The Financial Times is reporting that Apple may soon be slashing its pricing on TV show downloads in half. The purported move would coincide with the upcoming retail launch of Apple’s iPad device in April. According to sources consulted by the Times, the test will assess whether cheaper video downloads will lift sales in the face of delining DVD purchases and competition from Redbox.
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Archive for February, 2010
The Video Buyers Group (VBG), which represents around 1,700 video retailers, is nothing if not determined in its efforts to undermine Redbox. At a recent Midwestern Independent Video Retailer Association event, VBG president Ted Engen alleged that Redbox remains unable to successfully stock titles that are denied to it by the Hollywood Three. Engen also claimed that, through his group’s research, the quantity limits recently put in place by several major retailers are causing a dearth of Warner, Universal and Fox DVDs in Redbox kiosks for several weeks after they are released.
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The numbers are just in, and Redbox’s parent company, Coinstar, has reported $1.1 billion in revenue for 2009, which is a 50% increase over the preceding year. Coinstar’s Q4 revenue was up 43.9% versus the fourth quarter of 2008, totaling $328 million with a net income of $5.5 million. Operating margin slipped from 9.
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4% to 6.1%, however.
No shortage of madness in or around the new 'Alice' film.
It looks like Disney wants to further shorten the window between theatrical and DVD release, and plans to start with the upcoming Tim Burton film Alice in Wonderland. If U.S. theater owners will go along with it, the studio plans to shorten the window from 16 weeks to about 12. American exhibitors have not publicly commented on their reaction to Disney’s proposal, and the studio could possibly be offering theater owners better terms for the film to sweeten the deal.
Just a quick note to let everyone know that the Inside Redbox Pro iPhone app was just updated to version 2.
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0.4. Some cool new features were added related to the movie queue and some important bug fixes were found and repaired, making this the best and most stable release ever.
Download this version from the Apple App Store right away!
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Not long after Redbox’s most recent filing in its fight against the Hollywood Three comes Fox’s latest salvo. In a court filing dated February 4, 20th Century Fox Home Entertainment claims that Redbox has failed to prove that Fox violated antitrust laws by instructing its distributors to put in place a 28-day new release embargo. Fox also asserts that Redbox has been unable to prove that the studio and retailers entered an agreement to limit sales of new titles, and requested oral arguments for its motion to dismiss the case. Read the rest of this entry »
This Thursday will be a huge day for both friends and foes of Redbox. The kiosk operator’s parent company, Coinstar, will be releasing its eagerly awaited fourth quarter results, and proponents and opponents are sure to be watching closely. Redbox spent the final three months of 2009 dealing with myriad challenges, and the financial results are expected to paint a picture of how well or poorly the company is dealing with said obstacles.
As streaming continues to grow and mature as a format, it will likely start to give physical media a real run for its money. The latest evidence of this comes from CNET, which is reporting that at an unspecified time later this year, Netflix will be adding 5.1 surround sound and closed captioning to its streaming service.
Spring break, circa 1922
With a hefty slate of Hollywood hits coming to home video this spring, retailers and renters are making plans to squeeze out every possible dollar, and Redbox is no exception. Some of the major titles to be released in March include Sony Pictures’ 2012, Disney’s The Princess and the Frog, Summit’s New Moon and Warner’s The Blind Side. All of the above films grossed over $100 million at the box office, with Blind Side bringing in well over $200 million and New Moon earning close to $300 million.
With the Academy Awards coming up next month, Redbox has launched a “Spotlight Awards” contest for its customers.
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To be eligible to enter, you must have or register for an account with Redbox.com. Entrants should watch some or all of the Oscar-nominated movies that are available for rent at Redbox and then click the “Vote Now” button on the site to answer a series of questions. The responses will be evaluated by a panel of judges, and the winner announced on March 10.
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The grand prize winner will receive 365 free rentals, and up to 2,000 runners up will receive a free rental. Full details on the contest can be found here. Good luck, Insiders!
