“Major movie studios have agreed to allow Apple Inc.’s iTunes to sell movies on the same day they are released on DVD, another sign of Hollywood’s acceptance of business models that encroach on traditional DVD-sales markets,” Sarah McBride and Nick Wingfield report for The Wall Street Journal.
“Films from most studios hadn’t been available on iTunes until weeks after their DVD release. ‘This is a game changer,’ said Craig Kornblau, president of General Electric Co.’s Universal Studios Home Entertainment and Universal Pictures Digital Platforms,” McBride and Wingfield report.
“[Other] online retailers don’t have the same draw as iTunes. When iTunes started selling TV shows online, it helped take the market to $175.8 million last year from barely anything two years earlier, according to Adams Media Research,” McBride and Wingfield report. “Apple hasn’t said how many movies it has rented since introducing the feature in January. Adams Media says the video-rental market totaled $24 million last year.”
“Apple has seen great success in music sales. It has sold more than four billion songs and earlier this year surpassed Wal-Mart Stores Inc. to become the biggest retailer of music in the nation, according to NPD Group Inc.,” McBride and Wingfield report. “Apple hopes it can translate some of its music success to movies.”
Full article here.
[Thanks to MacDailyNews Reader “Brawndo Drinker” for the heads up.]