The Walt Disney Co. has created a new technology designed to usher in an era of simpler, more convenient movie downloads. Codenamed “Keychest”, the new content delivery system will be similar to the “cloud computing” nature of many web-based applications that store files and media on remote servers, allowing access from anywhere with an Internet connection.
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Archive for October, 2009
With all the doom and gloom surrounding DVD retail these days, it’s nice to get some good news every now and then. According to information recently released by the Digital Entertainment Group (DEG), Blu-ray disc sales rose 66.3% in the third quarter of this year and Blu-ray rentals are up 44.5%. The increase in Blu-ray disc sales contrasts with an overall 13.
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9% decline in packaged media sellthrough in the same time period compared to 2008. In addition, Blu-ray sellthrough is up 83% for the year to date.
We recently posted a story discussing Redbox’s limited sellthrough kiosk test currently taking place in Southern California. The black boxes carry the Vidigo brand name and hold about 200 discs, priced up to .
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95 for DVDs and from $24.95 for Blu-rays.
While Redbox has not yet determined an end date for the kiosk test and is reserving judgement on its success, several analysts from respected firms have spoken out against the black DVD vending kiosks in recent days.
The National Law Journal has run an article recounting the history of the legal battle currently being waged between Redbox and several Hollywood studios. The article goes into some detail discussing recent developments in Redbox’s antitrust suits, and outlines what Redbox will have to accomplish in order to carry the day in court:
“To successfully sue under Section 1 of the Sherman Act in a distributor case, Redbox has to do four things: define the relevant market at issue, prove that the defendant has substantial power in that market, outline why the defendant’s acts aren’t reasonable business decisions and demonstrate the detrimental effect those acts have had on the market.”
Apparently tired of being undercut by $1 per night rental kiosks, a brick-and-mortar video rental company has adopted an “If you can’t beat ’em…” pricing strategy. Mark’s Video, a chain of rental stores owned by Hollywood Video founder Mark Wattles, has adopted an aggressive pricing model that seems to have Redbox squarely in its sights.
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The stores, which are located in Washington, Oregon, Nevada and Arizona, are renting new DVD releases for $.99 per night, catalog films for $.49 and Blu-rays for $1.49. In addition, every title in the store is also available for sale.
On Friday, the Chicago Tribune ran a story chronicling Redbox’s history, its recent scuffles with some major Hollywood players and its rise to become one of the titans of its industry. It’s an excellent article and well worth a read for any Redbox fan (or foe).
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Here are some highlights:
Here are the new releases scheduled to come to Redbox on October 20, 2009. What do you like? What will you see? Is anything missing?
Aussie & Ted's Great Adventure Starring: Dean Cain (v),Beverly D'Angelo (v)
Genre:
Release Year: 2008
movie details / trailer
Blood: The Last Vampire Starring: Gianna Jun,Allison Miller
Genre:
Release Year: 2000
movie details / trailer
Manana Te Cuento 2 Starring: Giovanni Ciccia,Melania Urbina
Genre:
Release Year: 2008
movie details / trailer
Pandemic Starring: Ray Wise,Graham McTavish,Alesha Clarke
Genre:
Release Year: 2008
movie details / trailer
The Quick and the Dead Starring: Leonardo DiCaprio,Russell Crowe,Sharon Stone
Genre: redbox Replay
Release Year: 1995
movie details / trailer
Van Wilder: Freshman Year Starring: Jonathan Bennett,Kristin Cavallari
Genre:
Release Year: 2009
movie details / trailer
Redbox’s position in its battle with Hollywood and other interests has been made a little stronger with the results of a study conducted this month by Interpret. The study not only vindicates Redbox by demonstrating that it doesn’t cannibalize DVD sales, it also shows that Redbox customers buy MORE movies than non-customers. Here are the study’s findings, brought to us courtesy of Video Business:
“In the past six months, Redbox renters said they bought 3.3 new DVD or Blu-ray titles and 1.
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4 used DVD/Blu-ray discs. That compares to non-Redbox renters who say they purchased 3.
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1 new DVD/Blu-rays and 1.2 used DVD/Blu-rays. Additionally, the heaviest Redbox users, who rent at least one $1 title weekly, say they’ve bought 4.4 new DVD/Blu-rays and 1.9 used DVD/Blu-rays. This data is similar to results from a January NPD Group study showing heavy new DVD purchasing among Redbox renters.”
Fresh off a series of comments about the semi-imminent demise of DVD as its primary format, Netflix CEO Reed Hastings has called the growing streaming video market “wildly competitive”. Hastings’ comments came this week at the Magazine Innovation Summit in New York. The summit brought together executives from the publishing world, another industry that has seen unprecedented upheaval and uncertainty in recent times.
In his keynote address, Hastings admitted that his company is in an “enviable position” compared to many magazine companies:
“’The fortunate thing for us is video stores are closing, meaning more people are renting online,’ Hastings said, pointing out that unlike, say, BusinessWeek, its competitors on the DVD side of the business are few and ‘fixed’: Blockbuster and Redbox.”
Blockbuster’s nascent video-on-demand service has gotten several boosts in recent days, with key partnerships being announced with TiVo and Samsung.
