Blockbuster Raising Prices for Service

 

Blockbuster Inc., which has been losing money on online movie orders, is boosting prices of its DVD-by-mail service for new customers and some existing ones by up to 40 percent.

The movie-rental giant began notifying customers of the increases - and some price cuts - early Thursday. The hikes will take effect next week and caused an immediate buzz on Internet boards.

Blockbuster shares barely moved on the news, but shares of rival Netflix Inc. jumped more than 5 percent.

Blockbuster declined to say how many of its 3.1 million online subscribers are facing rate increases.

(Source: Forbes)


DVD, Film Business


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