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August 23, 2014

Blockbuster trying to remain relevant with Hulu-like offering

by Brad Trechak, posted Jan 6th 2010 8:29AM
BlockbusterBlockbuster Video has finally started to realize that perhaps the reason that nobody is renting anymore is that they can download whatever they want to watch at home. With that in mind, the CEO announced that they are looking into offering a Hulu-like service that would allow people to view television shows at home.

They've already gotten VOD. Presumably, this new offering would use commercials and advertisements as an income source rather than having people pay for downloads.

Blockbuster used to be the dominant force in video-rentals back when VHS was the rage and they negotiated a "rental window" with the studios so that movies and TV shows couldn't be sold to the public until they were rented first. The invention of DVD's ruined that for them. Now, they're struggling to stay alive in light of competitors like NetFlix.

Unless Blockbuster changes their business model (with more original ideas than "copy Hulu"), it could be just another recession victim.

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PaulC

The two local Blockbuster stores near me recently closed. So they've forced me to become someone else's customer, specifically Redbox for convenience (located in all my local supermarkets) and likely Netflix within the next few weeks.

So long Blockbuster!

January 06 2010 at 2:45 PM Report abuse rate up rate down Reply
jim

How did DVDs ruin that deal for them? Did that negotiation only apply to tapes?

January 06 2010 at 11:38 AM Report abuse rate up rate down Reply

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