Walt Disney Co. is asking theater operators to agree to a shorter time
between movie debuts and DVD releases, specifically starting with Alice in
Wonderland, in an effort to boost home video sales.
The move comes as studios try to find ideas to speed the release times of
DVDs to fight slumping DVD revenues.
Walt Disney Co. is asking theater operators to agree to a shorter time between movie debuts and DVD releases, specifically starting with Alice in Wonderland, in an effort to boost home video sales. The move comes as studios try to find ideas to speed the release times of DVDs to fight slumping DVD revenues.
"The scheduling change is among the first examples of an informal new agreement U.S. theater owners are discussing with the six major Hollywood studios: The exhibitors would let the studios experiment more with DVD release dates. As a result, studios could each release one or two movies a year on DVD a month or so sooner than they usually do, according to people familiar with the matter.
The seemingly minor move could portend a big shift in the movie business down the road. The nascent arrangement, which has been under discussion for several months, highlights the growing pressure on the longstanding backbone of Hollywood's business model, an elaborate system known as "release windows."
By separating a movie's release in theaters from the time window of when it is released on DVD or cable TV, studios were able to maximize revenue. DVD sales, for example, didn't eat into a movie's take at the box office."
Apple Inc. is expected to hold an event on Jan. 27 to introduce its eagerly anticipated tablet computer. Apple sent invitations by e-mail message to reporters on Monday that said, "Come see our latest creation" at a theater in San Francisco.
Disney is planning to release "Alice in Wonderland" a month earlier than typical DVD releases. They hope to capitalize on buzz from the theatrical release. Surprisingly, movie theaters are not protesting the plan, in spite of the money they could potentially lose from the film being pulled early from theaters.