots of great features and functionality for just £200, while Acer is the manufacturer who has shipped the most netbooks this year.

3) First "internet President"

Barack Obama's historic victory in this year's US Presidential elections was also a confirmation of the power of the internet. Obama's successful election campaign relied hugely on harnessing the power of social networking and new media sites, such as Facebook, Twitter and YouTube, to help get the vote out. His campaign team used the web to help supporters organise and run local rallies and vote drives, and even developed an application for the Apple iPhone. President-Elect Obama has promised to use the internet to create a more transparent government, and to communicate his plans and policies more clearly to the electorate.

4) Power of Twitter

It's been a great year for Twitter, the microblogging service that lets people post short messages, known as tweets, in 140 characters or less. Not only have such luminaries as Stephen Fry and Britney Spears joined Twitter's ranks, but it has also played a crucial role in disseminating information and breaking news in real time. The aftermath of the Sichuan earthquake and Mumbai terrorist attacks were played out on Twitter with frightening detail and immediacy, demonstrating the value of the platform and similar social media. In fact, such has been Twitter's stellar rise that it was forced to see off overtures from Facebook last month, who wanted to buy the microblogging service for a rumoured $500 million.

5) Smartphones get smarter

The roster of great mobile devices released this year reads like a who's-who of the great and good of the smartphone world. Consumers have been spoilt for choice, with seemingly every mobile phone maker churning out handsets to take on the iPhone 3G, Apple's second-generation mobile phone. Research in Motion launched its first touch-screen BlackBerry, the Storm, while Sony Ericsson's Xperia X1 demonstrated the power and promise of Windows' mobile platform. Google, too, got in on the act, with T-Mobile's G1 the first device to run its Android operating system, designed to bring the desktop computing experience to mobile devices. This new breed of smartphones share some common traits, including great, fast internet access, and the ability to access emails and social networking profiles on the move. Many also allow users to download extra software and applications to the device, in effect turning the whole thing into a pocket computer.

6) Convergence is king

The trend towards converged devices – single gadgets capable of performing multiple functions – continued unabated this year. We've seen satellite-navigation systems that double as personal media players and Bluetooth hands-free systems, mobile phones with 8-megapixel cameras built in that could make standalone digital snappers a thing of the past, and games consoles that also allow you to download and stream movies straight to your television. Expect the trend to continue apace in 2009.

7) Digital music comes of age

It's a well-known fact that sales of physical CDs are in decline, while music piracy and file-sharing remains rampant online. This year, though, record labels have taken some important steps to encourage music lovers to download songs legally by providing tracks in the formats they want, and at prices they're prepared to pay. We7 was the first in the UK to offer music free from anti-piracy DRM encryption, meaning tracks could be played on a host of devices, including iPods. Since then, Play.com and Amazon have followed suit, with Tesco also aiming to go DRM-free by the end of the year. Apple is expected to do the same early next year. Mobile phone companies, too, have spotted an opportunity to make some money, with many network operators now offering over-the-air music downloads straight to mobile phones, and the likes of Nokia offering all-you-can eat music downloads with its Comes with Music service. Time will tell whether this is enough to see off the pirates, but it's certainly a start.

8) Video games become universal

This year will surely be remembered as the year that everyone became gamers. Consoles such as the Nintendo Wii and the DS have been credited with bringing a new generation to video games, and 2008 saw Microsoft and Sony trying to appeal to a much broader user base. Games such as Rock Band and Guitar Hero and the innovative LittleBigPlanet show how keen games companies are to widen their customer demographic, and provide hours of immersive, innovative entertainment for young and old alike.

9) Microhoo debacle

Jerry Yang, Yahoo!'s former chief executive, is unlikely to lament the passing of 2008. Since turning down a $44.6 billion offer from Microsoft to acquire the ailing internet portal, Yahoo! has been in freefall, hemorrhaging senior staffers and seeing its share price plummet. Yang's decision not to sell to Microsoft was unpopular with shareholders, to say the least, and his decision to resign from the role as Yahoo! chief executive in November is both a tacit admission of failure, and a proverbial olive branch to the Yahoo! board. Microsoft, meanwhile, has abandoned all Yahoo! acquisition plans, and the portal is now expected to look outside its purple offices for a senior executive capable of steadying the Yahoo! ship and reviving its fortunes in 2009.

10) The rise of the ebook reader

Much as the music industry is slowly getting to grips with digital, so too is the publishing industry. This year saw ebook readers move from geek to mainstream. Amazon launched the Kindle in the US, while in the UK, Waterstones started to sell Sony's Reader. Other mobile devices, too, embraced the medium, with several apps available for the iPhone that turn the handset into an ebook reader, and even Nintendo announcing that DS users would soon be able to read classics published by HarperCollins on its device. In truth, though, sales of ebooks and ebook readers remain dwarfed by those of old-fashioned "proper" books, but 2008 has arguably seen some much-needed momentum build behind the ebook format.