Studios Close to Experimenting with "Premium Video on Demand"

on August 11, 2010

Source: Reuters

Hollywood's major studios are reportedly ready to experiment with releasing films via "premium video on demand" as little as 30 to 60 days after they hit theaters. Consumers would pay $24.99 for a movie that has been released theatrically for 60 days and $50 for one that's been in theaters for 30 days. Sources tell Reuters that one studio may do a trial run as early as this fall.

The topic of release windows is a sensitive one. With underwhelming DVD/Blu-ray sales, studios are scrambling to find new ways to bring in revenue. Meanwhile, the exhibition industry remains healthy. 2010's domestic take is outpacing 2009's at the same point in the year, and 2009 ended up posting a record-setting $10.6 billion haul.

Tags: Premium video on demand, release window

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