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Warner / Blockbuster deal keeps movies out of kiosks for a month
Just in case Warner's ideal demarcation between release windows wasn't clear enough, it's struck a new deal with Blockbuster splitting rental dates for movies. Just like Redbox and Netflix, Warner movies are now on a 28-day delay before they appear in rental kiosks, but are available for rent at store locations or by mail on the same day they go on sale. Blockbuster CEO James Keyes calls the four-week lead an agreement that "reinforces Blockbuster's position as the most convenient source for new movies" but we're figuring with steady competition from VOD services (including its own Blockbuster On Demand, which will maintain day-and-date releases,) it will still have a tough time clawing back ground lost to the competition. First flicks under the new deal? The Blind Side and Sherlock Holmes.
Netflix bends over, agrees to delay renting Warner DVDs
Oh sigh. We'd been hearing that Warner Brothers would be pushing for month-long rental delays for mail-order services in order to boost sales, and it looks like Netflix has been pushed into submission: under an agreement announced today, Warner Brother DVDs and Blu-rays won't be available to Netflix subscribers for 28 days after they're released for sale. What's worse, Netflix says it expects to reach similar deals with the other major studios as time goes on. Why would Reed Hastings agree to a clear imposition on his company's rights under the first-sale doctrine? We're guessing this is the only way the studios would open up and allow more movies to hit Watch Instantly -- and the AP says Netflix is also getting a discount on the actual discs. Yeah, it's lame, but honestly we'd rather take more streaming content over new releases in the mail straight away, so let's hope all this wheeling and dealing pays off.
