Friday, March 27, 2009

Blockbuster and Tivo

http://money.cnn.com/news/newsfeeds/articles/djf500/200903251136DOWJONESDJONLINE000574_FORTUNE5.htm

This article talks about Blockbuster and Tivo teaming up together to increase both of their sales. This new service would allow people to directly download movies onto their Tivo devices for a fee. Blockbuster stores would in turn sell Tivo machines at their stores to generate profit for both companies. This seems like a great idea to me and would greatly increase my likelihood of paying to rent a movie. With the convenience of netflix and on-demand movies from time warner, blockbuster and Tivo are both suffering and looking for a way to make money.
Everything in life is becoming easier and more convenient, which could make many things obsolete. Movies prices have risen to around $10 for one showing, which is a lot of money to see a movie once. People are starting to opt for more money-conscious ideas of entertainment like movies shown on cable. This is a problem because it could slowly lead to the extinction of the movie industry.
The movie industry isn’t the only media business in trouble with the world’s growing need for accessibility and convenience. Newspapers and journalists everywhere are trying to deal with the low circulation numbers of print newspapers and the growing popularity of online publications. The music industry is struggling with the amount of music being stolen on the internet and the poor sales of CD’s. So this partnership between Blockbuster and Tivo seems like a small step towards the inevitable.

1 comment:

  1. Do you see any problems with this kind of partnership? Do you think they will succeed, or have companies like Netflix already won?

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