Home Media Magazine - October 26-November 1, 2008 - (Page 1)

OCTOBER 26–NOVEMBER 1, 2008 >> ELECTRO N IC DELIVERY Microsoft Touts Xbox 360 Digital Delivery By Chris Tribbey f all Xbox 360 owners want to do is play Halo, that’s fine with Scott Nocas, Xbox Live group product manager. He’s just hoping they know Xbox 360 can do more. “Everybody knows Xbox makes great games, but we offer HD movies, interactivity, downloads, you’ll be able to stream Netflix on it … you can use your Xbox as a media hub,” he said Oct. 22 at a promotional I BRINGING DIGITAL ENTERTAINMENT TO YOU event in Los Angeles for Xbox Live. “And now we’re going to start offering original entertainment.” Announced at San Diego ComicCon International in July, Microsoft’s new entertainment distribution arm Xbox Originals offers mostly short-form entertainment that’s first available on Xbox Live, and then on MSN and the Zune media device for download and streaming. See XBOX, Page 24 INSIDE >> CBS Has ‘Adventures’ CBS Interactive bows Web series. >> Jobs: VOD a ‘Hobby’ Apple’s Steve Jobs is down on set-top boxes. PAGE 10 Report: Circuit City to Shutter 150 Stores By Erik Gruenwedel RETAIL Circuit City Stores reportedly is considering closing more than 20% of its stores and cutting thousands of jobs in an effort to remain solvent. The Wall Street Journal, citing sources close to the situation, reported the Richmond, Va.-based No. 2 consumer electronics retail chain had earmarked at least 150 stores for closure — a move that would allow it to short-sell $350 million worth of inventory to help fund ongoing operations. The Journal also reported that Circuit City retained a law firm earlier this month that specializes in bankruptcy. It operates 705 superstores and nine outlet stores in the United States. Spokesperson Jim Babb didn’t deny the report but said it was company policy not to comment on rumors and speculation. He said management, the board and strategic financial advisors continue to review all aspects of the business to determine the best methods of accelerating a turnaround and delivering substantially improved operating and financial performance. See CIRCUIT CITY, Page 24 Netflix Eyes Best Buy Has SubHalf-Mil on Blu $200 Blu Player >> HIGH-DEF Insignia brand Blu-ray player offered at $199 By Erik Gruenwedel RETAIL Best Buy Co. is selling its proprietary Insignia brand Blu-ray Disc player for $199 (after a $30 in-store discount) — more than 40% off the suggested retail price. Industry observers have long believed a sub-$200 price is key to attracting mainstream consumers. The Profile 1.1 (NS-BRDVD) player, which includes $100 in discount coupons on select Blu-ray movies, is a “conversation starter” designed to spark consumer interest in high-definition packaged media, according to a spokesperson for Minneapolis-based Best Buy. See BEST BUY, Page 22 INSIDE >> Built-in Blu Sharp bows an HDTV with a Blu-ray player. >> More HDTVs Vizio debuts mid-size sets. PAGE 8 Offers its streaming service through new Samsung Blu-ray player “When you look at the local video store, they generally charge a dollar more for Blu-ray rentals,” Reed said. He said the overall impact of the high-def format remains a work in progress as Blu-ray usage continues to represent a small percentage (about 6%) of the subscriber base. “We believe it will still be relatively small come year end,” Hastings said. Netflix reported third-quarter (ended Sept. 30) net income of $20.4 million, compared to income of $15.7 million during the prior-year period. Revenue increased 16% to $341 million, compared to $294 million last year. The rental service said it realized 261,000 net new subscribers, down See NETFLIX, Page 24 Home Theater Forum Treated to Blu-ray Demos By Chris Tribbey very major studio opened its doors to members of Home Theater Forum (HTF) Oct. 19-24, showing off BD Live features, answering questions and touting upcoming releases. When members weren’t getting insights on the latest Blu-ray Discs, they were enjoying tours or attending tapings of “Real Time with Bill Maher” and “Jimmy Kimmel Live.” “All the studios embraced The Incredible See STUDIOS, Page 22 Hulk E By Erik Gruenwedel RETAIL Netflix said it expects about 500,000 of its nearly 8.7 million subscribers to favor Blu-ray Disc by the end of the year. The Los Gatos, Calif.-based online DVD rental pioneer recently initiated a $1 monthly surcharge to Blu-ray subscribers, which takes effect Nov. 5. “This [sub base] will grow over time as Blu-ray player prices fall,” Reed Hastings, co-founder and CEO, said in a call with investors. “We are really pretty optimistic as prices come down on Blu-ray players replacing DVD players.” The CEO defended the $1 surcharge for Blu-ray, saying that highdefinition content on cable and other sources typically costs more. The Dark Knight Home A R C H Media RESE MAR KET S HAR E as of 10/19/08 I Blu-ray I DVD Consumers spent $17.94 million on Blu-ray Discs for the week Consumers spent $129.41 million on DVDs for the week Blu-ray vs. DVD Sales* 11% 89% Up 2.63% from the previous week Wall-E * Top 20 unit volume Up 24.81% from the previous week Source: Home Media Research NEWS Blockbuster chairman and CEO Jim Keyes is positive on the company’s financials, citing the down economy as good for rental. PRODUCT Tommy Smothers of “The Smothers Brothers Comedy Hour” reflects on his show, now on DVD from Time Life. RESEARCH Paramount uncovers a hit with Indiana Jones and the Kingdom of the Crystal Skull, topping the sales and rental charts. Page 6 Page 12 Page 20

Table of Contents Feed for the Digital Edition of Home Media Magazine - October 26-November 1, 2008

Home Media Magazine - October 26-November 1, 2008 Contents News TV DVD KidVid Reviews Research Top 20 DVD Sellers Top 20 Rentals and Top 10 Charts Just Announced

Home Media Magazine - October 26-November 1, 2008

Home Media Magazine - October 26-November 1, 2008 - Home Media Magazine - October 26-November 1, 2008 (Page Cover1) Home Media Magazine - October 26-November 1, 2008 - Home Media Magazine - October 26-November 1, 2008 (Page Cover2) Home Media Magazine - October 26-November 1, 2008 - Home Media Magazine - October 26-November 1, 2008 (Page 1) Home Media Magazine - October 26-November 1, 2008 - Home Media Magazine - October 26-November 1, 2008 (Page 2) Home Media Magazine - October 26-November 1, 2008 - Home Media Magazine - October 26-November 1, 2008 (Page 3) Home Media Magazine - October 26-November 1, 2008 - Home Media Magazine - October 26-November 1, 2008 (Page 4) Home Media Magazine - October 26-November 1, 2008 - Contents (Page 5) Home Media Magazine - October 26-November 1, 2008 - News (Page 6) Home Media Magazine - October 26-November 1, 2008 - News (Page 7) Home Media Magazine - October 26-November 1, 2008 - News (Page 8) Home Media Magazine - October 26-November 1, 2008 - News (Page 9) Home Media Magazine - October 26-November 1, 2008 - News (Page 10) Home Media Magazine - October 26-November 1, 2008 - News (Page 11) Home Media Magazine - October 26-November 1, 2008 - TV DVD (Page 12) Home Media Magazine - October 26-November 1, 2008 - TV DVD (Page 13) Home Media Magazine - October 26-November 1, 2008 - TV DVD (Page 14) Home Media Magazine - October 26-November 1, 2008 - KidVid (Page 15) Home Media Magazine - October 26-November 1, 2008 - KidVid (Page 16) Home Media Magazine - October 26-November 1, 2008 - Reviews (Page 17) Home Media Magazine - October 26-November 1, 2008 - Reviews (Page 18) Home Media Magazine - October 26-November 1, 2008 - Reviews (Page 19) Home Media Magazine - October 26-November 1, 2008 - Top 20 DVD Sellers (Page 20) Home Media Magazine - October 26-November 1, 2008 - Top 20 Rentals and Top 10 Charts (Page 21) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page 22) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page 23) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page 24) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page Cover3) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page Cover4) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page P1) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page P2) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page P3) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page P4) Home Media Magazine - October 26-November 1, 2008 - Just Announced (Page P5) 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