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<pubDate>Wed, 3 Apr 2013 10:00:31 PDT</pubDate>
<title>Author Claims That If Apple And Microsoft Started Today They'd Fail Without Stronger Patent Protection</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130401/01463022521/author-claims-that-if-apple-microsoft-started-today-theyd-fail-without-stronger-patent-protection.shtml</link>
<guid>http://www.techdirt.com/articles/20130401/01463022521/author-claims-that-if-apple-microsoft-started-today-theyd-fail-without-stronger-patent-protection.shtml</guid>
<description><![CDATA[ The NY Times has a slightly odd op-ed piece, written by Eamonn Fingleton, author of a book about how China is going to dominate the US economically.  That may absolutely be true, but this oped tries to bend over backwards to prove that China will be more innovative than the US... and <a href="http://www.nytimes.com/2013/03/31/sunday-review/america-the-innovative.html?pagewanted=all" target="_blank">uses patents as a proxy</a>:
<blockquote><i>
Meanwhile the evidence of international patent filings is looking increasingly ominous. According to data compiled by the World Intellectual Property Organization, the world&#8217;s single most prolific filer of international patents as of 2011 was ZTE, a Chinese telecommunications corporation. Its filings were up an astounding fivefold from 2009. Another Chinese corporation, Huawei, moved up to third in the 2011 league table. The only United States corporation to make the Top 10 was Qualcomm. 
</i></blockquote>
First of all, the number of patents filed is meaningless.  You can file a ton of patents and it means absolutely nothing concerning innovation.  First off, applications are different from granted patents.  Second, and more importantly, patents show <a href="http://www.techdirt.com/articles/20070108/162044.shtml">no relation to innovation</a>.  Third, when it comes to Chinese patents, the Chinese realized long ago that patents are merely a tool for protectionist tariff-like policies that can be enacted with less scrutiny or trade war issues and have <a href="http://www.techdirt.com/articles/20110102/15230512491/chinas-patent-strategy-isnt-about-innovation-its-economic-weapon-against-foreign-companies.shtml">acted accordingly</a>.  Basically, nothing in the paragraph above actually supports Fingleton's argument.
<br /><br />
But, then it gets much, much worse.  He claims that the US somehow has a weaker patent system today than in the past (it doesn't) and then quotes another author claiming that Apple and Microsoft relied on strong patents to survive when they started out:
<blockquote><i>
 All this is the more troubling because United States patent law has now been drastically weakened. Congress has made it much harder for small American inventors to protect their intellectual property from infringement and theft.
<br /><br />
Pat Choate, the author of &#8220;Hot Property,&#8221; a book on the theft of intellectual property, maintains that if the new patent regimen had existed when corporations like Apple and Microsoft first got going, they might never have made it out of the little leagues. Their patents would have been quickly infringed by predatory larger corporations, and rather than engage in unequal litigation battles against deep-pocketed and ruthless opponents, they could have felt forced to share their technology on concessionary terms.
</i></blockquote>
Almost nothing in what's said above has any resemblance in the truth.  The patent system hasn't been "drastically weakened" at all.  Congress made some slight modifications to the patent system, which do nothing to make it harder for "small inventors to protect their intellectual property from infringement and theft."
<br /><br />
As for the claims made by Pat Choate, I'm just left shaking my head.  First of all, both of Apple and Microsoft's key success stories came from <i>copying the works of other, larger companies</i> when those companies failed to recognize what they had on their hands, and more or less <i>let</i> the upstarts take those ideas and run with them.  Also, in both cases, other, larger companies did come in and try to copy them, and weren't that successful.  Also, more importantly, neither company aggressively relied on patents to protect its works.  Bill Gates famousely said the following about patents:
<blockquote><i>
If people had understood how patents would be granted when most of today's ideas were invented, and had taken out patents, the industry would be at a complete standstill today. I feel certain that some large company will patent some obvious thing related to interface, object orientation, algorithm, application extension or other crucial technique. If we assume this company has no need of any of our patents then the have a 17-year right to take as much of our profits as they want.
</i></blockquote>
Not exactly an example of Microsoft using patents to protect itself, but rather quite the opposite.  Apple, in the meantime, relied heavily on ideas from Xerox and SRI in making its early computers -- some of which it licensed, and some of which it did not.  However, much of the work was not heavily patented and while Apple received some early patents, it did little to enforce those patents to stop copycats (its most famous lawsuit, against Microsoft for copying the Windows interface, focused on copyright... and it failed, anyway).
<br /><br />
You could easily argue that if Microsoft and Apple were started today they would absolutely be harmed by today's patent system, but not in the way that Choate or Fingleton suggest.  Rather, they would be sued by trolls over and over and over again, meaning they'd be wasting money fighting lawsuits, and possibly wouldn't be able to survive that.  What they needed to survive was an era in which patent enforcement was <b>not</b> common and especially one where patents were considered inapplicable to software.
<br /><br />
Microsoft and Apple became massive success stories in part because of the <i>weakness</i> of the patent system in their era, because patents don't help innovation, they put a tollbooth on it.  This article certainly puts a huge question mark over the quality of both Choate and Fingleton's work, as it shows little actual knowledge of the subject they're discussing.<br /><br /><a href="http://www.techdirt.com/articles/20130401/01463022521/author-claims-that-if-apple-microsoft-started-today-theyd-fail-without-stronger-patent-protection.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130401/01463022521/author-claims-that-if-apple-microsoft-started-today-theyd-fail-without-stronger-patent-protection.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130401/01463022521/author-claims-that-if-apple-microsoft-started-today-theyd-fail-without-stronger-patent-protection.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>wtf</slash:department>
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<pubDate>Thu, 7 Mar 2013 05:38:42 PST</pubDate>
<title>HBO: The Key To Combating Piracy Is To Make Game Of Thrones More Available... Except Here</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130306/14350322221/hbo-key-to-combating-piracy-is-to-make-game-thrones-more-available-except-here.shtml</link>
<guid>http://www.techdirt.com/articles/20130306/14350322221/hbo-key-to-combating-piracy-is-to-make-game-thrones-more-available-except-here.shtml</guid>
<description><![CDATA[ We've had a number of stories concerning the hit TV show <a href="http://www.techdirt.com/blog/?tag=game+of+thrones"><i>Game of Thrones</i></a> and the issue of people downloading unauthorized copies of the show.  Due to a variety of reasons mostly centered around HBO's cable relationships, HBO has not made the show available online, for the most part, <i>unless</i> you already have a cable TV subscription that includes HBO.  The <a href="http://www.techdirt.com/blog/innovation/articles/20120912/03400020357/math-says-hbo-shouldnt-go-direct-they-left-innovation-out-equation.shtml">math</a> here is a bit silly (due to the ridiculous nature of how pay TV works these days), but HBO more or less has done the math that says it's better off losing out on people who are willing to pay and who will inevitably infringe instead, by not pissing off the pay TV folks who pay them a much bigger lump sum.  I think this is short sighted, because while the math works out today, the trend is in the wrong direction, and if HBO doesn't get in front of that trend, by the time the math "catches up," they could be in a lot of trouble.
<br /><br />
Indeed, HBO seems irked that <i>Game of Thrones</i> is <a href="http://www.techdirt.com/articles/20120510/10505618869/game-thrones-track-to-be-most-pirated-show-2012-pirates-still-asking-hbo-legitimate-options.shtml">the most "pirated"</a> show on TV.  And while it has tested out a <a href="http://www.techdirt.com/articles/20120902/20364620255/hbo-hooks-up-nordic-cord-cutters-offers-standalone-streaming-service.shtml">standalone</a> version of its HBOGo online offering, the reviews have <a href="http://www.techdirt.com/articles/20130116/11385121704/hbos-one-attempt-standalone-digital-service-sucks.shtml">not been great</a>.
<br /><br />
However, it appears that HBO is <i>trying</i> to do something about all of this, <a href="http://www.forbes.com/sites/carolpinchefsky/2013/03/04/how-hbo-is-protecting-game-of-thrones-from-online-piracy-in-2013/" target="_blank">admitting that they need to and intend to make the show more widely available online</a>:
<blockquote><i>
According to Jeff Cusson, HBO&#8217;s senior vice president of corporate affairs, &#8220;We think the key to combating piracy is to make content like Game of Thrones available worldwide within the smallest window possible&#8230;to 176 territories within the week of the U.S. premiere.&#8221;
<br /><br />
Cusson said, &#8220;HBO is also rolling out HBO Go internationally,&#8221; which means many viewers in Europe, Latin America, and in other locations like Hong Kong can watch Game of Thrones at their leisure on their iPad/iPhone, Roku, Xbox 360s, their Android devices, and selected Samsung Smart HDTVs.
</i></blockquote>
First off, it's great that they recognize that the key is making the show more widely available.  That's a step up from blaming fans who want to see the show but can't.  Of course, it's still ridiculous that HBO Go can't work on <a href="http://www.techdirt.com/articles/20120828/18212720200/hbo-go-goes-everywhere-except-your-tv-set.shtml">other TVs</a> other than "selected Samsung" TVs.  But... none of this seems to apply to the US.
<br /><br />
When pressed on doing more in the US, Cusson begins answering by not answering.
<blockquote><i>
When asked about the prevalence of piracy in America, Cusson said, &#8220;We utilized various tools to protect our copyright in 2012.&#8221; I countered that they didn&#8217;t work, because it was still the most downloaded show that year. Cusson responded, &#8220;We think the success of our business shows that our approach is relatively successful.&#8221;
</i></blockquote>
Of course, at one level, he's absolutely right.  There's no reason to "stop" piracy if it's not actually harming the show (and, in fact, may very well be <a href="http://www.techdirt.com/articles/20130227/08153622137/game-thrones-director-im-100-opposed-to-piracy-i-just-said-helps-my-show-survive.shtml">helping</a> it).  But, at some point, HBO is going to need to realize that it has to make the jump to providing authorized access to Americans who don't have a traditional cable connection.  And the longer they wait, the harder it becomes to get people to invest in HBO, because they'll get used to unauthorized alternatives.<br /><br /><a href="http://www.techdirt.com/articles/20130306/14350322221/hbo-key-to-combating-piracy-is-to-make-game-thrones-more-available-except-here.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130306/14350322221/hbo-key-to-combating-piracy-is-to-make-game-thrones-more-available-except-here.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130306/14350322221/hbo-key-to-combating-piracy-is-to-make-game-thrones-more-available-except-here.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>ah,-right</slash:department>
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<pubDate>Mon, 3 Dec 2012 07:47:26 PST</pubDate>
<title>HBO Has A Distribution Problem, But Just 'Going Without' Does Nothing To Push Them To Solve It</title>
<dc:creator>Tim Cushing</dc:creator>
<link>http://www.techdirt.com/articles/20121201/18030921201/hbo-has-distribution-problem-just-going-without-does-nothing-to-push-them-to-solve-it.shtml</link>
<guid>http://www.techdirt.com/articles/20121201/18030921201/hbo-has-distribution-problem-just-going-without-does-nothing-to-push-them-to-solve-it.shtml</guid>
<description><![CDATA[ Many, many posts and discussions have taken place here at Techdirt about content providers and their <a href="http://www.techdirt.com/articles/20121025/20091920851/warner-brothers-redbox-sign-new-deal-rental-blackout-window-cut-ridiculous-56-days-to-equally-ridiculous-28-days.shtml" target="_blank">love of windowed releases</a>. A point frequently made is that there would likely be a lot less piracy and a lot more purchasing if these 30/60/90 day rental/PPV/premium cable windows were eliminated on new releases. Another frequent target are premium cable providers and their original offerings, which suffer from long delays between original airings and their appearance on retail shelves.<br />
<br />
More discussion is on the way!  It started with a piece in the Guardian by Frederic Filloux arguing, as many have, that <a href="http://www.guardian.co.uk/technology/2012/nov/26/films-tvs-global-piracy" target="_blank">release windows lead to more piracy</a> when it comes to cable TV programs.  Megan McArdle responded to that article by arguing that such an argument is totally bogus, and <a href="http://www.thedailybeast.com/articles/2012/11/28/why-are-cable-companies-forcing-people-to-turn-to-piracy.html" target="_blank">the cable execs are brilliant business folks</a> that many of us only dream of being one day.  Then enter Marco Arment, agreeing with McArdle, saying that it's <a href="http://www.marco.org/2012/11/29/forcing-people-into-piracy" target="_blank">wrong to argue that cable companies are "forcing" people into piracy</a>:
<blockquote>
<i>Realistically, nobody&rsquo;s going to stop you from pirating it, but you can&rsquo;t argue that you&rsquo;re justified in pirating it. Admit it: you&rsquo;re ripping it off, it&rsquo;s morally questionable at best (and illegal), but you don&rsquo;t care. You&rsquo;re pirating a TV show because you don&rsquo;t want to pay for it or wait for it to become available in the ways you want. You&rsquo;re not making any kind of statement or participating in a movement &mdash; you&rsquo;re just being cheap and/or impatient. If you don&rsquo;t have the fortitude to cope with that, then don&rsquo;t pirate.</i><br />
<br />
<i>If you want to hit cable companies, HBO, etc. where it hurts &mdash; if you truly want to send a message that there&rsquo;s unmet demand they should be addressing &mdash; don&rsquo;t watch their shows. At all. Don&rsquo;t even pirate them. Don&rsquo;t blog or tweet or face (?) about how good they are. Just don&rsquo;t watch them.</i><br />
<br />
<i>That&rsquo;s a real statement. And if enough people do it, that movement will effect change.</i></blockquote>
There&#39;s a questionable <a href="http://www.techdirt.com/articles/20120928/01061220536/why-its-tempting-troubling-to-use-copyright-as-stand-moral-rights.shtml" target="_blank">moral argument</a> in there, but the troublesome part is in the second paragraph. Not watching a show doesn&#39;t send the message that there&#39;s unmet demand. It sends the message there&#39;s very little or no demand, which is exactly the wrong message to send if you&#39;re trying to motivate HBO, etc. to either speed up its delivery system or offer a la carte service.<br />
<br />
<a href="http://www.marco.org/2012/11/29/the-wrong-movement" target="_blank">Arment expands on this thought process on a followup post</a>, which deals mainly with the "statement" sent by piracy:
<blockquote>
<i>Actually, piracy does make a statement &mdash; it&rsquo;s just the wrong statement. If you truly want to pressure content providers to adapt new distribution channels, and you&rsquo;re not just trying to justify getting everything for free, piracy is hurting your cause.</i><br />
<br />
<i>Most geeks try to justify piracy because the content isn&rsquo;t available on our terms. We can&rsquo;t get it in our country, we can&rsquo;t get it as quickly as we want, it costs more than we want to pay, we can&rsquo;t get it on the device we want, or we can&rsquo;t get it in the format we want. Publishers have a distribution problem.</i><br />
<br />
<i>But when publishers see widespread piracy of their content, they don&rsquo;t see the distribution problem. They think they have a piracy problem.</i></blockquote>
Ament is right. HBO, et al have a distribution problem. But simply refusing to watch or purchase the content sends <i>two</i>&nbsp;messages, neither of which will result in an overhaul of the distribution system. (The following uses HBO as an example, but it could any major motion picture studio, premium cable service or other distributor. But, <a href="http://www.techdirt.com/articles/20120510/10505618869/game-thrones-track-to-be-most-pirated-show-2012-pirates-still-asking-hbo-legitimate-options.shtml" target="_blank">HBO is the most pirated</a>.)<br />
<br />
1. If viewership falls or purchases drop off, HBO may decide there&#39;s no viable market for these programs and simply stop making them. This protects HBO&#39;s bottom line, but it does nothing for its future endeavors as it&#39;s drawing the wrong conclusions from the data.<br />
<br />
2. HBO may simply view the dropoff to be the result of piracy rather than "viewer opt-out" and resort to the actions mentioned by Arment, including pushes for more anti-piracy legislation as well as limiting its exposure through increasingly onerous DRM or windowing.<br />
<br />
Because piracy will <i>never</i> be nonexistent, it&#39;s impossible to create a control group that includes <i>only</i>&nbsp;potential purchasers of HBO&#39;s content. The only course of action left is for HBO is to experiment with faster turnaround and price reductions and see if these "forced pirates" are willing to put their money where their torrent is. To date, HBO has been unwilling to do this, at least in the US. Other premium cable companies have <a href="http://www.techdirt.com/articles/20120924/18074520503/nz-gets-new-homeland-episodes-less-than-4-hours-after-us.shtml" target="_blank">drastically reduced the turnaround</a> of their shows and HBO itself offers a&nbsp;<a href="http://www.techdirt.com/articles/20120902/20364620255/hbo-hooks-up-nordic-cord-cutters-offers-standalone-streaming-service.shtml" target="_blank">standalone streaming service</a>&nbsp;in northern Europe, both in an effort to combat piracy. As its stands now, HBO&#39;s contracts with cable providers are far too lucrative to consider changing up its release strategy by going a la carte or trimming down the wait between debut and retail, at least not on a larger scale.<br />
<br />
The problem with price/window experimentation is that altering these two factors in order to convert more pirates into viewers and purchasers will make cable companies extremely unhappy. HBO may find that it does very well with faster/cheaper releases but it won&#39;t ease its relationship with its most lucrative customers (at this point): cable companies. They already worry about cord-cutting and it&#39;s quite possible that current contracts prohibit HBO from undercutting its core market, which isn&#39;t viewers, but cable providers.<br />
<br />
What piracy <i>does</i>&nbsp;do, regardless of "morality" or "making a statement" or anything else along those lines, is indicate demand. The content providers know people are watching their offerings, many times without paying. What they have to do is make the determination as to whether that audience is worth pursuing. At this point, many seem to believe it isn&#39;t. Very few companies have made any moves to drastically alter the artificial limits of the supply chain in order to capture some of the "un-monetized" market.<br />
<br />
As Arment points out, the "half-empty" view of the content glass usually results in legislation and litigation rather than any serious attempts to solve the distribution problem. Pirating because you&#39;re "forced" into it simply feeds into these companies&#39; dim view of the online market. But, unless these companies begin experimenting with the distribution process, there&#39;s no way to gauge the conversion rate. Doing things the way they&#39;ve always been done will keep the status quo -- and people will continue to exercise the option to get the content on their own schedule.<br />
<br />
So, Arment&#39;s right: pirating because of distribution limitations will continue to send the "piracy problem" message to HBO, Showtime, etc. While other companies view pirates as <a href="http://www.techdirt.com/articles/20090219/1124433835.shtml" target="_blank">underserved customers</a>, the movie and TV industries seem stuck viewing piracy as only a problem, rather than <a href="http://www.techdirt.com/articles/20120404/21120918379/just-how-much-do-shows-like-game-thrones-owe-to-piracy.shtml" target="_blank">an opportunity</a>. Trying to hit them in the wallet by <a href="http://www.techdirt.com/articles/20120815/18483620066/stupidity-just-go-without-argument.shtml" target="_blank">refusing to watch or purchase</a> will send the same message (because piracy will continue to be a "thing") -- piracy is hurting sales/viewership -- or worse, that the audience no longer exists.<br />
<br />
This screwed up situation can&#39;t be solved by asking viewers to sit on their hands and wait patiently for a better distribution system, no more than it can be solved by having every ridiculous delay greeted by visits to The Pirate Bay. But only one of these actions indicates unmet demand.&nbsp;<br /><br /><a href="http://www.techdirt.com/articles/20121201/18030921201/hbo-has-distribution-problem-just-going-without-does-nothing-to-push-them-to-solve-it.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20121201/18030921201/hbo-has-distribution-problem-just-going-without-does-nothing-to-push-them-to-solve-it.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20121201/18030921201/hbo-has-distribution-problem-just-going-without-does-nothing-to-push-them-to-solve-it.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>at-this-point,-the-content-providers-are-being-deliberately-obtuse</slash:department>
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<pubDate>Fri, 26 Oct 2012 14:39:31 PDT</pubDate>
<title>Warner Brothers And Redbox Sign New Deal: Rental Blackout Window Cut From Ridiculous 56 Days To Equally Ridiculous 28 Days</title>
<dc:creator>Tim Cushing</dc:creator>
<link>http://www.techdirt.com/articles/20121025/20091920851/warner-brothers-redbox-sign-new-deal-rental-blackout-window-cut-ridiculous-56-days-to-equally-ridiculous-28-days.shtml</link>
<guid>http://www.techdirt.com/articles/20121025/20091920851/warner-brothers-redbox-sign-new-deal-rental-blackout-window-cut-ridiculous-56-days-to-equally-ridiculous-28-days.shtml</guid>
<description><![CDATA[ Redbox has ended its "standoff" with Warner Brothers and, despite its earlier moves, has come out on the losing end of the deal. If you'll recall, earlier in the year Redbox decided to let its contract with Warner Brothers expire after the studio decided to withhold its new releases for <a href="http://www.techdirt.com/articles/20120107/01435817321/wb-hbo-continue-to-suck-economics-new-policies-encourage-piracy.shtml" target="_blank"><i>56 days</i></a> -- up from the already ridiculous 28 days. Redbox looked at the obscene size of this window and said, thanks but no thanks, we'll just purchase <a href="http://www.techdirt.com/articles/20120201/13421717628/redbox-wont-cave-to-warner-bros-demands-will-buy-wb-dvds-other-sources-rent-them.shtml" target="_blank">your movies elsewhere</a>.<br />
<br />
This couldn't have made WB too happy, what with Redbox exercising the right of First Sale to bypass the studio's window and let itself in the front door. As for those looking to rent new releases while they were still <i>new</i>, Warner Brothers basically told them to shove off, and go look elsewhere for their entertainment. Having cut off a source of income and given more than a few potential customers a reason to check out alternate sources, the studio finally decided to renegotiate.<br />
<br />
<a href="http://www.deadline.com/2012/10/redbox-will-promote-ultraviolet-in-new-disc-deal-with-warner-bros/" target="_blank">Here's how it all works out for Redbox</a> (and by extension, the customers):
<blockquote>
<i>For titles with street dates between January 1, 2013 and December 31, 2014, the studio will grant Redbox the rights to offer Warner Bros. theatrical titles on Blu-ray Disc and DVD 28 days after their retail release dates</i>.</blockquote>
Apparently, a stupid window is slightly less stupid when it's half the size it previously was. (But more stupidly, it's <i>exactly</i> where the window sat previously, before Warner decided not enough people were buying during the rental shutout). What Warner refuses to understand is that people want to rent movies when they <i>logically</i> should be available (i.e., day and date with the DVD release), rather than at some arbitrary point in the future. Warner is still willing to trade rentals for sales, even if it means giving up some rentals for file sharing. But the stupidity of the deal gets worse:
<blockquote>
<i>In addition, Redbox announced plans to join the Digital Entertainment Content Ecosystem (DECE) and has agreed to promote UltraViolet through a program of mutually agreed-upon promotions and marketing tactics designed to help retail customers discover UltraViolet.</i></blockquote>
On top of being forced to humor Warner's ignorant windowing, Redbox is now being made to play nice with the studio's <a href="http://www.techdirt.com/articles/20111021/12064316454/hollywoods-kinder-gentler-drm-ultraviolet-getting-slammed-reviews.shtml" target="_blank">too-little-too-late</a> digital "offering." It's a bad deal all around, but the press release ignores all reality to paint a gloriously rose-tinted future for all involved.
<blockquote>
<i>The arrangement will improve the economics for both Warner Bros. and Redbox while ensuring consistent availability of Warner Bros. titles for the consumer.</i></blockquote>
Really? Judging from past experience, it seems more likely that Warner will continue to cripple the rental service by adding ridiculous agreements and stipulations while slowly killing off the everything anyone liked about it. There's nothing about this equation that "improves economics." Warner opens itself up to more piracy by setting up arbitrary windows and consumers looking for the latest Warner releases still have 28 days to kill before they become "consistently available."<br />
<br />
Here's some more rah-rah, go team doublespeak from Warner Bros.
<blockquote>
<i>"We are pleased to once again have a direct relationship with Redbox, providing their consumers access to our movies," said Ron Sanders, president, Warner Home Video. "In addition, we look forward to working together on other key initiatives such as UltraViolet and creating promotional opportunities to offer consumers great content when and where they want it."</i></blockquote>
Translation: We are pleased that we have prevented Redbox from simply purchasing our movies from a third party and renting them out during our arbitrary blackout periods. In addition, we look forward to pushing our clunky digital services and creating restrictive "opportunities" to offer consumers great content when and where we say they can have it.<br /><br /><a href="http://www.techdirt.com/articles/20121025/20091920851/warner-brothers-redbox-sign-new-deal-rental-blackout-window-cut-ridiculous-56-days-to-equally-ridiculous-28-days.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20121025/20091920851/warner-brothers-redbox-sign-new-deal-rental-blackout-window-cut-ridiculous-56-days-to-equally-ridiculous-28-days.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20121025/20091920851/warner-brothers-redbox-sign-new-deal-rental-blackout-window-cut-ridiculous-56-days-to-equally-ridiculous-28-days.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>'half-as-stupid'-isn't-the-same-as-'twice-as-smart'</slash:department>
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<pubDate>Fri, 19 Oct 2012 11:37:00 PDT</pubDate>
<title>Windows 8's Arbitrary App Certification Rules Could Block Skyrim And Other Huge Games</title>
<dc:creator>Zachary Knight</dc:creator>
<link>http://www.techdirt.com/articles/20121018/08270420750/windows-8s-arbitrary-app-certification-rules-could-block-skyrim-other-huge-games.shtml</link>
<guid>http://www.techdirt.com/articles/20121018/08270420750/windows-8s-arbitrary-app-certification-rules-could-block-skyrim-other-huge-games.shtml</guid>
<description><![CDATA[ We have already mentioned that some game developers were having a hard time <a href="http://www.techdirt.com/articles/20120801/16375119910/game-developers-concerned-about-potentially-closed-windows-8.shtml">accepting Windows 8</a> as a viable gaming platform. The primary concern is with Microsoft's insistence on walling off its Metro UI and accompanying Windows Store. When a distribution system is walled off, new restrictions come along that limit the type of content that can be made available. As application and game developers learn more about the restrictions Microsoft plans to implement, their concern is growing.<br />
<br />
Take for instance the recent discovery that Microsoft plans to limit the games made available through its Windows Store and Metro UI. In a broader piece on what a closed Windows 8 platform means for developers, Casey Muratori <a href="http://gamasutra.com/view/feature/179420/the_next_twenty_years_what_.php" target="_blank">highlights one of the strict and ultimately contradictory restrictions on game content</a>. Using the 2011 Game of the Year, Skyrim, as a hypothetical Windows 8 candidate, Casey asks the question, would it be allowed on the Windows store and Metro UI.
<blockquote style="margin-left: 40px; ">
<i>Because no software can ship on this future platform without it going through the Windows Store, the team that built Skyrim would have to send it to Microsoft for certification. Then Microsoft would tell them if they could ship it.</i><br />
<br />
<i>Do you know what Microsoft's answer would be?</i><br />
<br />
<i>I do. It would be "no".</i><br />
<br />
<i>This is not speculative; it is certain. Skyrim is a game for adults. It has a <a href="http://www.pegi.info/">PEGI</a> rating of 18. If you read the <a href="http://msdn.microsoft.com/en-us/library/windows/apps/hh694083.aspx">Windows 8 app certification requirements</a> you will find, in section 5.1:</i><br />
<br />
<i>"Your app must not contain adult content, and metadata must be appropriate for everyone. Apps with a rating over PEGI 16, ESRB MATURE, or that contain content that would warrant such a rating, are not allowed."</i><br />
<br />
<i>And that&#39;s the end of it. No Skyrim for the Windows Store, unless of course the developers go back and remove all the PEGI 18-rated content.</i></blockquote>
Unfortunately, Casey does not highlight the contradictory nature of this arbitrary rule -- what if a game has both an M rating by the ESRB and an 18 rating by PEGI, as Skyrim does. What will Microsoft do? Will it block the game entirely, region-restrict it to only ESRB regions or make an exception to its own rule and allow it for all the world? These are the kinds of questions that frustrate developers. Apple has had its fair share of arbitrary enforcement of content restrictions and you would think that Microsoft would at least attempt to learn from that example.<br />
<br />
To further highlight the problem with this restriction, Casey lists four games that are in competition to be 2012&#39;s Game of the Year. Of those four games, none would be allowed on Windows 8 for the same reason, they got an ESRB M rating and a PEGI 18 rating. Microsoft has set itself up to exclude some of the best selling games of the future. Hardly a way to attract the support of developers.<br /><br /><a href="http://www.techdirt.com/articles/20121018/08270420750/windows-8s-arbitrary-app-certification-rules-could-block-skyrim-other-huge-games.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20121018/08270420750/windows-8s-arbitrary-app-certification-rules-could-block-skyrim-other-huge-games.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20121018/08270420750/windows-8s-arbitrary-app-certification-rules-could-block-skyrim-other-huge-games.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>arbitrary-guidelines-are-the-best</slash:department>
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<pubDate>Wed, 26 Sep 2012 00:07:04 PDT</pubDate>
<title>NZ Gets New 'Homeland' Episodes Less Than 4 Hours After US</title>
<dc:creator>Tim Cushing</dc:creator>
<link>http://www.techdirt.com/articles/20120924/18074520503/nz-gets-new-homeland-episodes-less-than-4-hours-after-us.shtml</link>
<guid>http://www.techdirt.com/articles/20120924/18074520503/nz-gets-new-homeland-episodes-less-than-4-hours-after-us.shtml</guid>
<description><![CDATA[ Despite <a href="http://www.techdirt.com/articles/20051202/0233234_F.shtml" target="_blank">windowing</a> and <a href="http://www.techdirt.com/articles/20120322/04380018198/fox-tv-finally-realizes-internet-is-global-launches-show-around-globe-simultaneously.shtml" target="_blank">regional restrictions</a> being the international sign for "PIRATE ME!" many content providers continue to throw artificial locks on their offerings. Their potential viewers soon discover that "2 weeks out" in TV network time means "3 hours or less" in TorrentTime. If the content providers truly believe that Piracy = Lost Sales, why aren't they doing more to eliminate the gap between the content's debut and its worldwide spread?<br />
<br />
It's not as if it's impossible. Another case in point: <a href="http://www.nbr.co.nz/opinion/tv3-shows-way-beat-online-piracy" target="_blank">New Zealand's TV3 is chopping away at the excessive (and arbitrary) delay</a> between Showtime's American debut of Homeland episodes and their availability locally.
<blockquote>
<i>TV3 is going to screen the new series of Homeland just four hours after episodes play in the US &ndash; with episodes posted to TV3.co.nz's on demand service at midnight on the day of broadcast.</i></blockquote>
The timing is actually even tighter than that. Here's the breakdown directly from TV3:
<blockquote>
<i>Homeland episodes will screen 3 hours 25 minutes after the Pacific Time debuts in the US. That US-NZ gap will be consistent until there's a daylight savings change. The broadcast time in each country won't change.</i><br />
<br />
<i>With ondemand, we can have each ep available from midnight the same night</i>.</blockquote>
<a href="http://www.nbr.co.nz/opinion/tv3-shows-way-beat-online-piracy#comment-585199" target="_blank">As someone in the comments points out</a>, that's roughly the same amount of time it takes for new episodes to show up at, um, "unlicensed" distributors:
<blockquote>
<i>4 hours would put it on schedule with me getting it off torrents, so quite viable to watch</i>.</blockquote>
Beating free at its own game often simply means eliminating legacy remnants like exaggerated delays and other restrictions. Even though this move will likely trim down the number of fans looking elsewhere for new episodes, MediaWorks (TV3's parent company) refreshingly claims converting pirates is not the "primary motivation" for this move:
<blockquote>
<i>"TV viewing is increasingly a community event, and online communities are global rather than local," spokeswoman Rachel Lorimer told NBR.</i><br />
<br />
<i>"By screening international shows as close to their global premieres as practical, we ensure our audience is part of the global conversation around a big show and, of course, that keeps us relevant. Those are the main motivations.</i></blockquote>
How often do you hear a spokesperson for a large corporation (content or otherwise) talk about doing what's important for the <i>fans</i> rather than, say, the quarterly financial statements? Many, many content providers refuse to acknowledge that the internet has made "country of origin" a non-factor while also providing an incredibly powerful platform for both distribution and "global conversation."<br />
<br />
Lorimer also acknowledges the side benefits of catering to the customers:
<blockquote>
<i>"However, positive side effects may well be that our viewers save on their broadband data cap and are less likely to risk illegally downloading TV series. And a win for viewers is a win for us."</i></blockquote>
Giving viewers what they want when they want it. It's a plan so crazy it might be profitable.<br /><br /><a href="http://www.techdirt.com/articles/20120924/18074520503/nz-gets-new-homeland-episodes-less-than-4-hours-after-us.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120924/18074520503/nz-gets-new-homeland-episodes-less-than-4-hours-after-us.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120924/18074520503/nz-gets-new-homeland-episodes-less-than-4-hours-after-us.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>fighting-piracy-and-connecting-fans-by-breaking-windows</slash:department>
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<pubDate>Thu, 23 Aug 2012 07:06:39 PDT</pubDate>
<title>The DVD Is Dying. Hollywood's Plan? Do Nothing And Cede Ground To File Sharing</title>
<dc:creator>Tim Cushing</dc:creator>
<link>http://www.techdirt.com/articles/20120821/19130920119/dvd-is-dying-hollywoods-plan-do-nothing-cede-ground-to-file-sharing.shtml</link>
<guid>http://www.techdirt.com/articles/20120821/19130920119/dvd-is-dying-hollywoods-plan-do-nothing-cede-ground-to-file-sharing.shtml</guid>
<description><![CDATA[ David Pogue, NY Times columnist and <a href="http://www.techdirt.com/articles/20120803/04063219924/nytimes-columnist-explains-how-he-torrented-bourne-identity-because-it-wasnt-available-then-sent-check.shtml" target="_blank">known copyright infringer,</a> has a new post up over at the Scientific American discussing piracy; more specifically, <a href="http://www.scientificamerican.com/article.cfm?id=how-hollywood-encouraging-onine-piracy" target="_blank">Hollywood&#39;s insistence on driving people to piracy with its lack of digital offerings</a> and a distribution system that depends heavily on artificial limitations.<br />
<br />
The first issue plaguing Hollywood&#39;s thinking? The DVD is dead and no one in control has realized it. The future lies in streaming movies, not plastic discs. It took the recording industry several years to realize the fact that its customers were not nearly as attached to its physical products as it was. Add to that the fact that many people prize convenience over ownership and it&#39;s clear that trying to steer people toward purchasing all of their entertainment isn&#39;t the way to go.
<blockquote>
<i>Netflix&#39;s CEO says, &ldquo;We expect DVD subscribers to decline steadily every quarter, forever.&rdquo; The latest laptops don&#39;t even come with DVD slots. So where are film enthusiasts suppose to rent their flicks? Online, of course.</i><br />
<br />
<i>Streaming movies offers instant gratification: no waiting, no driving&mdash;plus great portability: you can watch on gadgets too small for a DVD drive, like phones, tablets and superthin laptops.</i></blockquote>
The demand is already there and, as the technology catches up, it will only increase. You can take your music anywhere but most DVDs are still relegated to DVD players. Yes, there are workarounds, but when consumers are looking for the least amount of friction, streaming a movie easily trumps burning off a copy or ripping it to the hard drive. If they can&#39;t get the films they want in the format they want, they&#39;ll either skip it entirely, find a "competing" provider or look for something else readily available through streaming services.<br />
<br />
Streaming services or online rentals, if implemented correctly, would give the motion picture industry some steady, if not increasing income well into the future. But it&#39;s completely disinterested in implementing these services in a realistic fashion, instead choosing to double-up on artificial scarcity.
<blockquote>
<i>For all of the apparent convenience of renting a movie via the Web, there are a surprising number of drawbacks. For example, when you rent the digital version, you often have only 24 hours to finish watching it, which makes no sense. Do these companies really expect us to rent the same movie again tomorrow night if we can&#39;t finish it tonight? In the DVD days, a Blockbuster rental was three days. Why should online rentals be any different?</i></blockquote>
Yeah. Exactly. Why? Why 24 hours? Netflix, your main competition in this arena, will let you keep the DVD(s) all the way up until they actually shut down the DVD service, only this time for real. As for their streaming "rentals?" Whatever&#39;s available stays available for repeated viewings all the way up until it&#39;s yanked from the lineup, usually by one of <i>you</i> (points accusingly at the Motion Picture Industry).<br />
<br />
Speaking of holes in the lineup, when are <i>you</i> (again with the pointing) going to stop doing this sort of thing?
<blockquote>
<i>[P]erhaps most important, there&#39;s the availability problem. New movies aren&#39;t available online until months after they are finished in the theaters, thanks to the &ldquo;windowing&rdquo; system&mdash;a long-established obligation that makes each movie available, say, first to hotels, then to pay-per-view systems, then to HBO and, only after that, to you for online rental.</i><br />
<br />
<i>Worse, some movies never become available. Star Wars, Raiders of the Lost Ark, Jurassic Park, A Beautiful Mind, Bridget Jones&#39;s Diary, Saving Private Ryan, Meet the Fockers, and so on, are not available to rent from the major online distributors.</i></blockquote>
How&#39;s that "plan" working out for you, Hollywood? Keeping those pirates at bay with your sometime/later/still later/possibly never windowing? To be honest, I don&#39;t think you really care. Once all the distribution lines have been wrung dry of any cash, it&#39;s time to retire back to the boardroom and blame filesharing for any numbers that seem slightly weak. Blame them if you must, but who&#39;s screwing who at this point?
<blockquote>
<i>Of the 10 most pirated movies of 2011, guess how many of them are available to rent online, as I write this in midsummer 2012? <b>Zero</b>. That&#39;s right: Hollywood is actually encouraging the very practice they claim to be fighting (with new laws, for example).</i></blockquote>
Look, I don&#39;t want to tell you how to do your jobs, but sweet something of somewhere, <i>someone</i> needs to be offering a little guidance. You <i>don&#39;t</i> offer rentals of movies people actually want. You <i>do</i> offer rentals of movies that everyone&#39;s sick of after their multiple appearances in various windows. Other movies you just flat out don&#39;t offer <i>at all</i>. And yet, it&#39;s piracy that&#39;s keeping you from "<a href="http://www.techdirt.com/articles/20111102/23363116605/warner-bros-right-after-announcing-record-profits-pleads-poverty-asking-people-to-support-grassroots-campaign-e-parasite-act.shtml" target="_blank">breaking even</a>." I would assume someone has put a bit a thought into this self-inflicted predicament. Pogue finds something akin to an explanation browsing around Disney&#39;s website:
<blockquote>
<i>&ldquo;Unfortunately, it is not possible to release or have all our titles in the market at once.&rdquo; Oh, okay. So they&#39;re not available because they&#39;re not available.</i></blockquote>
"Not possible" being PR code for "not until we&#39;re absolutely forced to, but we will fight this every step of the way." But why all the fighting? It didn&#39;t work for the recording industry. It won&#39;t work for the movie industry. The television industry seems to have weathered the disruption slightly better, but still expends a lot of effort locking up currently running shows and shutting down live streams that would actually GAIN them additional viewers to sell to advertisers.<br />
<br />
Pogue has appended a list entitled "<a href="http://www.scientificamerican.com/article.cfm?id=pogue-5-ways-hollywood-can-stop-digging-its-own-grave-piracy&#038;WT.mc_id=SA_printmag_2012-09" target="_blank">5 Ways Hollywood Can Stop Digging Its Own Grave</a>" to his post and they&#39;re all common sense (at least to the "layperson"). The largest Hollywood-wielded shovel should have disappeared long ago: the release window. Related: "<i>When it&#39;s buyable, it should be rentable</i>."<br />
<br />
This is the way things work these days and it&#39;s not just something that went into effect over the last 72 hours. If pirates have your stuff several months before you&#39;re planning on releasing it to paying customers, how many paying customers do you expect to have left once you deign them worthy of throwing money at your product?<br />
<br />
Final word from Pogue:
<blockquote>
<i>Listen up, Hollywood: Nobody ever went out of business offering a good product for sale at a reasonable price with an eye toward pleasing the customer. You should try it some time.</i></blockquote><br /><br /><a href="http://www.techdirt.com/articles/20120821/19130920119/dvd-is-dying-hollywoods-plan-do-nothing-cede-ground-to-file-sharing.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120821/19130920119/dvd-is-dying-hollywoods-plan-do-nothing-cede-ground-to-file-sharing.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120821/19130920119/dvd-is-dying-hollywoods-plan-do-nothing-cede-ground-to-file-sharing.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>there's-no-business-like-no-business</slash:department>
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<pubDate>Fri, 17 Aug 2012 07:52:51 PDT</pubDate>
<title>Why People Pirate: The Story Of Avatar</title>
<dc:creator>Timothy Geigner</dc:creator>
<link>http://www.techdirt.com/articles/20120816/06073020072/why-people-pirate-story-avatar.shtml</link>
<guid>http://www.techdirt.com/articles/20120816/06073020072/why-people-pirate-story-avatar.shtml</guid>
<description><![CDATA[ When I began thinking about writing this post, I wanted to start with the opening line "Remember Avatar?" Then I stopped, shook my head, and figured that such an opening line would be ridiculous. After all, Avatar is the highest <a href="http://boxofficemojo.com/alltime/world/">worldwide grossing</a> movie of all time. Despite everyone on the planet apparently believing that the movie was based on something they had <a href="http://www.techdirt.com/articles/20100310/0245268495.shtml">themselves done</a>, the movie essentially ushered in the era of the 3D movie experience for our generation. I mean, come on, <i>it&#39;s Avatar</i>.<br />
<br />
But then I thought about it a little longer. When&#39;s the last time I heard anyone talk about this groundbreaking movie? Months ago? Years ago? Wait, when did this thing come out? 2009? Is that really correct? Is anyone really thinking about this movie anymore? So, because of all those questions, I give you this:<br />
<br />
Remember Avatar? You should, for all the reasons mentioned above, but you may see the movie mentioned again now that Fox will <i>finally </i>release the 3D Collector&#39;s Edition Blu-Ray of the film. It&#39;s one hell of a release window for the 3D version of the movie. And some, like Gizmodo, are pointing to story of how it happened to explain <a href="http://gizmodo.com/5934611/this-is-why-people-pirate">why people turn to infringment for the entertainment they want</a>.
<blockquote>
<i>On April 22, 2010,&nbsp;[Avatar] is released on DVD. It&#39;s now August 14, 2012. In what world does it make sense for the movie that basically defibrillated the entire notion of 3D movies to take three damn years to make a wide release on 3D Blu-ray? Ours, apparently.</i><br />
<br />
<i>Here&#39;s how we got here: Panasonic got in bed with Avatar early on, promoting the film with <a href="http://gizmodo.com/5342174/panasonic-on-global-avatar-promotional-rampage-with-army-of-huge-3d-plasmas">103 trucks with giant 3D TVs</a> on them. That was kind of cool, actually. But then, it turned out you could only buy the 3D Blu-ray <a href="http://gizmodo.com/5703215/avatar-3d-blu+ray-finally-available++when-a-panasonic-3dtv-is-bought">with a Panasonic 3D TV</a>. Which turned out to cost, all things considered, about <a href="http://gizmodo.com/5715733/why-does-it-cost-300-to-buy-avatar-on-3d-blu+ray">300 damn dollars</a> for a $30 Blu-ray, no matter how you spun it. Totally dumb, totally anti-consumer.</i></blockquote>
So, through a complicated series of exclusive contract hoops, Fox essentially set up a monetary obstacle course all the way back in late 2010. If you wanted Avatar in 3D, you had to buy a television at a price that far exceeded any added value from the movie. You know who likes obstacle courses built almost two years ago? Time-travelling hamsters, that&#39;s who. Last time I checked, there aren&#39;t a great deal of time-travelling hamsters paying for movies.<br />
<br />
And neither were the people who wanted the 3D version of Avatar, apparently. Panasonic posted huge losses in the television space. Avatar went on to become the most pirated movie of all time. And the Gizmodo piece points the finger directly at Fox:
<blockquote>
<i>All of this matters. Especially right now. Demonoid just <a href="http://gizmodo.com/5933990/">went down for the count</a>. The <a href="http://torrentfreak.com/mpaa-riaa-want-u-s-to-help-quash-the-pirate-bay-120813/">RIAA and MPAA want the US</a> to stomp on the Pirate Bay the same way. And we&#39;re just a few months removed from the Supreme Court declining to hear an appeal for a $675,000 fine levied against Joel Tenenbaum for, as a teen, downloading a few dozen songs. The subtext is clear. It&#39;s not even subtext&mdash;it&#39;s super-text. We are the assholes. It&#39;s our fault that movies are bad and the music industry can&#39;t figure out how to monetize itself. And the copyright gestapo is coming for us. That&#39;s the message, the threat, looming over every idiotic decision that pushes us closer to BitTorrent.</i></blockquote>
And in the meantime, as all of this anti-consumer-ish-ness is being dolled up in a wig and a makeup and called "a business model", fans of Avatar will finally be able to get the movie in 3D <i>in October</i>. Yes, a movie <i>designed</i> to be watched with cardboard skittles goggles on your head wasn&#39;t available across the board for three damned years. That isn&#39;t a release window. It&#39;s a message to the movie&#39;s fans:<br />
<br />
Fox doesn&#39;t give a damn about you.<br /><br /><a href="http://www.techdirt.com/articles/20120816/06073020072/why-people-pirate-story-avatar.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120816/06073020072/why-people-pirate-story-avatar.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120816/06073020072/why-people-pirate-story-avatar.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>three-years-later</slash:department>
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<pubDate>Wed, 9 May 2012 10:42:00 PDT</pubDate>
<title>South Korea Still Paying The Price For Embracing Internet Explorer A Decade Ago</title>
<dc:creator>Glyn Moody</dc:creator>
<link>http://www.techdirt.com/articles/20120507/12295718818/south-korea-still-paying-price-embracing-internet-explorer-decade-ago.shtml</link>
<guid>http://www.techdirt.com/articles/20120507/12295718818/south-korea-still-paying-price-embracing-internet-explorer-decade-ago.shtml</guid>
<description><![CDATA[ <p>The problems of monopolies arising through network effects, and the negative effects of the lock-in that results, are familiar enough.  But it's rare to come across an entire nation suffering the consequences of both quite so clearly as South Korea, which finds itself in this situation thanks to <a href="http://www.koreatimes.co.kr/www/news/biz/2012/04/123_109059.html">a really unfortunate decision made by its government some years back</a>:

<i><blockquote>At the end of the 1990s, Korea developed its own encryption technology, SEED, with the aim of securing e-commerce. Users must supply a digital certificate, protected by a personal password, for any online transaction in order to prove their identity. For Web sites to be able to verify the certificates, the technology requires users to install a Microsoft ActiveX plug-in.</blockquote></i>

The trouble is <a href="http://web.archive.org/web/20090315062911/http://support.mozilla.com/en-US/kb/Activex">ActiveX is only supported on one platform: Microsoft Windows</a>.  As a result, when the South Korean government made the technology mandatory for online e-commerce, the entire South Korean Internet sector become enslaved to Internet Explorer:

<i><blockquote>It forced consumers to use Internet Explorer because it was the only browser ActiveX plug-ins were compatible with. By default, Web developers optimized not only banking and shopping Web sites for Internet Explorer, but all Web sites. For developers, this just seemed logical. 

The result has been a decade-long monopoly in the Korean market, where virtually all Korean Web sites are optimized for Internet Explorer. </blockquote></i>

Eventually, the South Korean government noticed that it was totally out of step with the rest of the world in effectively forbidding important alternative technologies like iPhones or Android, and took steps to remedy the situation:

<i><blockquote>A bylaw was created that said government Web sites must accommodate at least three different Web browsers and in 2010 they withdrew the mandate governing the use of ActiveX plug-ins. 
<br /><br />
But there was a catch. 
<br /><br />
If a company wants to stop using ActiveX plug-ins, it has to use an alternative technology that offers the same level of insurance. To get approval to use such a technology, they have to get approval from a government appraisal committee. The committee was formed over a year ago and has yet to make a single approval.</blockquote></i>

So even though the possibility of using something other than ActiveX is there, in practice there are simply no other options for secure transactions.  A choice taken a decade ago to standardize on one technology has locked an entire nation into that platform, and it's proving extremely hard to escape.
</p><p>
And it's not just the local coders that are suffering: businesses, too, are hamstrung when it comes to innovation.  As Kim Kee-chang, founder of the OpenWeb organization dedicated to expanding Web accessibility in Korea, explained:

<i><blockquote>"If people are thinking of opening up some service ultimately connected to payment they really have no chance in Korea," Kim said. "They are stuck in the payment stage and even if they could make it in Korea, they'd have little hope in an international market."</blockquote></i>

It's a classic lock-in due to network effects, aided and abetted by a thoughtless government decision all those years ago.  As South Korea falls further and further behind in this regard, trapped in its fossilized world of ActiveX, it may well come to be seen as warning to other governments to adopt <a href="http://blogs.computerworlduk.com/open-enterprise/2012/04/how-microsoft-lobbied-against-true-open-standards-i/index.htm">true open standards</a>, if they want to avoid a similar fate.
</p><p>
Follow me @glynmoody on <a href="http://twitter.com/glynmoody">Twitter</a> or <a href="http://identi.ca/glynmoody">identi.ca</a>, and on <a href="https://plus.google.com/100647702320088380533">Google+</a> </p><br /><br /><a href="http://www.techdirt.com/articles/20120507/12295718818/south-korea-still-paying-price-embracing-internet-explorer-decade-ago.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120507/12295718818/south-korea-still-paying-price-embracing-internet-explorer-decade-ago.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120507/12295718818/south-korea-still-paying-price-embracing-internet-explorer-decade-ago.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>no-escape</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120507/12295718818</wfw:commentRss>
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<item>
<pubDate>Fri, 23 Mar 2012 04:03:58 PDT</pubDate>
<title>Fox TV Finally Realizes The Internet Is Global: Launches Show Around The Globe Simultaneously</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120322/04380018198/fox-tv-finally-realizes-internet-is-global-launches-show-around-globe-simultaneously.shtml</link>
<guid>http://www.techdirt.com/articles/20120322/04380018198/fox-tv-finally-realizes-internet-is-global-launches-show-around-globe-simultaneously.shtml</guid>
<description><![CDATA[ We've talked, at length about the ridiculousness of <a href="http://www.techdirt.com/articles/20120319/08404018158/why-do-labels-continue-to-insist-that-your-money-is-no-good-here.shtml">regional restrictions</a> when it comes to content on the internet.  So, to some extent, it's nice to see that News Corp./Fox is actually more or less admitting that such restrictions are silly and has <a href="http://www.nytimes.com/2012/03/22/business/touch-from-fox-tv-will-have-a-worldwide-premiere.html?_r=1" target="_blank">released a new TV show simultaneously around the globe</a>:
<blockquote><i>
But this week, News Corporation  is staging a worldwide premiere of &#8220;Touch,&#8221; a new drama starring Kiefer Sutherland that celebrates the very kind of interconnectivity that will allow the show to start almost simultaneously in 100 countries and territories. In the United States it will appear on the Fox network on Thursday night; in Canada, on Global Television; in Germany, on ProSieben; in Russia, on Channel One.
<br /><br />
The worldwide rollout will allow American viewers to react to &#8220;Touch&#8221; in almost real time with viewers on other continents and in other languages, presuming, of course, that they are motivated enough to do so. 
</i></blockquote>
Of course, part of what made that happen was they were able to find a global advertiser (Unilever) to agree to put its ads everywhere.  What's still amazing to me, however, is that in 2012 this is still considered a "big thing."  This should have been done a decade ago, at least.  Because while the networks are finally waking up to this, <i>internet users</i> had routed around them ages ago anyway.
<blockquote><i>
To Tim Kring, the show&#8217;s creator, the shift is stark. In spring 2007, six months after his show &#8220;Heroes&#8221; started in the United States, he watched hundreds of &#8220;Heroes&#8221; fans line up for an event in Paris, even though the show had yet to be seen on television in France.
<br /><br />
&#8220;Every single person there had seen every episode. They had all gotten it illegally off the Internet,&#8221; he said in an interview. It was then, he said, that he realized, &#8220;Audiences will find these shows no matter where they are.&#8221; 
</i></blockquote>
And yet, here we are in 2012 and it's still "big news" that a show and TV network realize this.  Progress certainly seems to come slowly to some industries...<br /><br /><a href="http://www.techdirt.com/articles/20120322/04380018198/fox-tv-finally-realizes-internet-is-global-launches-show-around-globe-simultaneously.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120322/04380018198/fox-tv-finally-realizes-internet-is-global-launches-show-around-globe-simultaneously.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120322/04380018198/fox-tv-finally-realizes-internet-is-global-launches-show-around-globe-simultaneously.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>well,-look-at-that</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120322/04380018198</wfw:commentRss>
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<item>
<pubDate>Tue, 7 Feb 2012 09:49:28 PST</pubDate>
<title>Yet Another (Yes Another!) Study Suggests Hollywood's Problem Is Dumb Release Windows That Cost It Money</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120204/01541317662/yet-another-yes-another-study-suggests-hollywoods-problem-is-dumb-release-windows-that-cost-it-money.shtml</link>
<guid>http://www.techdirt.com/articles/20120204/01541317662/yet-another-yes-another-study-suggests-hollywoods-problem-is-dumb-release-windows-that-cost-it-money.shtml</guid>
<description><![CDATA[ It really was just two months ago that we pointed to yet another study saying that the problem that Hollywood was facing with infringement was almost entirely <a href="http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml">its own fault</a> for creating stupid "release windows" that make it harder for consumers to view what they want, when they want it.  It's that point alone that is driving significant amounts of infringement.  It doesn't add much new, but a new report suggests that if the studios got rid of the windows, <a href="http://gigaom.com/video/cmon-hollywood-collapse-windows/" target="_blank">they would actually make more money</a>.  In aggregate, people would end up spending more money on movies.  Of course, we've made this argument for years.
<br /><br />
To be fair, a big part of the reason this doesn't happen is because of the theaters themselves.  Any time the studios seek to take away the box office window by releasing something elsewhere earlier or at the same time, the theaters <a href="http://www.techdirt.com/articles/20111013/08450416335/universal-backs-away-planned-60-vod-release-tower-heist.shtml">throw a complete hissy fit</a> -- effectively admitting that they're so bad at the service they provide, that they can't compete with home theaters.  Of course, it's not all the theaters' fault.  As we've seen with studios like Warner Bros., they're so obsessed with the ability to price differentiate through <i>windows</i>, that they keep seeking to <a href="http://www.techdirt.com/articles/20120131/00110017595/warner-bros-just-keeps-pushing-people-to-piracy-new-deal-also-delays-queuing.shtml">add new windows</a>, which only serve to drive more consumers to infringe.
<br /><br />
Honestly, I'm at a loss as to why Hollywood can't do the math here, in terms of how much they'd gain from doing day-and-date release for everything (even if it meant fighting the theaters).  It seems like a clear win, with multiple studies supporting that, including this new one.  They seem to think the only way to price differentiate is through windows -- but, as lots of others have discovered, you can launch a variety of differentiated offerings at the same time and offer them at different prices, and the market self-segregates.  Sooner or later, someone at a movie studio is going to figure this out, and make that studio a lot of money.<br /><br /><a href="http://www.techdirt.com/articles/20120204/01541317662/yet-another-yes-another-study-suggests-hollywoods-problem-is-dumb-release-windows-that-cost-it-money.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120204/01541317662/yet-another-yes-another-study-suggests-hollywoods-problem-is-dumb-release-windows-that-cost-it-money.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120204/01541317662/yet-another-yes-another-study-suggests-hollywoods-problem-is-dumb-release-windows-that-cost-it-money.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>damn-the-facts,-it's-piracy-piracy-piracy</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120204/01541317662</wfw:commentRss>
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<pubDate>Tue, 10 Jan 2012 10:42:51 PST</pubDate>
<title>NBC Universal's Own Preferred Researcher For 'Anti-Piracy' Stats Comes Out Against SOPA/PIPA</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120110/03502617362/nbc-universals-own-preferred-researcher-anti-piracy-stats-comes-out-against-sopapipa.shtml</link>
<guid>http://www.techdirt.com/articles/20120110/03502617362/nbc-universals-own-preferred-researcher-anti-piracy-stats-comes-out-against-sopapipa.shtml</guid>
<description><![CDATA[ This is fascinating and unexpected.  We've discussed the research firm Envisional a few times here at Techdirt.  The company is NBC Universal's preferred research firm for coming up with stats that NBC Universal then uses to insist that it needs new laws like SOPA/PIPA.  Some have certainly called into question Envisional's research as a paid vendor.  However, a year ago, we noted that if you actually looked at the details of the research Envisional did for NBC Universal, it actually showed that <a href="http://www.techdirt.com/articles/20110202/12013712931/nbc-universal-study-shows-that-its-hollywoods-own-damn-fault-so-much-content-is-pirated.shtml">piracy was Hollywood's own fault</a>.  NBC Universal and the MPAA twisted those results to say that piracy was a huge problem, but the data certainly suggested the real problem was Hollywood's failure to release what people wanted in formats that they wanted.
<br /><br />
Still, we never expected Envisional to come out and actually make that same point (even if that's what the data said).  Yet, as this recent Ars Technica article notes, at CES, Envisional's "head of piracy intelligence," David Price, didn't mince words in saying that <a href="http://arstechnica.com/tech-policy/news/2012/01/forget-sopa-copyright-owners-must-build-a-better-bittorrent.ars?utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=rss" target="_blank">infringement was, in fact, Hollywood's own fault</a> for not offering products in the way customers wanted <b>and</b> that SOPA/PIPA were the wrong approach to fixing its business model problems:
<blockquote><i>
"The content owners are really fighting the tide of the Internet," Price said. "They're trying to fight the flow of the Internet which is all about making content as widely available as possible, as easily as possible, as quickly as possible. They're trying to hold back the 1.4 billon users of the Internet from doing what the Internet wants them to do."
</i></blockquote>
In discussing SOPA/PIPA:
<blockquote><i>
Price does not like the way the bills are drafted, potentially causing major technical and free speech issues. "When I talk to content owners I try to tell them this is not the way to go," he remarked. "You don't want to hurt people. You want to try and go with a compete approach, put the content out there and hope people will come to you."
</i></blockquote>
Again, none of this is surprising.  We've been saying the same thing for ages -- and we get dismissed as "piracy apologists."  Yet this is the research firm that NBC Universal has relied on and regularly quotes in making its arguments about just how "big" a problem infringement is.  That says something.  And that something is that NBC Universal (yet again) is unwilling to face reality.<br /><br /><a href="http://www.techdirt.com/articles/20120110/03502617362/nbc-universals-own-preferred-researcher-anti-piracy-stats-comes-out-against-sopapipa.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120110/03502617362/nbc-universals-own-preferred-researcher-anti-piracy-stats-comes-out-against-sopapipa.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120110/03502617362/nbc-universals-own-preferred-researcher-anti-piracy-stats-comes-out-against-sopapipa.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>well,-look-at-that</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120110/03502617362</wfw:commentRss>
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<pubDate>Mon, 9 Jan 2012 07:28:31 PST</pubDate>
<title>WB, HBO Continue To Suck At Economics; New Policies Encourage Piracy</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120107/01435817321/wb-hbo-continue-to-suck-economics-new-policies-encourage-piracy.shtml</link>
<guid>http://www.techdirt.com/articles/20120107/01435817321/wb-hbo-continue-to-suck-economics-new-policies-encourage-piracy.shtml</guid>
<description><![CDATA[ A bunch of folks have been submitting variations on two stories from last week that show -- yet again -- that the big legacy entertainment industry companies suck at economics.  <a href="http://www.techdirt.com/profile.php?u=adamr">AdamR</a> was the first to send over the news that Warner Bros. studio was <a href="http://allthingsd.com/20120105/warner-brothers-will-make-netflix-redbox-blockbuster-wait-longer-for-new-movies/" target="_blank">increasing the "delay" period for rentals</a>.  If you don't recall, WB has been at the forefront of this braindead idea that, if it forbids Netflix, Redbox and Blockbuster from renting videos, maybe more people will buy the DVDs they release for sale.  Of course, other studios took the time to study the matter and found that such a delay in rentals <a href="http://www.techdirt.com/articles/20100615/1842549841.shtml">doesn't increase sales</a>.  Meanwhile, a separate study showed that such windows <i><a href="http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml">do increase infringement</a></i>, as those who are perfectly willing to pay the price to rent, find the price to buy ridiculous... and seek alternatives.
<br /><br />
It appears that WB is implicitly admitting that the strategy of delaying the rental period of a movie by 28 days has been a total failure, in the decision to increase the delay to 56 days.  They're basically admitting that not enough people were "buying" in those 28 days... so they somehow think that doubling the wait will increase the purchases.  It won't.  If people really want to pay the extra money to buy the DVD, they're likely to do so pretty early on.  It's not like they're waiting 50 days in and then saying "gee, I can't rent the movie, so I'll just pay a lot more money than necessary to own an obsolete piece of plastic."
<br /><br />
Meanwhile, HBO, coming out of the same corporate lineage as WB, has decided to <a href="http://news.cnet.com/8301-31001_3-57353134-261/hbo-forces-netflix-to-go-elsewhere-for-its-dvds/" target="_blank">stop selling Netflix the DVDs of its shows</a>.  Netflix, of course, notes that it can get these DVDs from other sources, but it makes you wonder what HBO thinks it's accomplishing here.  Pissing off its fans on Netflix by trying to force them into HBO's own annoying walled garden doesn't help build fans.  And if it does actually lead to Netflix not offering HBO shows, then as plenty of commentators <a href="https://twitter.com/#!/jackshafer/status/154998477909262336" target="_blank">quickly noted</a>, all they're really doing is encouraging more infringement.
<br /><br />
This is basic stuff at this point.  Not offering your content in simple, legitimate formats that the customers want doesn't help you at all.  It just drives people to infringe.  How does that help in any way, shape or form?<br /><br /><a href="http://www.techdirt.com/articles/20120107/01435817321/wb-hbo-continue-to-suck-economics-new-policies-encourage-piracy.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120107/01435817321/wb-hbo-continue-to-suck-economics-new-policies-encourage-piracy.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120107/01435817321/wb-hbo-continue-to-suck-economics-new-policies-encourage-piracy.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>do-they-not-realize-this?</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120107/01435817321</wfw:commentRss>
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<pubDate>Thu, 1 Dec 2011 10:51:00 PST</pubDate>
<title>Yet Another Study Shows That Hollywood's Own Bad Decisions Are Increasing The Amount Of Infringement</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml</link>
<guid>http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml</guid>
<description><![CDATA[ We've pointed out over and over again that the real way to stop infringement is to <a href="http://www.techdirt.com/articles/20111122/04254316872/definitive-post-why-sopa-protect-ip-are-bad-bad-ideas.shtml">offer compelling legitimate services</a> that are reasonably priced.  Time and time again, throughout history, it's been shown that the real reason there's widespread piracy is because the content isn't available legally at all, or is available in a limited or inconvenient way.  Make things easy, not locked down, convenient and reasonably priced, and tons of people pay.  Books have been written about this.  Studies have been done on this.  And just the success of things like Netflix and Spotify show how this works wonders.
<br /><br />
Now there's a new study, once again, showing the same thing.  Professors Michael D. Smith and Rahul Telang (from Carnegie Mellon and Heinz College) have added some more evidence -- and it again suggests the "problem" isn't that the law isn't strong enough or that enforcement isn't draconian enough. It's that the industry still <a href="http://thehill.com/opinion/op-ed/196051-delaying-content-leaves-money-on-the-table" target="_blank">refuses to give customers what they want</a>:
<blockquote><i>
Our research suggests that Hollywood is leaving money on the table &mdash; and is in turn failing to address a root cause of piracy &mdash; by preserving its separate release windows. Based on our analysis of seven large nations, we find that in most countries, every week customers have to wait before they can buy a DVD translates into, on average, 1.8 percent lower DVD sales. Given that good-quality pirated versions are available close to 14 weeks before the legal versions, the losses can be in the millions of dollars. Not surprisingly, a 14-week delay also translates to a 70 percent increase in pirated movie downloads in those countries. 
</i></blockquote>
The study basically found what many of us have been pointing out for ages: making things not available doesn't drive sales.  It drives infringement.  This is such a fundamental point, and it seems so obvious to many of us... but those in the industry still refuse to believe it.  Now, some of the problem with the delays come from the theater owners, who <a href="http://www.techdirt.com/articles/20111007/02570316246/no-one-wanted-to-pay-30-in-home-movie-rentals-so-now-universal-will-try-60.shtml">flip out</a> at any attempt to shorten windows, even if the "competing" options are priced ridiculously high.
<br /><br />
But the studios themselves are frequently guilty of this same self-defeating thinking.  Many are really pushing for <a href="http://www.techdirt.com/articles/20100216/1449188186.shtml">rental delay windows</a>, such as denying new movies to Netflix or Redbox until 28-days after they go on sale.  One studio has broken ranks here: Paramount.  That's the only studio that has made it clear that delaying movies <a href="http://www.techdirt.com/articles/20100615/1842549841.shtml">doesn't increase sales</a>.  The other studios, though, still don't seem to get it, and don't realize that for people who want to see a movie, but are stymied due to a stupid release window, that they do have a few other options: (1) simply go away and forget the content entirely or (2) go find the content elsewhere.  Neither scenario is good for the studios.
<br /><br />
But the professors make the key point that the studios are going about this entirely backwards based on the data:
<blockquote><i>
Together these results suggest that delaying content in the presence of digital channels is likely to cause consumers to lose interest in the product at best, and lead consumers to alternate pirated channels at worst. A better strategy would be to do the opposite: Make it easier for consumers to buy the content in physical and electronic channels. For motion picture studios this might mean selling content in theaters, on DVD and on digital services at around the same time, perhaps at different price points.
</i></blockquote>
Shocking.  We've only been arguing for <a href="http://www.techdirt.com/articles/20060727/1512205.shtml">many years</a> that you should be able to buy the DVD of the movie you just watched as you walk out of the theater (and if you show the ticket, you get a discount).  It still amazes me that this is still not really being done -- even as the evidence piles up that moves like that would <i>increase</i>, not decrease revenue.<br /><br /><a href="http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20111201/03191216939/yet-another-study-shows-that-hollywoods-own-bad-decisions-are-increasing-amount-infringement.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>and-again-and-again</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20111201/03191216939</wfw:commentRss>
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<pubDate>Thu, 27 Oct 2011 10:28:00 PDT</pubDate>
<title>Warner Bros. Hates Libraries, Wants To Embargo DVD Sales To Libraries For A Month</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20111022/01403116466/warner-bros-hates-libraries-wants-to-embargo-dvd-sales-to-libraries-month.shtml</link>
<guid>http://www.techdirt.com/articles/20111022/01403116466/warner-bros-hates-libraries-wants-to-embargo-dvd-sales-to-libraries-month.shtml</guid>
<description><![CDATA[ The movie studios' short-sightedness knows no bounds, apparently.  Warner Bros., which has been the most aggressive of the big movie studios in getting companies like <a href="http://www.techdirt.com/articles/20100106/1804437638.shtml">Netflix</a> and <a href="http://www.techdirt.com/articles/20100216/1449188186.shtml">Redbox</a> not to rent its movies until 28-days after they go on sale, has now decided to <a href="http://www.dslreports.com/shownews/Time-Warner-Imposes-28-Day-New-Release-Library-Delay-116694" target="_blank">do the same thing for libraries</a>, putting in place a 28-day embargo on all DVD sales to libraries, from the time of the DVD release.  To make it even more obnoxious, they're removing bonus features and extras from movies sold to libraries.
<br /><br />
Here's the thing, though.  What's to stop a library from just buying an official version and lending it out?  The whole thing is pretty silly anyway.  Is Warner Bros. really thinking that if someone can't take out one of its movies from the library, that they'll really go buy the DVD from WB?  Also, doesn't this seem like a form of price fixing?
<br /><br />
In the end, though, it's unlikely to actually help.  Slightly more enlightened studios, such as Paramount, actually tested such 28-delays and looked at the data, which said Netflix and Redbox <a href="http://www.techdirt.com/articles/20100615/1842549841.shtml">don't cannibalize sales</a>, and appear to "expand" the movie business.  Too bad Warner Bros. hasn't seen that movie yet.  Perhaps they're still waiting for the 28-day delay to pass.<br /><br /><a href="http://www.techdirt.com/articles/20111022/01403116466/warner-bros-hates-libraries-wants-to-embargo-dvd-sales-to-libraries-month.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20111022/01403116466/warner-bros-hates-libraries-wants-to-embargo-dvd-sales-to-libraries-month.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20111022/01403116466/warner-bros-hates-libraries-wants-to-embargo-dvd-sales-to-libraries-month.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>oh-come-on</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20111022/01403116466</wfw:commentRss>
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<pubDate>Wed, 4 May 2011 07:46:27 PDT</pubDate>
<title>Disney Claims It's Copyright Infringement For Dish To Offer Starz To Non-Premium Subscribers</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20110503/15385914134/disney-claims-its-copyright-infringement-dish-to-offer-starz-to-non-premium-subscribers.shtml</link>
<guid>http://www.techdirt.com/articles/20110503/15385914134/disney-claims-its-copyright-infringement-dish-to-offer-starz-to-non-premium-subscribers.shtml</guid>
<description><![CDATA[ The latest in a long line of ridiculous lawsuits from an entertainment industry that refuses to adapt and loves to put up artificial barriers, is the case of <a href="http://www.reuters.com/article/2011/05/03/us-dish-disney-idUSTRE7425MC20110503" target="_blank">Disney suing Dish Network</a>.  Dish's infraction?  Apparently a promotional decision to offer the Starz movie network for "free" to its subscribers (of course, it's not really free, since you have to pay to subscribe...).   Disney claims that it has specific licensing deals with premium channels like Starz, which say that the films it licenses can only be shown on "premium" pay-TV tiers rather than basic tiers.  The idea (of course) is that Disney wants to extend the ridiculous and outdated "windowing" efforts of Hollywood.  
<br /><br />
But, here's the thing: Dish Network is not a party to that contract.  Dish should be free to offer whatever channels it wants in whatever tiers it wants, so long as it has the appropriate agreement with those channels.  I can't see how Disney has a claim on Dish here, since it's a third party, which is simply making a reasonable business decision that it wanted to offer Starz as a part of a lower tier.  Disney is claiming in the lawsuit that this "devalues" its movies.  No, it does not.  What "devalues" the movies is the silly windowing plans of the studios that make those movies less valuable to consumers.
<br /><br />
Of course, Disney is claiming that this isn't a contractual issue, but a copyright one, but even that makes no sense.  Dish's license with Starz clearly includes a license to display the content.  And Dish is clearly paying to carry Starz, so everyone's <i>getting paid</i>.  The only issue is that Dish decided, for promotional reasons, to include Starz in lower tiers for no additional cost for a year (Disney, falsely, repeatedly claims this is "free.")  It seems that Dish should be free to offer whatever promotion it wants to its consumers, seeing as all the other terms of the license are the same and everyone's getting paid.
<br /><br />
I could see how Disney might have a complaint against Starz for the way it licensed content to Dish, in which Dish was allowed to offer this kind of promotion to consumers, but going after Dish for <i>copyright infringement</i>, just seems silly.  If anything, saying that downstream providers can't set their own pricing seems like Disney is opening itself up to a price fixing claim.  It made its deal with Starz.  Dish then did its deal with Starz.  Dish should then be free to determine how much it charges consumers.<br /><br /><a href="http://www.techdirt.com/articles/20110503/15385914134/disney-claims-its-copyright-infringement-dish-to-offer-starz-to-non-premium-subscribers.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20110503/15385914134/disney-claims-its-copyright-infringement-dish-to-offer-starz-to-non-premium-subscribers.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20110503/15385914134/disney-claims-its-copyright-infringement-dish-to-offer-starz-to-non-premium-subscribers.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>felony-interference-of-a-business-model</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20110503/15385914134</wfw:commentRss>
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<pubDate>Wed, 27 Apr 2011 08:22:51 PDT</pubDate>
<title>Not Every Theater Owner Fears Competing With Your Home Theater System</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20110426/03045714039/not-every-theater-owner-fears-competing-with-your-home-theater-system.shtml</link>
<guid>http://www.techdirt.com/articles/20110426/03045714039/not-every-theater-owner-fears-competing-with-your-home-theater-system.shtml</guid>
<description><![CDATA[ We recently wrote about how various theater owners were <a href="http://www.techdirt.com/articles/20110420/10464213975/studios-offering-30-movie-rentals-theater-owner-complains-that-he-cant-compete-with-that.shtml">freaking out</a> about new plans by studios to release movies for video on demand ten weeks after they went into the theaters... though for the astoundingly ridiculous price of $30.  We noted that the complaining theater owners were more or less <i>admitting</i> that their theaters and the theater-going experience they provided <i>sucked</i>.  If you can't compete with a home theater, you don't really know what business you're in.  It would be like restaurant owners complaining that people can buy fresh food to cook in their own kitchen, so they'll never go out to restaurants again.  Going out to the movies is a social experience, and theaters can easily compete by providing a better experience.  The only ones who have anything to fear are those who know they provide a terrible experience and therefore can't compete.
<br /><br />
Thankfully, some theater owners who <a href="http://blog.originalalamo.com/2011/04/21/9227/?utm_source=feedburner&#038;utm_medium=feed&#038;utm_campaign=Feed%3A originalalamo %28Alamo Drafthouse Cinema Austin%29" target="_blank"><i>do</i> provide a good experience recognize this</a>.  Carlo points us to some comments from the owner of the famed Alamo Drafthouse theater in Austin, Texas, Tim League, in a blog post written by Caitlin Stevens (who, it should be noted, works for Tim):
<blockquote><i>
He's not terribly worried. He's taking very much a wait and see attitude. "I think some of the charges that have been made [about premium VOD] are invalid and reactionary," he said. "It remains to be seen if this does impact theatrical. If you look back historically all the way to the 1950s everytime there has been a challenge -- from TV to VHS to DVD -- there has always been a component of the theatrical community that has said this will be the death of cinema."
<br /><br />
Tim's also really skeptical of the claim that this VOD system will hurt smaller films that have platform releases, and points to distributors like Magnet, who have had great success with films they release on VOD before even hitting theaters. Those films tend to do well at the Alamo as well. "We've had good successes with those films even when they're playing VOD at the same time they're in the theater," he said.
<br /><br />
Ultimately a lot of this comes down to the theatrical experience. Not to be a total shill here, but part of the reason people go to the Alamo is for the complete experience, which includes food and drink, high quality projection and a firm policy against talking and texting in movies. The big chains simply don't offer that -- not even protection from noisy patrons. "It's an industry that's vulnerable because if you give people the choice they won't choose a flawed option," Tim explained.
</i></blockquote>
Exactly.  Furthermore, he notes the key point that these complaining theater owners don't seem to grasp, despite their jobs running theaters:
<blockquote><i>
"People -- especially on a Friday and a Saturday -- inherently want to get out of the house," he said. If theater owners can offer them a good option for getting out of the house at the movies, they'll take it.
</i></blockquote>
Indeed.  What stuns me is that theater owners who are complaining don't even recognize what they're telegraphing: that their theater experiences suck and they <i>know</i> you'd be better off staying at home.  If that's the case, it's easy to decide to stay home, creating a self-fulfilling prophecy of sorts.  However, for theater owners who really do provide a great experience, they have nothing to worry about.    Many years ago, theater owner Marcus Loew famously stated: "We sell tickets to theaters, not movies."  It's really unfortunate that so few theater owners recognize that today, but it's always nice to be reminded of the few that do... such as Tim League and the Alamo Drafthouse.<br /><br /><a href="http://www.techdirt.com/articles/20110426/03045714039/not-every-theater-owner-fears-competing-with-your-home-theater-system.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20110426/03045714039/not-every-theater-owner-fears-competing-with-your-home-theater-system.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20110426/03045714039/not-every-theater-owner-fears-competing-with-your-home-theater-system.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>ah,-the-alamo-drafthouse</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20110426/03045714039</wfw:commentRss>
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<pubDate>Thu, 21 Apr 2011 07:40:07 PDT</pubDate>
<title>Studios Offering $30 Movie Rentals; Theater Owner Complains That He Can't Compete With That</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20110420/10464213975/studios-offering-30-movie-rentals-theater-owner-complains-that-he-cant-compete-with-that.shtml</link>
<guid>http://www.techdirt.com/articles/20110420/10464213975/studios-offering-30-movie-rentals-theater-owner-complains-that-he-cant-compete-with-that.shtml</guid>
<description><![CDATA[ A few weeks back, we noted the <a href="http://www.techdirt.com/articles/20110401/03121213728/movie-studios-add-another-window-30-dollar-rental.shtml">rumors</a> that a bunch of studios were getting ready to offer $30 video-on-demand movie rentals, in an attempt to create a new tiered "window" much closer to the original theatrical release date.  It appears those stories are now confirmed, as DirecTV has said that it will, indeed, <a href="http://www.bloomberg.com/news/2011-04-19/directv-starts-premium-rental-service-on-april-21-with-sony-film.html" target="_blank">be offering $30 film rentals</a> for movies just 10-weeks after their theatrical release.  Of course, before we discuss how bad an idea this is from the studio's perspective, let's look at the even more braindead response from movie theaters:
<blockquote><i>
Regency Theatres, based in Calabasas, California, will pull "Just Go With It" from its second-run theaters, where it was among the top two titles last weekend, said President Lyndon Golin.
<br><br>
"We don't want to show movies that are on TV," Golin said in a telephone interview. "We want to protect the movie-going experience."
</i></blockquote>
Protect the movie-going experience?  Huh? Does Golin even hear what he's saying.  First off, how does pulling the movie out of the theaters protect the movie-going experience?  It seems to do the opposite.  It seems to tell people "we <b>don't want</b> you to enjoy the movie-going experience" with this movie.  Golin seems to be <b>flat-out admitting that his movie theaters <i>suck</i></b>.  After all, if he can't provide a better movie-going experience than a TV at home, then apparently his theaters really aren't worth going to, right?
<br><br>
I've pointed this out in the past, but I can never understand theater owners who complain about competition from rentals or video streaming.  The whole point of a movie theater is that it's a social experience.  It's "going out" to the theaters.  It's enjoying the overall event on a giant screen.  Obviously with home theater systems, there is some competition, but theater owners can certainly provide an overall excellent theater experience, if they put some effort into it.  What Golin's statement here says is that he's not interested in trying, and he doesn't think his theater's experience can compete.  That's really more  of a statement about problems with his own theaters than about this new rental window.
<br><br>
As for the rental window, it'll be interesting to see who actually pays $30.  I understand the <i>studios'</i> logic.  They think they're providing extra value by making a movie available earlier.  But that's not -- at all -- how consumers are likely to view this.  They're going to compare it to Netflix or other PPV/rental options and have no idea why the studios and DirecTV think they can get away with charging many multiples higher.
<br><br>
Of course, going back to the theaters' response, it seems even more ridiculous when you realize that Regency doesn't even think it can compete with a ridiculously overprice home rental option that very few people are going to choose.<br /><br /><a href="http://www.techdirt.com/articles/20110420/10464213975/studios-offering-30-movie-rentals-theater-owner-complains-that-he-cant-compete-with-that.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20110420/10464213975/studios-offering-30-movie-rentals-theater-owner-complains-that-he-cant-compete-with-that.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20110420/10464213975/studios-offering-30-movie-rentals-theater-owner-complains-that-he-cant-compete-with-that.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>yeah-that'll-work</slash:department>
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<pubDate>Fri, 1 Apr 2011 09:49:41 PDT</pubDate>
<title>Movie Studios Add Another Window: The $30 Dollar Rental</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20110401/03121213728/movie-studios-add-another-window-30-dollar-rental.shtml</link>
<guid>http://www.techdirt.com/articles/20110401/03121213728/movie-studios-add-another-window-30-dollar-rental.shtml</guid>
<description><![CDATA[ <a href="http://www.techdirt.com/profile.php?u=btr1701">btr1701</a> points us to a report from Thursday's (<i>not</i> April Fool's Day) Variety, which claims that the movie studios are getting ready to <a href="http://www.variety.com/article/VR1118034714" target="_blank">offer <i>$30 dollar per movie</i> Video On Demand (VOD) offerings</a>.  This is a classically short-sighted Hollywood-type of solution.  Over the past few years, the big movie studios have become even more enamored than ever with the concept of release "windows," in which they offer movies on different platforms/formats at different times.  Rather than moving in the other direction, towards so-called <a href="http://www.techdirt.com/articles/20050429/2327244_F.shtml">"day and date"</a> releases that offer up movies on all platforms at once, they're trying to make the whole thing more frustrating and annoying for customers by spreading things out and offering more windows.
<br /><br />
This explains the recent efforts to <a href="http://www.techdirt.com/articles/20100423/1148439156.shtml">delay</a> various movie rental releases and the whole plan to <a href="http://www.techdirt.com/articles/20100507/1450489342.shtml">break your DVR/TV</a> so that you can't actually record certain VOD showings.  Now that they have these in place, apparently they think the answer is to offer this new window, between theater showings and when you can rent from Netflix or your video store of choice, in which they somehow think people will be okay <i>paying $30 per movie</i>.
<br /><br />
It kind of makes me wonder what they're pumping into the air down in Hollywood.
<br /><br />
I'm sure their argument is that since a "whole family" or a group of folks can watch the film, it's more cost reasonable, and they'll argue that the release -- closer to the theater release -- makes it worth the extra money.  This, however, assumes that consumers are stupid, and I think Hollywood may quickly discover that consumers aren't quite as stupid as the studio execs think.  Of course, even more amusing is that the theater owners -- who have <a href="http://www.techdirt.com/articles/20100720/16430210293.shtml">always fought</a> any attempt to do releases close to the theatrical release, are freaking out about this.  I doubt they have much to worry about.
<br /><br />
The report notes that Paramount has chosen not to join in this scheme, suggesting that it's worried about how this might increase piracy.  I'm not sure if that's true.  After all, Paramount is the one studio that has publicly said that those <a href="http://www.techdirt.com/articles/20100615/1842549841.shtml">28 day rental delays didn't make any sense</a> and that it didn't drive customers to buy DVDs.  So maybe the folks at Paramount actually realize that consumers don't want more windows and more ridiculous price points...
<br /><br />
Of course, at the very same time that Hollywood is going down this ridiculous path, others are urging them to go in the other direction.  TorrentFreak has a post about a UK movie reviewer's <a href="http://torrentfreak.com/uk-film-critics-common-sense-solution-to-piracy-110401/?utm_source=twitterfeed&#038;utm_medium=twitter&#038;utm_campaign=Feed%3A+TorrentfreakBits+%28TorrentFreak+-+Bits%29" target="_blank">simple and clear explanation</a> for why the studios should offer day and date releases:
<center>
<object width="528" height="389"><param name="movie" value="http://www.bbc.co.uk/emp/external/player.swf"></param><param name="allowFullScreen" value="true"></param><param name="allowScriptAccess" value="always"></param><param name="FlashVars" value="config_settings_suppressRelatedLinks=true&#038;playlist=http%3A%2F%2Fwww%2Ebbc%2Eco%2Euk%2Fiplayer%2Fplaylist%2Fp00fp435&#038;config_settings_showFooter=true&#038;"></param><embed src="http://www.bbc.co.uk/emp/external/player.swf" type="application/x-shockwave-flash" allowfullscreen="true" allowScriptAccess="always" width="528" height="389" FlashVars="config_settings_suppressRelatedLinks=true&#038;playlist=http%3A%2F%2Fwww%2Ebbc%2Eco%2Euk%2Fiplayer%2Fplaylist%2Fp00fp435&#038;config_settings_showFooter=true&#038;"></embed></object>
</center><br /><br /><a href="http://www.techdirt.com/articles/20110401/03121213728/movie-studios-add-another-window-30-dollar-rental.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20110401/03121213728/movie-studios-add-another-window-30-dollar-rental.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20110401/03121213728/movie-studios-add-another-window-30-dollar-rental.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>please-be-an-april-fools-joke</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20110401/03121213728</wfw:commentRss>
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<pubDate>Tue, 28 Dec 2010 10:28:49 PST</pubDate>
<title>France Wants To Extend Private Copying Levy To Tablets... But Not If They Run Microsoft Windows</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20101227/18004912429/france-wants-to-extend-private-copying-levy-to-tablets-not-if-they-run-microsoft-windows.shtml</link>
<guid>http://www.techdirt.com/articles/20101227/18004912429/france-wants-to-extend-private-copying-levy-to-tablets-not-if-they-run-microsoft-windows.shtml</guid>
<description><![CDATA[ Kurata points us to the news that French politicians are debating extending the "you must be a criminal" private copying levy to tablet computers -- but, oddly, the new levy <a href="http://translate.google.com/translate?js=n&#038;prev=_t&#038;hl=en&#038;ie=UTF-8&#038;layout=2&#038;eotf=1&#038;sl=auto&#038;tl=en&#038;u=http://www.numerama.com/magazine/17691-taxe-copie-privee-sur-tablettes-archos-pourrait-attaquer-au-conseil-d-etat.html" target="_blank">would not apply to tablets running Windows</a> (Google translation from the <a href="http://www.numerama.com/magazine/17691-taxe-copie-privee-sur-tablettes-archos-pourrait-attaquer-au-conseil-d-etat.html" target="_blank">original French</a>).  The tax <i>would</i> apply to any iPad or Android-based device, but apparently Windows tablets won't be counted, since they'll be classified as full computers, while the other tablets are in this new taxable category.  Not surprisingly, this has some companies up in arms, with the French-based Archos particularly steamed, since it's producing Android-based tablets, and doesn't like the fact that its government seems to be giving preferential treatment to an American company.<br /><br /><a href="http://www.techdirt.com/articles/20101227/18004912429/france-wants-to-extend-private-copying-levy-to-tablets-not-if-they-run-microsoft-windows.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20101227/18004912429/france-wants-to-extend-private-copying-levy-to-tablets-not-if-they-run-microsoft-windows.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20101227/18004912429/france-wants-to-extend-private-copying-levy-to-tablets-not-if-they-run-microsoft-windows.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>say-what-now?</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20101227/18004912429</wfw:commentRss>
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<pubDate>Wed, 3 Nov 2010 13:32:27 PDT</pubDate>
<title>Warner Bros. So Thrilled With Netflix 28-Day Delays, It Wants To Have Longer Delays</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20101103/12122611707/warner-bros-so-thrilled-with-netflix-28-day-delays-it-wants-to-have-longer-delays.shtml</link>
<guid>http://www.techdirt.com/articles/20101103/12122611707/warner-bros-so-thrilled-with-netflix-28-day-delays-it-wants-to-have-longer-delays.shtml</guid>
<description><![CDATA[ Hollywood continues to seek new and ever-more creative ways to shoot itself in the foot and drive movie fans to unauthorized copies of movies.  Earlier this year, Warner Bros. studios was successful in pressuring Netflix and Redbox to <a href="http://www.techdirt.com/articles/20100106/1804437638.shtml">delay rental releases</a> by 28-days, with the hope that people who couldn't rent the movie would buy it.  Warner Bros. has been <a href="http://www.techdirt.com/articles/20101005/12213211291/warner-bros-claims-that-annoying-customers-with-28-day-rental-delay-is-working.shtml">claiming this strategy succeeded</a> and that they've sold more DVDs because of it.  I would doubt that it's the delay that's increasing sales, and it seems like a pretty short-sighted strategy to look to increase sales of a format like DVD right now.  Either way, Warner Bros. is now <a href="http://www.businessweek.com/news/2010-11-03/time-warner-may-consider-longer-delay-for-netflix-redbox.html" target="_blank">claiming it may try to <i>increase</i> the window over 28-days</a>.  It's as if they <i>want</i> to drive more people to get the movie from unauthorized providers.  Making it <i>more difficult</i> to let people watch movies the way they want to isn't a solution that will work long-term.<br /><br /><a href="http://www.techdirt.com/articles/20101103/12122611707/warner-bros-so-thrilled-with-netflix-28-day-delays-it-wants-to-have-longer-delays.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20101103/12122611707/warner-bros-so-thrilled-with-netflix-28-day-delays-it-wants-to-have-longer-delays.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20101103/12122611707/warner-bros-so-thrilled-with-netflix-28-day-delays-it-wants-to-have-longer-delays.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>driving-fans-to-piracy</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20101103/12122611707</wfw:commentRss>
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<pubDate>Wed, 6 Oct 2010 13:51:14 PDT</pubDate>
<title>Warner Bros. Claims That Annoying Customers With 28-Day Rental Delay Is Working</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20101005/12213211291/warner-bros-claims-that-annoying-customers-with-28-day-rental-delay-is-working.shtml</link>
<guid>http://www.techdirt.com/articles/20101005/12213211291/warner-bros-claims-that-annoying-customers-with-28-day-rental-delay-is-working.shtml</guid>
<description><![CDATA[ Warner Bros. studio was among the more adamant about getting Netflix, Redbox and others to <a href="http://www.techdirt.com/articles/20100106/1804437638.shtml">delay rentals</a> of movies until 28-days after the DVD release, in the hopes that it would drive more people to buy.  We suggested that was pissing off customers, just at a time when they're discovering they have (perhaps not very legal) alternatives, and it probably isn't a great business strategy.  However, Khyle points us to the news that Warner Bros. CFO <a href="http://www.hackingnetflix.com/2010/10/28-day-new-release-delay-increased-warner-bros-dvd-sales-15.html?utm_source=feedburner&#038;utm_medium=feed&#038;utm_campaign=Feed:+HackingNetflix+" target="_blank">is claiming success with the program</a>, claiming that DVD sales are up 15% following this strategy.
<br /><br />
Of course, that leaves out all sorts of important details.  Beyond the simple correlation &ne; causation issue, there are so many other variables here, I'd be hesitant to believe that the higher sales were due mostly to this delay.  Perhaps there was just a popular movie that people really wanted to own when it came out.  Or perhaps there were other promotions.  Or, maybe, it's just a dead cat bounce.  Either way, let's wait and see before declaring that pissing off your customers so much is a good idea.
<br /><br />
The best part, though, might be the confident quote from the guy:
<blockquote><i>
"You make money in the film business by putting your content in appropriate windows that matches up with the way consumers like to use it."
</i></blockquote>
Thing is, he's got it wrong.  It's not the "windows," but the different convenience and values that people consider.  You can offer "the way consumers like to use it," all at the same time, if you want.  The studios aren't doing this because they're so in love with the "windowing" system as a way to price differentiate, that they keep wanting to introduce more and more windows.  At some point they'll realize that this is really dangerous short-term thinking.  Pissing off people eventually comes back to bite you.<br /><br /><a href="http://www.techdirt.com/articles/20101005/12213211291/warner-bros-claims-that-annoying-customers-with-28-day-rental-delay-is-working.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20101005/12213211291/warner-bros-claims-that-annoying-customers-with-28-day-rental-delay-is-working.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20101005/12213211291/warner-bros-claims-that-annoying-customers-with-28-day-rental-delay-is-working.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>correlation?</slash:department>
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<pubDate>Thu, 2 Sep 2010 18:55:13 PDT</pubDate>
<title>Microsoft's Patent On Fast Shutdowns Shows Why Windows Is So Slow To Shut Down</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20100902/11511810881.shtml</link>
<guid>http://www.techdirt.com/articles/20100902/11511810881.shtml</guid>
<description><![CDATA[ A bunch of folks have sent over the story of how Microsoft recently patented <a href="http://www.conceivablytech.com/2530/products/microsoft-patents-operating-system-shutdown/" target="_blank">its method of shutting down Windows</a> (<a href="http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&#038;Sect2=HITOFF&#038;d=PALL&#038;p=1&#038;u=/netahtml/PTO/srchnum.htm&#038;r=1&#038;f=G&#038;l=50&#038;s1=7,788,474.PN.&#038;OS=PN/7,788,474&#038;RS=PN/7,788,474" target="_blank">7,788,474</a>), which plenty of people are mocking for all sorts of reasons.  Reader <a href="http://dasublogbyprashanth.blogspot.com/">Prashanth</a> points out the fact that the patent actually helps demonstrate <a href="http://dasublogbyprashanth.blogspot.com/2010/09/microsofts-ironic-shutdown-patent.html" target="_blank">why Microsoft's shut down process is so slow</a>.  The whole thing just highlights how companies these days file for completely ridiculous patents just to pad their patent portfolio, and potentially to block others from doing pretty obvious things.<br /><br /><a href="http://www.techdirt.com/articles/20100902/11511810881.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20100902/11511810881.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20100902/11511810881.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>you-need-a-patent-for-that</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20100902/11511810881</wfw:commentRss>
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<pubDate>Mon, 16 Aug 2010 09:58:22 PDT</pubDate>
<title>Freakonomics Flips The Window: Releasing Movie Online Before In Theaters</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20100815/23210410627.shtml</link>
<guid>http://www.techdirt.com/articles/20100815/23210410627.shtml</guid>
<description><![CDATA[ We've talked numerous times about the movie industry's love affair with <a href="http://www.techdirt.com/articles/20091026/0347016672.shtml">release windows</a>, where they basically try to get people to pay for things multiple times by releasing them in different formats at different times.  The first window, normally, is the theatrical release -- and the theaters go absolutely <a href="http://www.techdirt.com/articles/20100720/16430210293.shtml">livid</a> if anyone suggests shortening the theatrical release window.  Heaven forbid anyone go so far as to suggest something as "radical" as a so-called <a href="http://www.techdirt.com/articles/20050429/2327244_F.shtml">day and date</a> release, where it's released in all formats at the same time, and watch the theaters go ballistic and <a href="http://www.techdirt.com/articles/20060118/195200_F.shtml">boycott</a> the film, as a startling admission that they <a href="http://www.techdirt.com/articles/20061129/225629.shtml">don't think they can compete</a> with home theaters.
<br /><br />
So, it's quite interesting to see that the <i>Freakonomics</i> movie that's coming out in the fall is apparently going to flip the windows over.  <a href="http://twitter.com/shericandler/status/21247001895" target="_blank">Sheri Candler</a> points us to the news, as seen <a href="http://www.youtube.com/watch?v=IuGIq2cakzc&#038;feature=player_embedded" target="_blank">at the end of the movie's trailer</a>, that it's going to be released via iTunes on September 3rd, and in theaters October 1st:
<center>
<object width="560" height="340"><param name="movie" value="http://www.youtube.com/v/IuGIq2cakzc?fs=1&#038;hl=en_US"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/IuGIq2cakzc?fs=1&#038;hl=en_US" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="560" height="340"></embed></object>
</center>
Yes, it's being released online before it's released in the theaters.  This isn't exactly the first time this has been tried.  Magnolia Films, who produced the <i>Freakonomics</i> film <a href="http://www.ohio.com/entertainment/100211999.html" target="_blank">is trying something similar</a> right now with the film <i>Centurion</i>, which was released via On Demand cable systems a few weeks back, and is about to come to theaters.  Still, this is pretty big news.  In mentioning this reversed window, Freakonomics author Stephen Dubner  mentions that <a href="http://freakonomics.blogs.nytimes.com/2010/08/13/freakonomics-movie-trailer-released/" target="_blank">there's also <i>another</i> "wrinkle to the release schedule,"</a> but he's not revealing what it is just yet.
<br /><br />
I'm curious about this, because what the Freakonomics duo are famous for is exposing how "the common wisdom" is wrong on a variety of things.  I don't always agree with their analysis, but it would be fascinating to see if they're exposing that the common wisdom on movie release windows is -- as we've suggested for years -- totally screwed up.  I am curious, however, to see how the theaters handle this.  As mentioned, in the past, they've boycotted day-and-date releases, and even <a href="http://www.techdirt.com/articles/20100224/0307478286.shtml">boycotted</a> movies that they thought were coming to DVD <i>too soon</i> after the theatrical release (in that case, 12 weeks).  So, will theaters be boycotting the <i>Freakonomics</i> film?  I really don't know enough about how the film is being positioned, so if it's only in indie/art house-type theaters, perhaps it's not as big an issue.  Still, I can't see any of the big theaters too happy about these "wrinkles," even if they actually prove that theaters can get more business with simultaneous releases.<br /><br /><a href="http://www.techdirt.com/articles/20100815/23210410627.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20100815/23210410627.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20100815/23210410627.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>freakout-those-windows</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20100815/23210410627</wfw:commentRss>
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<pubDate>Tue, 23 Mar 2010 18:50:00 PDT</pubDate>
<title>Warner Bros. Latest Movie Release Strategy? Confuse The Hell Out Of The Market And Prop Up Blockbuster?</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20100323/1418578683.shtml</link>
<guid>http://www.techdirt.com/articles/20100323/1418578683.shtml</guid>
<description><![CDATA[ It's tough to figure Warner Bros. out these days.  It got both <a href="http://www.techdirt.com/articles/20100120/1853427844.shtml">Netflix</a> and <a href="http://www.techdirt.com/articles/20100216/1449188186.shtml">Redbox</a> to agree to delay renting new release movies for 28 days in an effort to get more people to purchase DVDs.  For this, it got hit with a <a href="http://www.techdirt.com/articles/20100305/1548298442.shtml">class action lawsuit</a>.  But now comes the news that it's <a href="http://techcrunch.com/2010/03/23/warner-bros-blockbuster/" target="_blank">signed a new deal with the financially troubled Blockbuster that has no such restriction</a>.  This has lots of people scratching their heads.  The obvious answer is that Blockbuster is promising Warner a lot more money...
<br /><br />
But there's a bigger issue here, which goes beyond just commentators scratching their heads: this is going to confuse a lot of customers at a time when that's the <i>last thing</i> Warner Bros. should be doing.  Your average movie renter isn't paying attention to the silly games that Warner execs are playing, and all they want to know is how come they can't rent the latest release.  If Warner somehow convinced all players not to rent until a certain date, then that would effectively have just shifted the release date further back (a dumb move in an age when windows are shrinking... but that's Hollywood for you).  However, by having the movie available for rental in some places, but not others, it's now setting itself up for mass customer confusion, where people will hear that a movie is available, but then get pissed off that it's not available in their preferred rental system.
<br /><br />
It's as if the folks in Hollywood haven't been paying attention to what happens to companies that aren't providing what their customers want.<br /><br /><a href="http://www.techdirt.com/articles/20100323/1418578683.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20100323/1418578683.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20100323/1418578683.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>at-least-that's-what-it-appears-to-be</slash:department>
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