::DVDdude.net
Blockbuster Versus Everyone
Those of you who have been following the DVD format from the beginning know that it got off to a rough start. Most new products don't face an easy time of it anyway, but DVD had Divx actively working against it.
For those who don't know, Divx was essentially a pay-per-play version of DVD. Luckily it never got off the ground, but it did pose a serious threat to our beloved format. In fact, Divx caused such a stir that several studios weren't even willing to support DVD during its first year (there were a lot of back-door dealings going on that I won't go into here, but I may touch on them in another rant sometime).
Coinciding with and following the Divx fiasco, DVD also faced problems with the rental industry. It was always known that the ability to rent DVDs was a major issue to whether or not the public would adopt the format. Many of the smaller rental outlets were eager to embrace DVD and even Hollywood Video began renting fairly early in the game. The biggest and most important holdout, however, was Blockbuster.
Like it or not, Blockbuster is a serious force in the home video market. Embracing DVD would lend legitimacy to the format that almost nothing else could. And yet they hesitated.
Eventually, Blockbuster did jump onto the DVD bandwagon (again, more backdoor dealings were involved), but they don't seem to be satisfied with just tagging along for the ride. Blockbuster now wants to drive the wagon.
The rental giant has for years maintained a huge influence over the studios and now it seems they are trying to flex their muscles in the DVD market. You see, your ability to actually buy a DVD on the day it's released is a serious concern for them. Blockbuster would prefer that your only initial option would be to rent. It's not that they don't want you to own DVDs - they just want the first crack at them.
Essentially what they want is a rental window similar to what currently exists with many VHS tapes. In Blockbuster's world, DVDs will have two release dates - one for the rental industry and then one for the consumers weeks or months later.
Is this a good thing? Do I prefer to collect movies on video tape?
For one thing, the DVD market was specifically designed without any sort of rental window. Part of the success of DVD can be directly attributed to the fact that consumers don't have to wait to buy their movies.
Blockbuster complains that the lack of a rental window is having an adverse effect on their business. This is nonsense. For years the studios have been flirting with "day and date" releases ("day and date" is just a confusing way of saying that a movie is released for sale on the same day that it's released for rent) for VHS movies. The sheer number of Blockbusters that have infested my town in the last couple of years should be an indication that the concept of day and date hasn't hurt their business in the slightest. If day and date releases are such a problem, why is it day and date VHS releases are just as difficult to rent as those with the rental window?
The key issue that Blockbuster has decided to overlook is that not everyone will want to own every movie. Beyond that, there will always be people who will want to see a movie before they decide if they want to own it. That doesn't seem to matter, though. Blockbuster would rather control the industry. They've begun to assert their power and they've made it clear that they have no problems with denying product or circumventing the supply channels of studios that don't bow to their wishes.
So, it appears that change is coming. At least if Blockbuster can get their way. Of course in the end, the consumers are the ones with the real power. Whether or not we use it is another matter.
[Edit: It appears that Blockbuster did NOT get their way in this issue. Now they have turned their sights to Netflix. I guess we'll just have to wait to see how that works for them. - May 26, 2005]
-- Robert Wurth
