Cinema owners livid over Hollywood's VoD plans
01 Apr 2011
A plan under which Hollywood blockbusters could be viewed in living rooms within weeks of their big screen release has left US cinema owners livid. Under the new premium video on demand (VoD) plans, which are to be introduced in the US later this month, film lovers would be able to watch new releases in their homes much earlier than they can now.
According to reports, four of the six Hollywood film studios - Universal, Sony, Warner Bros and Fox - will offer films on rent of $30 (£18), for a period of two to three days through the US satellite TV service Direct TV.
However, cinema owners seeing red over the move have reacted angrily as this could hit the box-office collections of new releases.
In a statement, the National Association of Theatre Owners, a US trade group for exhibitors, issued a statement calling the plan a "surprise and strong disappointment", adding it had "repeatedly, publicly and privately, raised concerns and questions about the wisdom" of early on-demand movies.
"These plans fundamentally alter the economic relationship between exhibitors, filmmakers and producers, and the studios taking part in this misguided venture," the group said.
The US entertainment trade magazine Variety said Sony's Just Go With It, a comedy featuring Adam Sandler, is set to make history as one of the first films to be offered on the new on-demand service.