Studios Selling Movie Downloads and DVDs at the Same Time


I wrote Wednesday about Warner Brothers’ plan to let people rent movies online (and over cable pay-per-view) systems the same day that they are released on DVDs.

Thursday, Apple announced instant online purchases: It has gotten all the big studios to let people buy electronic copies of movies on the day of DVD release as well. Until now, studios generally let Apple sell downloaded copies of films about 30 days after their release on disc.

There’s nothing exclusive about Apple’s deal. I see some new DVD releases for sale as downloads on Amazon as well.

Offering rentals and purchases immediately are both logical moves for the studios. Why offer someone the chance to rent something for $3.99 and not let them also choose to buy it for $14.99? Jeff Bewkes, Time Warner’s chief executive, said Wednesday that digital movies had three times the profit margin for the studios than discs.

(New York Times)

DVD, Internet TV

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