In an interview with John Byrne, BusinessWeek.com’s executive editor/editor-in-chief, Netflix CEO Reed Hastings conceded that his business faces similar troubles to what magazines are up against, as the use of broadband video is set to rise.
by Eric Savitz, Blogger and Columnist, Barron's, Tech Trader Daily
Piper Jaffray analyst Michael Olson today launched coverage of Coinstar with an Overweight rating and $38 price target. The parent of the Redbox video kiosk chain closed yesterday at $31.96.
Olson sees several trends working in the company’s favor.
A recent shift in merchandising strategy by the world’s largest retailer spells more trouble for DVD sales and the entertainment industry that depends on them for profits.
As part of a larger effort to clean up its aisles and appeal to higher-end shoppers, Wal-Mart Stores Inc. is doing away with display cases to promote the latest hot movie titles.
by Sarah McBride, Jessica E. Vascellaro and Sam Schechner, Reporters, The Wall Street Journal
Google Inc.’s YouTube is in discussions with major movie studios about allowing users to stream movies on a rental basis, according to people familiar with the company’s plans, marking one of the video giant’s first moves towards charging for content instead of making it available for free with advertising.
by Eric Savitz, Blogger and Columnist, Barron's, Tech Trader Daily
Blu-Ray drives have yet to make a dent in the PC business. In 2009, according to research firm iSuppli, just 3.6 percent of all PC systems will include Blu-Ray drives. In 2013, iSuppli predicts, the total will still be a rather modest 16.3 percent.
by Christopher Borrelli, Reporter, Chicago Tribune
The Netflix warehouse in Carol Stream does not appear on any map. Your odds of finding it are slightly better than your odds of stumbling upon a rare insect in a field of weeds. One could drive to Carol Stream, stop in a random office park, climb from one’s car and scream, “Reveal thyself, Netflix!” This is not advisable. But the temptation remains.
by Dan Gillmor, Director of the Knight Center for Digital Media Entrepreneurship at Arizona State University's Walter Cronkite School of Journalism and Mass Communication
Just when I was coming to terms with my ambivalence toward my Kindle e-book reader, Amazon and the publishers have gotten greedy.
I’ve had a love-hate relationship with the device since I bought my first one about 9 months ago.
As a frequent traveler and voracious reader, I’ve found the Kindle to be nearly ideal. I never have fewer than a dozen books in its memory, and they’re always things I want to read.
by Sarah McBride and Yukari Iwatani Kane, Reporters, The Wall Street Journal
Starting late last year, movie studios began peddling premium-priced DVDs that come with the right to download a digital copy of the movie onto a computer.
Now a federal judge will weigh in on whether the studios are the only ones who can legally make those copies, or if other companies can jump on the bandwagon.
by Matt Labash, Senior Writer, The Weekly Standard
Look at the outer shell–the parachute pants, the piano-key tie, the fake tuxedo T-shirt–and you might mistake me for a slave to fashion. Do not be deceived. Early adoption isn’t my thing. I much prefer late adoption, that moment when the trend-worshipping sheeple who have early-adopted drive the unsustainable way of life I so stubbornly cling to ever so close to the edge of obsolescence, that I’ve no choice but to follow.
by Jon Healey, Editorial Writer, Los Angeles Times
During a long career as a television and technology executive, Mitch Berman has tried to sell several different iterations of TV, often in their formative stages. Now, Berman is onto the next new thing, delivering TV through the Internet.
by Eric Savitz, Blogger and Columnist, Barron's, Tech Trader Daily
Netflix is suddenly one of Silicon Valley’s hottest companies–it just reported blowout Q4 earnings, gave a strong Q1 outlook, and its stock has doubled since November. And the company’s service is becoming ubiquitous in the home entertainment space. So why did Stifel Nicolaus analyst Scott Devitt downgrade the stock this morning from Hold to Sell, estimating its fair value to be well below its current level of $35.95?
The genesis of Netflix came in 1997 when I got this late fee, about $40, for “Apollo 13.” I remember the fee because I was embarrassed about it. That was back in the VHS days, and it got me thinking that there’s a big market out there. So I started to investigate the idea of how to create a movie-rental business by mail.
by Stephen H. Wildstrom, Writer and Editor, Technology & You, BusinessWeek
On Feb. 3, Sony Pictures Home Entertainment is going to make an honest man of me. Finally I will be able to buy a legal DVD of one of my favorite movies, Carol Reed’s 1959 “Our Man in Havana.” But there’s still no rhyme or reason to what films are available in any digital form.
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