Apple, Business, DRM, E-Commerce
UserpicHollywood and the Internet
Posted by Sasha

DVD sales have fallen from $12 billion in 2004 to $8.7 billion in 2009. It appears that consumers have embraced the cut-throat rates of Redbox, which poses a threat not only to Hollywood, but also to another rental darling, Netflix. Hence the inspiration and hope of online sales. "This week the Digital Entertainment Content Ecosystem (DECE), a consortium that includes five of the six big studios as well as technology firms and retailers, agreed on a format for digital films and named a single outfit to keep track of purchases," according to the Economist from January 9th, 2010. One small problem, though. DECE is not keeping Apple in the loop and trying to carve out their own way of distributing media. Needless to say, anybody who is slightly familiar with Apple, iPod or iPhone and particularly its growth with the younger segment of population should notice some very serious flaws on the behalf of big studios. It does seems that history repeats itself if one would think back to the not so recent past with the advent of copy protected CDs and various other formats to keep the music out of people's iPods.



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