Skip to main content

DVD Sales Decline Concerns Movie Studios

NYTimes reports that after more than half a decade as Hollywood's savior, the DVD is looking a little tired � and the movie studios, for once, are having trouble coming up with a sequel.

DVD sales represent more than half of the revenue studios generate from most of their movies. But those sales are expected to grow just 2 percent this year, a far cry from the double-digit growth the industry enjoyed just two years ago. High-definition DVD's were supposed to pick up the slack, but technical delays and a thorny format war between camps led by Sony and Toshiba have dampened expectations.

Studios are starting to beam digital movie files to consumers over the airwaves and send them through the Internet, but sales so far are minuscule. Rentals and video-on-demand, though growing, generate far smaller profits for the studios than store-bought DVDs.

This explains why executives who gathered in Los Angeles earlier this month for an industry conference expect, for better or worse, that the plain old DVD will remain their bread and butter for several more years. Meanwhile, they are trying everything they can in their quest for a new cash cow.

For the studios, the clock is ticking: sales of standard discs are expected to fall by about 20 percent by 2010, according to Adams Media Research, an industry consultant based in Carmel, California.

Popular posts from this blog

Why 2025 Will Redefine Mobile Connectivity

As international travel rebounds to pre-pandemic levels in 2025, the mobile communication roaming market is at an inflection point. Emerging technologies and changing customer preferences are challenging traditional wholesale roaming agreements between mobile network operators (MNOs). The global wholesale roaming market is projected to more than double, from $9 billion in 2024 to $20 billion by 2028. This surge will be fueled by the expanding deployment of 5G Standalone (SA) technology, which enables real-time roaming connections and activity monitoring. But beneath this headline figure lies a complex landscape of regional variations and technological mobile service disruptions. Global Mobile Roaming Market Development Western Europe dominates inbound roaming connections, largely thanks to its Roam Like at Home (RLAH) initiative, which eliminates roaming charges among member countries.  Meanwhile, the Indian Subcontinent is emerging as a growth hotspot. Between 2024 and 2029, inbou...