Thread: sky movies (excess profits)
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Old 01-03-2011, 17:55   #93
clinteastman
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Join Date: Jan 2007
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Re: sky movies (excess profits)
Quote:
Originally Posted by Big-Ted View Post
There are two that are much bigger than Sky and who the studios will find hard to ignore.

Amazon who have bought Lovefilm could flex its muscles and go for more VOD content.

Google have $100 million put aside for VOD to set up a service on youtube that will launch in the UK first.


Either of these can really break Sky's hold on movie VOD, especially Amazon who provide the studios with masses of money from DVD sales etc.


It would be easy for Virgin to have aps for these on TiVo as well as people using them direct via computers etc.
Spot on, as you say Amazon and Google are making noises about going all out on subscription VOD this year starting in the UK, that will blow the market wide open. I don't think Sky will have the option of buying all the rights up for much longer, two bigger fish have jumped into the pond.

It's also worth pointing out that Sky aren't necessarily only under investigation for the effect of their exclusive movie rights on customers but on the movie studios themselves. Sky are using their power to pressure smaller movie studios into selling the rights at below market value thus cutting them out of the profit.
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