Apple, Amazon to sell movies online
updated 10:45 am EDT, Wed September 6, 2006
Movies from Apple, Amazon
Both Amazon and Apple are expected to unveil new movie-downloading services in the coming weeks with online movie offerings from both services expected for sale at the same time as DVD versions of movies are released. According to The WSJ, Amazon has all the major Hollywood studios except Walt Disney Co. lined up to offer movies on its service, while Apple's iTunes has just one major studio, Disney, due to wrangling over pricing for movies. Called "Amazon Unbox," the internet retailer is expected to sell the bulk of its movies between $10 and $15; however, there could be a larger range along with the option to "rent" movies. Apple, however, has struggled to sign up studios: "Apple, meanwhile, plans to sell movies for just a handful of different prices, starting at $9.99 for catalog titles and going up to $14.99 for new releases.... Apple has been unable to sign up all of the studios in large part because they can't agree on price. Many studios want more than the $14.50 or so Apple is offering to studios as a wholesale price per movie so they can create similar or bigger margins than they get with physical DVDs."
Price
09/06, 11:08am reply
Max $9.99 higher is bull
Peter Bonte
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Joined: Aug 2001
did i mention....
09/06, 11:41am reply
That I hate the greedy blood-sucking movie and music studios?
technocoy
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Joined: Oct 2002
RE: price
09/06, 11:56am reply
I agree. Higher than $9.99 and I'd rather do Actual DVD + MactheRipper + Handbrake = 1GB movie accessible by Front Row.
my .02
mgpalma
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Joined: Sep 2000
(Slaps forehead)
09/06, 11:58am reply
"Many studios want more than the $14.50 or so Apple is offering to studios as a wholesale price per movie so they can create similar or bigger margins than they get with physical DVDs."
Argh! None of them get it! "We only wanna do this if we're gonna make craploads more money."
No! Look, ask the record companies who sell music and the networks who sell TV shows on iTMS. Do they make a lot of money per unit? No! But it costs almost nothing (or perhaps actually nothing) to provide their wares for sale on iTMS. In return, they get more people using their product, legally. More eyeballs. more mindshare. and they're "in" on something cool.
Listen carefully, studio idiots: There is currently NO WAY to make craploads of money in the movie download business. (Nor will there be, unless we suddenly run out of the materials to make DVDs with, and they start costing $50 each.) But the landscape is changing, and it's essential to get in now -- you won't make much, but it won't cost you much. Just sign on already.
Jeff Edsell
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Joined: May 1999
Prenup needed
09/06, 12:31pm reply
Now is when Apple's "victory" over the record labels on pricing shows its consequences. The movie guys see that if they go in for one fixed price, they can and will be held to it. Fixed prices are a frightening thing in a culture that expects quarterly gains. Apple can twist their arm after the marriage, as they can now twist Apples before it happens. What they need is a prenuptial agreement!
purpleshorts
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Joined: Sep 2004
They'll never get it
09/06, 12:48pm reply
When will these media executives learn. They have to realize that there's a MASSIVE paradigm shift going on. If they keep with their old ways, their content will get pirated more and more. This is a chance to lead in the new paradigm, and make money (plenty of money), rather than getting robbed by pirates.
The costs are cheaper than DVD for the studios, so there's really no reason to expect the same wholesale figures. They only have to produce the encoded version and upload it to Apple. That can't be more work than making the master file of a DVD burn. Then there's no product to press, print, ship, etc. There's also no time-lag. The moment they release it, people can buy it. There's no need to wait for it to get to the person's market, or to be out of stock. Just constant, immediate sales flow.
Hey, Hollywood, WAKE UP. YOU'RE KILLING YOURSELVES!
bfalchuk
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Joined: Jul 2003
Bah!
09/06, 01:02pm reply
I don't mind price ranges. I don't care if 'new' movies go for higher then others. (I believe the same should be true for music). However, older catalog items should sell for a lot less. Paying $10 for a 30 year old B-movie is just ridiculous.
testudo
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Joined: Aug 2001
Ignorant
09/06, 01:49pm reply
I have never seen companies as ignorant about their customers than the music and movie industries (accept maybe M$). Don't make it easy to get, don't give the customer what they wantl. Don't price it so you sell more. Don't create compelling content - keep pumping out the same old c*** and blame pirating for your sales slumps.
ClevelandAdv
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Joined: Jul 2004
DVD koisks
09/06, 02:03pm reply
I don't know if I am going to download DVD-quality movies for an hour or more where DVD kiosks are available (that I found out recently).
I would want to sacrifice my bandwidth for some other stuff most of the time where it's used for phone, skype, video... etc.
DVD kiosks are available for $1 a night per new movie only (redbox.com) with all the DVD features and stuff. The best thing is that there are always free rental codes from the web for free movies... downloading doesn't seem to attract me anymore... just my 2c.
redpod
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Joined: Sep 2006
regions?
09/06, 02:10pm reply
How will this work internationally? region 1 or 2 or 3? I am sure this will be a USA only for a while. Or does it matter?
MarcoM
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Joined: Jan 2005