Oh, and there's a $20,000 setup fee to go with it, so this is basically for Oprah.
Remember how crazy it seemed when we reported on the premium Video on Demand service that would cost $50 a movie? Well it's time to rethink what's sane.
A company called Prima Cinema is launching a first-run VOD service that will bring folks movies currently in theaters. The catch? After a $20,000 setup fee, you'll pay $500 a movie. No, that's not a joke or a typo, they want $500 per movie.
The whole point of the system is to get theatrical movies to those that otherwise wouldn't go. Celebrities and the obscenely wealthy don't like to mingle with us norms. "Precisely because it is a niche market, that upside should come without harming any of our existing partners or revenue streams," explains Prima stakeholder and Universal Picture chairman Adam Fogelson.
John Fithian of the National Association of Theater Owners isn't as happy with the idea. "This proposal will give pirates a pristine digital copy early, resulting in millions of lost revenue to piracy, while at the same time selling a very limited number of units," he says.
Source: Wall Street Journal