Since we don't watch much TV in my house (no cable in our neck of Virginia), movies are our main source of entertainment. We're always eagerly awaiting the release of a favorite film on DVD so that we can race to the local supermarket or department store to snap up a copy. (For my children, waiting for the latest Harry Potter DVD is like waiting for Christmas.)
It's all about convenience, and this is the latest attempt by Apple to corner the way people buy, watch, and listen to their entertainment. Apple had already been selling more than a few movies and TV shows via iTunes, but it obviously wasn't enough for boss man Steve Jobs. In fact, Mr. Jobs appears to be so eager to get people to shop for movies at iTunes that he's basically losing $1 on every movie.
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Most experts see two reasons for Apple to sell these movies as a "loss leader." First, it wants movie fans to get hooked on the iTunes site for all their entertainment purchases. So when you drop by iTunes to pick up that copy of "The Golden Compass," you might also snap up a couple of tunes by Nine Inch Nails. And since you missed it, you'll buy last night's episode of "American Idol."
The second reason is that Apple wants you to use its gadgets. While movies can be downloaded to watch on either a Mac or a PC (only standard definition for a PC), they will also run on your iPod, iPhone, and Apple TV. They will not work on similar gadgets from other companies. Apple TV is the real fair-haired child here. Now that new versions of the software enable you to both rent and buy movies, Apple wants more people to fork over $299 for this extra set-top box that wirelessly connects your digital library to your TV.
"[Netflix] won't be able to get a lot of new content now, next month, or even four or five months from now," Mr. Hargreaves said. "Those issues don't apply to Apple since it's selling movies a la carte versus subscriptions."
Life just gets easier, eh? We can get our books, music, TV, and movies without ever having to move an inch from anywhere. I'm not sure that necessarily makes it a better world, but it sure makes it a more convenient one.
For over 90 years, The Walt Disney Studios has been the foundation on which The Walt Disney Company (NYSE: DIS) was built. Today, the Studio brings quality movies, music and stage plays to consumers throughout the world.
I've been to a bunch of 3D movies now. It seems to be all the rage in the movie theaters these days. I have to say that I am not a fan. I have yet to go to a 3D movie where I didn't want to take the glasses off and watch in 2D. That doesn't work, but I sure wish it did. And I've been to the films that people say are the best of the 3D medium (Avatar, Hugo). So it's not that I haven't been to the right films. I just don't think 3D improves the experience in any meaningful way.
We are likely still in the part of the cycle where execs fear getting fired for not having done enough 3D. Right now 3D just equals higher revenue so they all say lets do more. I think 3D movies have really just revealed theater movie demand may be more price elastic than thought. With a good excuse to break the $10 barrier nationwide (3D) they may have found a way to move the whole market up $3 a ticket. The end result may just be a return to normal movies at new higher prices after a couple non-3D blockbusters remind studio execs that content is still king.
I totally agree. Aside from getting a headache, I also feel like my eyes are going blind after watching a 3D movie. A technology that focuses on volumetric display would deliver a much better experience imo, but I imagine that would be in the very distant future.
Problem is that proper 3d needs headtracking too to look real, not just preprogrammed left-right eye parallax sequences (see Johnny Lee headtracking demos with wii on youtube). Our micro head movements that occur all the time change our visual scene. The static head orientation of all todays 3d movies is like seeing the world with your head taped to the back of your chair, it looks wrong. Solving this is only possible in one screen per user systems adjusting 3d scenes on the fly to micro head movements, which is why I think gaming systems will get it right first.
I think Hollywood really did not do what a good startups would have done! Ask the question is there a real problem we are solving with this 3D thingy? The answer is NO. But they are shoving it anyway because of the monopoly they have on the production business and the distribution business. Fred, you have already written about why scarcity is a shity business model, I think you need to write why dishing crapy upgrades like 3D is worse for the movie business. Hollywood needs to focus on making good movies and that is what interests me to go to the movies not gimmicks. I hope someone from the movie business is taking notice else they are going to loose this crowd. I really do not enjoy paying for the crappy glasses and not such a great experience. Thanks for nothing Hollywood.
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