Wal-Mart cancels movie download service
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Wal-Mart Stores Inc quietly  canceled its online video download service less than a year  after the site went live, a company spokeswoman said on  Thursday.
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Wal-Mart Stores Inc. on Tuesday introduced a test version of its new video download service, making it the first major retailer to offer such a service with the backing of all of Hollywood's big studios.
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The retailer decided to silently walk away from its planned video download service after HP ended its participation.
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In a win for Blu-ray and a loss for consumer choice, Netflix said Monday it will no longer be stocking new HD DVD movies for its subscribers to rent.
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Wal-Mart said it had ended the business because Hewlett-Packard, a chief technology partner, had decided to discontinue essential infrastructure for the service.
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Wal-Mart canceled an order for a best-selling book by Jon Stewart and the writers of "The Daily Show" after executives learned that it contained a photo of nine naked, aged bodies, each with the superimposed head of a Supreme Court justice.
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Wal-Mart Stores Inc.   on Tuesday introduced a test version of its new video  download service, making it the first major retailer to offer  such a service with the backing of all of Hollywood's big  studios.
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The giant retailer shut down its video-downloading site after Hewlett-Packard discontinued the technology that powered the service.
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Wal-Mart Stores Inc.  on Tuesday  introduced a test version of its new video download service,  making it the first major retailer to offer such a service with  the backing of all of Hollywood's big studios.
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Wal-Mart, the largest U.S. retailer, on Friday said it would phase out the sales of HD DVD offerings and exclusively offer high-definition Blu-ray hardware and DVDs by the middle of this year.The decision was based on U.S. customers&#39; preference for Blu-ray movies and hardware in purchases, Wal-Mart said in a statement.The retailer will phase out HD DVD offerings in Wal-Mart and Sam&#39;s Clubs retail stores, as well as online offerings, by June, the company said.Wal-Mart&#39;s rejection of HD DVD is a sign that Blu-ray is catching on with retailers. Best Buy earlier this week said it would recommend users to buy Blu-ray products, though it would continue offering HD DVD products. Movie rental chains Netflix and Blockbuster recently abandoned HD DVD in favor of Blu-ray DVD offerings.Six of eight major movie studios publish Blu-ray DVDs, including Walt Disney, Fox, Lionsgate, Metro-Goldwyn-Mayer Studios, Sony, and Warner Bros. Only two major movie studios, Paramount Home Entertainment and Universal Studios Home Entertainment, publish in the HD DVD format.The Blu-ray format has also seen a spate of victories in the gaming and consumer electronics industries with companies like Philips adopting the format over HD DVD.Blu-ray supporters include Sony, Panasonic, and Samsung, while Toshiba, Microsoft, and Intel are among the companies supporting HD DVD.
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Wal-Mart Stores Inc. is launching its long-awaited online movie download store, entering a market that has yet to catch on with consumers but is expected to grow rapidly.
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(InfoWorld) - Tapping a new service from Hewlett-Packard, Wal-Mart joined a growing field of providers of digital video download services with the launch of an online movie store on Tuesday. The offering is built on HP Video Merchant Services, a Web-shopping technology also launched Tuesday that allows businesses to set up an online video store. HP holds hundreds of petabytes of digital films and TV shows in its data centers and provides back-office sales and search applications, said Willem de Zoete, vice president and general manager of Digital Entertainment Services at HP. Customers like Wal-Mart use the service as part of their online retail offerings, allowing cinema fans to browse movies based on genre or search by entering the name of an actor, director, or film. Customers can then download the movies to play on their PCs or portable video players or order a packaged disc to arrive in the mail, choosing a DVD, HD-DVD, or Blu-ray format. A first-time user must install a program on the PC before starting the 30- to 45-minute process of downloading a 1.5GB movie over a typical household broadband connection, although most can start watching within five to 10 minutes, said Kevin Swint, Wal-Mart's divisional merchandise manager for digital media. Once the movie is downloaded, each user has the right to transfer it to three separate portable media players using Microsoft's Windows Media Player and to watch it an unlimited number of times. Customers who own media extender boxes can also play the digital file on TV screens, Swint said. The service will compete against Apple's iTunes store, which is limited to movies from Disney and Paramount in addition to TV and other programs. Other video download services are available from Amazon.com, AOL, Movielink, and CinemaNow. Microsoft also offers a movie and TV download service to Xbox users. Wal-Mart claims it has a market advantage over those sites since it offers movies from most of the major Hollywood studios and television networks. Compared to conventional movie rental stores, the digital movie rental industry is still struggling to build the size of its catalogs. Wal-Mart now sells about 3,000 of the movies and TV shows stored in HP's digital vaults and expects that number to rise quickly as content providers convert their own libraries to digital versions. "Today, the majority of movies are stored on tapes in buildings. That is a choke point at this moment in time. Part of my focus is to work with Hollywood studios to make movies available in digital file formats," de Zoete said. Another bar to building larger catalogs is that many obscure movie titles are never brought to the rental market if studios think demand is too small to sell the vast quantity of discs created in bulk reproduction batches, Swint said. That also stops retailers from taking advantage of the "long tail," the marketing theory that shops can make more money selling small quantities of each niche item than selling a large amount of trendy, short-lived items. To solve it, HP plans to offer "manufacturing on demand" in the future, opening up a huge catalog of old titles by producing a single disc to meet each online order. HP has started building a factory to do that work, and will add it to their Video Merchant Services package. In the meantime, Wal-Mart is selling new releases, which become available the same day as the DVD release, for $12.88 to $19.88. Older movies cost $7.50, and TV programs cost $1.96 per episode. DVD buyers will also have the option of paying an additional fee to download the digital version for playback on PCs and portable devices.
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In a shocking response to news today that Warner Bros. would make its high-definition movie releases only available on Blu-ray, the HD DVD Promotional Group has canceled its Sunday press conference at CES, and its meetings with the press.
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Wal-Mart lowers the bar in the online movie rental war by slashing prices on its basic rental service.
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Toshiba will discontinue its HD DVD products, it said Tuesday, handing victory to rival high definition disc format Blu-ray Disc.The company will no longer develop, manufacture, and market HD DVD players and recorders.It will reduce shipments of HD DVD players and recorders to retail markets and aims to cease the businesses altogether by the end of March.But the Japanese electronics giant pledged to provide full product support and after-sales service for owners of Toshiba HD DVD products.Recent changes in the market prompted the decision, Toshiba said. Early this year,&#160;Warner Bros. said it would stop issuing movies on HD DVD&#160;in the coming months and rely exclusively on Blu-ray Disc. The Hollywood studio was one of three major studios remaining in the HD DVD camp, and its defection created widespread belief that the battle between HD DVD and Blu-ray Disc was now over.More recently, major U.S. retail chain&#160;Wal-Mart announced it would phase out the sale of HD DVD products, moving to exclusivity with Blu-ray Disc. Electronics retailer Best Buy also said it would back Blu-ray Disc, but it did not say it would stop offering HD DVD.Warner made its decision based on consumer confusion and indifference to high definition movies, an indifference that cost Hollywood in lost revenue, it said. Wal-Mart said U.S. customers preferred Blu-ray Disc movies and hardware. Blu-ray Disc is the high definition disc format championed by Sony.&quot;This once again shows why incompatible and mutually exclusive formats should be avoided at all cost by the industry,&quot; said Carl Gressum, a senior analyst at Ovum. &quot;It reduces profitability and delays customer adoption.&quot;&quot;The big question is, however, the impacts on Toshiba as an electronics company,&quot; he added. &quot;It has after all bet its disc media business on HD DVD, as well as gone for HD DVD integration into some of its laptop PCs. The channel has inventory to clear, and demands from owners of HD DVD players.&quot;Toshiba said its decision came after careful analysis of the long-term impact of continuing the format war, and said a swift decision was called for to help the high definition market develop.The company also pledged to remain a player in the high definition market. Developing HD DVD created many assets for Toshiba and its partners, which include Microsoft, Intel, HP, and Universal Studios, the company said. Toshiba plans to work with these companies to seek future business opportunities.&#160;&#160;
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Wal-Mart Stores Inc. is edging into selling video downloads by offering buyers of the "Superman Returns" DVD a chance to buy downloads of the same movie, beginning Wednesday.
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Following in the footsteps of Netflix and Best Buy publicly siding with Blu-ray in the next-generation DVD format war, Wal-Mart announced Friday it will no longer be stocking HD DVD players or movies by June.