20th Century Fox Pretends The Competition Doesn't Exist

from the logically-stupid dept

It was surprising a few months back, when Disney's new CEO seemed to actually grasp the challenges the movie industry faced in the digital age, and started pushing to simultaneously release movies and DVDs. It wasn't his idea originally, of course. Some smaller studios and Blockbuster Video have been pushing for the same thing. However, he was the first major studio head to support the idea. Of course, his colleagues in the industry aren't so quick to go along with it. The head of 20th Century Fox was out bashing the idea of simultaneous releases, but doing so in a way that should make you wonder where he's leading the studio. Studio Co-Chairman James Gianopulos downplayed the idea by saying: "You can never compete with free." It's scary that this is the person who is supposed to be setting the strategic direction of a major film studio -- because he doesn't seem to realize the industry he's in. First of all, he's already competing with free. It's out there. More importantly, though, of course you can compete with free. It happens all the time -- and you do it in one of two ways: (1) you offer something better and/or (2) you incorporate the free into your marketing strategy. With movies, both of these are easy to do. They can make the movie-going experience much more enjoyable. They can offer all sorts of extras with the DVD. Hell, they can offer the DVD to people who actually go see the movie for free or at some discount. To say that "you can't compete with free" when you have to compete with free shows a lack of understanding of just what marketplace he's really in.

Reader Comments

Subscribe: RSS

View by: Time | Thread


  1. identicon
    Wyndle, 2 Dec 2005 @ 9:56am

    Re: Can't compete with free?

    To add to the examples, why pay a server to host your webpage when you can set up a Linux/Apache2 machine for the cost of hardware and internet connectivity that you already pay for? Why pay to have a sweaty person prepare fried catfish for you when you can get it for the cost of the oil and flour.

    99.9% of free things have an alternative that the majority pay for. Air to breath is one exception, and with polution trends that may not hold up long, they already have air booths in Mexico City.

Add Your Comment

Have a Techdirt Account? Sign in now. Want one? Register here
Get Techdirt’s Daily Email
Use markdown for basic formatting. HTML is no longer supported.
  Save me a cookie
Follow Techdirt
Insider Shop - Show Your Support!

Advertisement
Report this ad  |  Hide Techdirt ads
Essential Reading
Techdirt Deals
Report this ad  |  Hide Techdirt ads
Techdirt Insider Chat
Advertisement
Report this ad  |  Hide Techdirt ads
Recent Stories
Advertisement
Report this ad  |  Hide Techdirt ads

Close

Email This

This feature is only available to registered users. Register or sign in to use it.