Home Media Magazine - September 21, 2008 - (Page 6) NEWS BRIEFS I AMAZON OFFERS ONE-STOP TV SHOPPING Amazon.com has launched a new TV shows destination, offering 500 stores devoted to fan-favorite series and children’s programming. The stores, for such properties as “Battlestar Galactica,” “Family Guy,” “Supernatural,” “Futurama,” “Stargate Atlantis” and others, include video clips, summaries, episodes and purchasing options for DVDs, books and other merchandise. Consumers can access the pages through amazon.com/yourfavoriteshowstore. Throughout the fall, Amazon Video On Demand will feature various free episodes from a selection of shows, some of which will be available prior to their initial broadcast. Fans can sign up for a season pass and watch episodes anytime through the “Your Video Library” feature. – John Latchem www.homemediamagazine.com Best Buy Profit Drops Entertainment software sales were flat for the second quarter By Erik Gruenwedel RETAIL Games were up, but not enough to lift profit for Best Buy in the second quarter ended Aug. 30. Double-digit comparable-store sales gains of video games offset undisclosed comp-sales declines of music CDs and movie DVDs as Best Buy Co. reported second-quarter income of $202 million, down nearly 20% from income of $250 million during the prior-year period. The Minneapolis-based consumer electronics retailer said ongoing store enhancements and the rollout of its Best Buy Mobile in-store service contributed to the profit decline. Entertainment software, which represented 16% of domestic revenue, compared to 17% last year, posted flat comp-store sales, compared to a 7% increase during the same period last year. Best Buy does not report operating revenue or income from its CE, home office, entertainment, appliances and services business segments. Total revenue for Best Buy increased 12%, spurred by new-store sales and comp-store sales increases of 4.2%. Domestic revenue grew 12% due in part to the inclusion of 124 new stores. During a call with investors, executives said average HDTV prices fell 13% during the first half of the year. Michael Vitelli, EVP, customer operating groups, declined to speculate whether HDTV prices would continue to decline in the second Dell Bows First Burn-to-DVD PC Drive By Erik Gruenwedel ell Sept. 15 became the first PC manufacturer to offer a DVD drive with CSS copy encryption technology that allows consumers to burn a digital file of a Hollywood movie onto a blank disc that is playable on a DVD player. Dell incorporated Sonic Solutions’ Qflix DVD software into a $120 drive bundle option for its Inspiron, Studio and XPS branded laptops. The bundle includes an external Qflix-enabled drive, which supports standard DVD read/write functions, two recordable Qflix DVD discs, Sonic’s Roxio Venue burning software, a USB cable and access to movies through download pioneer CinemaNow. “The Qflix Platform is bringing the $35 billion DVD sellthrough market into the age of electronic distribution,” said Mark Ely, EVP of strategy at Sonic Solutions. The drive is also offered at Dell’s Round Rock, Texas-based online store and will soon be available as an option for third-party CE desktops. “The burnable-in-the-home DVD is well-timed, given the growing See DELL, Page 40 half of the year. “The minute we say we think and we plan that prices go down this much, then somebody else says, ‘Gee, we have to do better than that,’” Vitelli said. “It becomes a self-fulfilling prophecy in the industry.” Analysts contend excess supply of HDTVs entering the fourth quarter could trigger price wars as retailers attempt to shed inventories. “We are increasingly concerned that excess inventory in the LCD TV supply chain and a morechallenging demand environment will foster increased promotions,” said UBS Securities analyst Brian Nagel, in a note. The price declines could bode well for Blu-ray Disc as Best Buy, Circuit City Stores and other CE retailers have begun to accelerate special offers for home theater systems and HDTVs that include a Blu-ray player. Indeed, Circuit City this week offered a Samsung 5.1 channel Bluray component system, including Blu-ray player, for $749.99 — $200 off the retail price. I KIDS FIRST! AWARDS OCT. 4 The Kids First! Film Festival will hold its ninth annual awards Celebration Oct. 4, at 10 a.m. at the Academy of Television Arts & Sciences in North Hollywood, Calif. Teen stars scheduled to attend include Emily Osment (Soccer Mom), Brittany Curran (Adventures of Food Boy) and Aria Wallace (Roxy Hunter and the Myth of the Mermaid). All titles are direct-to-DVD releases. For further information, go to www. kidsfirst.org. – Thomas K. Arnold Best Buy to Buy Napster By Erik Gruenwedel est Buy Co. has entered into a definitive $121 million merger agreement with music download pioneer Napster. The transaction, which includes $67 million in cash and short-term investments and $54 million in stock, is expected to close in the fourth quarter. It wasn’t immediately clear how the transaction would affect Best Buy’s current music-download service with Rhapsody or Circuit City Stores’ co-branded Napster site. Best Buy said Napster’s easy-to-use service and strong name recognition helped cement the deal. “We can foresee Napster acting as a platform for accelerating our growth in the emerging industry of digital entertainment, beyond music subscriptions,” said Dave I MGM SENDS CHUCKY TO TERRORIZE NEW YORK MGM terrorized New York City recently to draw attention to the Sept. 9 DVD release of Child’s Play: Chucky’s 20th Birthday Edition, distributed by 20th Century Fox. The studio dispatched 20 life-size Chucky “dolls” to roam Manhattan, where they terrorized commuters, hit up LL Cool J outside MTV’s TRL Studios and danced to Jessica Simpson on the “Good Morning America” plaza. The stunt spread like wildfire on viral video sites such as YouTube and FunnyOrDie. – Thomas K. Arnold Morrish, EVP of connected digital solutions with Best Buy. In 1999, Napster ushered in the era of the music download as a free MP3 file-sharing service created by Northeastern University student Shawn Fanning. It quickly ran afoul of the recording industry, was shuttered and went bankrupt following a court verdict and lengthy trial in 2002, and re-emerged with new ownership as a legitimate pay service. The service posted a loss of $16.5 million in fiscal year 2008 (ended March 31) on revenue of $127.5 million. Edward Woo, media analyst with Wedbush Morgan Securities in Los Angeles, said Best Buy believes it can leverage its in-store relationships with music while migrating entertainment sales to the digital world. OBITUARY I VIDEO FOUNDING FATHER MEL HARRIS DIES Mel Harris, a former executive at Paramount and Sony Pictures who helped usher in the era of home video and sellthrough, has died. He was 65. The Los Angeles Times reported Harris, a resident of Malibu, Calif., died of cancer Sept. 6 at Cedars-Sinai Medical Center in Los Angeles, according to his son, Chad. Harris joined Paramount in 1977 and later became president of Paramount Video and then of Paramount Television Group. While there Harris was a proponent of selling videocassettes directly to the public. At the first-ever VSDA convention, held in Dallas, in 1982, Harris revealed Paramount would sell Star Trek II: The Wrath of Khan at the sellthrough price of $39.95. At the time, prices of $70 and $80 for new-release VHS movies were customary. Paramount followed in 1984 by reducing the price of its top 25 titles to $24.95 and packaging them together as the industry’s first holiday promotion. – Billy Gil I MTI TO RELEASE ANOTHER ‘R’-RATED ‘PIRATES’ Independent DVD supplier MTI Home Video has cut a deal with Digital Playground to release an ‘R’-rated DVD version of Pirates II: Stagnetti’s Revenge, much as it did with the original Pirates two years ago. The initial deal made history as the first adult feature film to be edited and released with an ‘R’ rating for mainstream audiences. – Thomas K. Arnold TRENDS IN FEATURE FILM PRICES BY TYPE OF FILM: 2004 - 2008* When it comes to pricing films for the DVD marketplace, it is all about what type of film it is. If it’s a new theatrical release with domestic multiplex ticket sales in excess of $100 million, then expect to pay top dollar to own a copy. Every year the studios find ways to nudge the price up — 2008 reflects the highest title average yet for films of this ilk. That average retail price has jumped to more than $35 this year. If you are into theatrical catalog, foreign language or TV movies, then you are looking at significantly less at retail. — Ralph Tribbey Type of Feature Film Released on DVD New Theatrical $100 Million or greater New Theatrical $25 Million - $100 Million New Theatrical $10 Million - $25 Million New Theatrical $1 Million - $10 Million New Theatrical Under $1 Million Direct-to-Video Feature Films Foreign-Language Feature Films TV Movies Theatrical Catalog (pre-1997) 2004 $29.56 $29.01 $28.11 $27.34 $26.04 $17.61 $22.08 $16.17 $13.54 2005 $30.14 $29.25 $28.93 $26.52 $25.55 $18.73 $19.32 $14.89 $14.92 2006 $31.45 $30.05 $29.46 $27.19 $24.98 $19.58 $18.95 $15.15 $15.83 2007 $32.16 $29.84 $29.33 $27.31 $25.54 $20.20 $19.88 $14.03 $17.02 2008* $35.30 $31.12 $29.26 $27.57 $25.54 $21.39 $20.43 $18.59 $17.21 * 2008 results include DVD titles announced through 12/31/08. Price averages based upon supplier prices and not actual retail sales averages. I RELEASE ACTIVITY FOR DVD Titles in Release Through Week Ended Sept. 12, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . Total Net DVD Titles Announced and/or In Release Through Dec. 31, 2008 . . . . . . . . . . . . . . . . . . . . . . . I REDBOX HITS MILESTONE DVD rental kiosk operator Redbox has hit two milestones, reaching 200 million rentals and 10,000 American locations. – Chris Tribbey 90,097+237 90,895+243 I RELEASE ACTIVITY FOR BLU-RAY . . . . . . . . . . . . . . . As of Week Ended Sept. 12, 2008 Released 714 Scheduled 178 Home Media Magazine September 21–2 http://www.homemediamagazine.com http://www.Amazon.com http://www.amazon.com/yourfavoriteshowstore http://www.kidsfirst.org http://www.kidsfirst.org
Table of Contents Feed for the Digital Edition of Home Media Magazine - September 21, 2008 Home Media Magazine - September 21, 2008 Contents News High-Def News Electronic Delivery News Women in Home Entertainment Reviews Research Top 20 DVD Sellers Top 20 Rentals and Top 10 Charts Just Announced Home Media Magazine - September 21, 2008 Home Media Magazine - September 21, 2008 - Home Media Magazine - September 21, 2008 (Page Cover1) Home Media Magazine - September 21, 2008 - Home Media Magazine - September 21, 2008 (Page Cover2) Home Media Magazine - September 21, 2008 - Home Media Magazine - September 21, 2008 (Page 1) Home Media Magazine - September 21, 2008 - Home Media Magazine - September 21, 2008 (Page 2) Home Media Magazine - September 21, 2008 - Home Media Magazine - September 21, 2008 (Page 3) Home Media Magazine - September 21, 2008 - Home Media Magazine - September 21, 2008 (Page 4) Home Media Magazine - September 21, 2008 - Contents (Page 5) Home Media Magazine - September 21, 2008 - News (Page 6) Home Media Magazine - September 21, 2008 - News (Page 7) Home Media Magazine - September 21, 2008 - High-Def News (Page 8) Home Media Magazine - September 21, 2008 - High-Def News (Page 9) Home Media Magazine - September 21, 2008 - High-Def News (Page 10) Home Media Magazine - September 21, 2008 - High-Def News (Page 11) Home Media Magazine - September 21, 2008 - Electronic Delivery News (Page 12) Home Media Magazine - September 21, 2008 - Electronic Delivery News (Page 13) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 14) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 15) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 16) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 17) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 18) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 19) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 20) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 21) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 22) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 23) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 24) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 25) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 26) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 27) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 28) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 29) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 30) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 31) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 32) Home Media Magazine - September 21, 2008 - Women in Home Entertainment (Page 33) Home Media Magazine - September 21, 2008 - Reviews (Page 34) Home Media Magazine - September 21, 2008 - Reviews (Page 35) Home Media Magazine - September 21, 2008 - Reviews (Page 36) Home Media Magazine - September 21, 2008 - Reviews (Page 37) Home Media Magazine - September 21, 2008 - Top 20 DVD Sellers (Page 38) Home Media Magazine - September 21, 2008 - Top 20 Rentals and Top 10 Charts (Page 39) Home Media Magazine - September 21, 2008 - Top 20 Rentals and Top 10 Charts (Page 40) Home Media Magazine - September 21, 2008 - Top 20 Rentals and Top 10 Charts (Page 41) Home Media Magazine - September 21, 2008 - Just Announced (Page 42) Home Media Magazine - September 21, 2008 - Just Announced (Page 43) Home Media Magazine - September 21, 2008 - Just Announced (Page 44) Home Media Magazine - September 21, 2008 - Just Announced (Page Cover3) Home Media Magazine - September 21, 2008 - Just Announced (Page Cover4)
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