Some Universal movies to hit iTunes 17 days after debut at AMC theaters

Posted:
in iPod + iTunes + AppleTV edited July 2020
A new deal between Universal Pictures and AMC Entertainment Holdings shortens the theatrical window of movies to 17 days, down from the long-standing 75-day industry standard.

Trolls World Tour on iTunes


Under the arrangement, Universal movies that make a theatrical debut at AMC theaters will be available through online services like Apple's iTunes just two and a half weeks later, reports The Wall Street Journal. The greatly reduced theatrical window settles a disagreement between the two companies over how long studios can wait before marketing new films on digital platforms, the report said.

Over the past few months, Universal has toyed with the idea of simultaneously releasing movies in theaters and through digital outlets like iTunes. AMC, the world's largest theater chain, opposed the move and in an an open letter to Universal Chairman Donna Langley in April accused the studio of defaulting on previous agreements.

"AMC believes that with this proposed action to go to the home and theatres simultaneously, Universal is breaking the business model and dealings between our two companies," Adam Aron, CEO of AMC Holdings, wrote at the time. "It assumes that we will meekly accept a reshaped view of how studios and exhibitors should interact, with zero concern on Universal's part as to how its actions affect us."

As noted in today's report, however, the ongoing coronavirus pandemic has kept most theaters closed, leaving studios to seek out viable near-term alternatives. Universal in April tested the waters by releasing "Trolls World Tour" as an online rental, skipping a scheduled theatrical bow. The film generated $100 million in its first three weeks of availability, the report said.

Aron in a written statement said AMC "enthusiastically embraces this new industry model," noting that Universal films will be exclusive to theaters for three weekends, a period that typically accounts for a majority of a movie's box-office revenue. Following the shortened window, new releases will be made available on iTunes, Amazon and other outlets including AMC's own AMC Theatres On Demand streaming platform.

If successful, the strategy might be adopted by other film studios and movie theater chains.

Comments

  • Reply 1 of 10
    XedXed Posts: 2,519member
    This was inevitable, but I thought they'd take longer to realize that streaming profits are their future
    narwhalrazorpitwatto_cobra
  • Reply 2 of 10
    iOS_Guy80iOS_Guy80 Posts: 809member
    I doubt that I’ll ever see the inside of a movie theater again.
    narwhalwatto_cobra
  • Reply 3 of 10
    entropysentropys Posts: 4,152member
    I think it means more for DVD sales than cinemas. 
    Cinemas became dead to me once they started charging as much for a visit as putting my first borne through private school.
  • Reply 4 of 10
    XedXed Posts: 2,519member
    entropys said:
    I think it means more for DVD sales than cinemas. 
    Cinemas became dead to me once they started charging as much for a visit as putting my first borne through private school.
    You still buy DVDs?
    watto_cobra
  • Reply 5 of 10
    boltsfan17boltsfan17 Posts: 2,294member
    Xed said:
    entropys said:
    I think it means more for DVD sales than cinemas. 
    Cinemas became dead to me once they started charging as much for a visit as putting my first borne through private school.
    You still buy DVDs?
    I still buy 4K Blu-Ray discs. Physical media is still way better in picture and audio quality compared to streaming. 
    razorpit
  • Reply 6 of 10
    razorpitrazorpit Posts: 1,796member
    Xed said:
    entropys said:
    I think it means more for DVD sales than cinemas. 
    Cinemas became dead to me once they started charging as much for a visit as putting my first borne through private school.
    You still buy DVDs?
    I still buy 4K Blu-Ray discs. Physical media is still way better in picture and audio quality compared to streaming. 
    And you don't have to worry about it disappearing.
    watto_cobra
  • Reply 7 of 10
    zoetmbzoetmb Posts: 2,654member
    AMC is insane.  They just signed the death warrant for theaters.   Exclusive theatrical windows shouldn't be shortened, they should be lengthened, especially because of COVID.  When theaters reopen, they'll probably only be permitted to fill 30-40% of the seats, so they need more time for the film to play, not less time.  

    And unless AMC is getting a piece of the streaming revenue, I don't understand what's in it for them.   Why did they cave?    

    The end of theaters will mean the end of big budget films.   Some people might see that as a good thing, but eventually, everything is mostly going to look like "straight to DVD" films.   Also, you can't tell me that watching a film on a device is anywhere near the quality of watching in a decent theater.   Only a very small percentage of people have even a sound bar, never mind a full fledged audio system and even a 65" TV is not the same experience as seeing a film in a good theater (IMO) and only a very small percentage of people watch on a calibrated device.     

    watto_cobra
  • Reply 8 of 10
    zoetmbzoetmb Posts: 2,654member

    Xed said:
    entropys said:
    I think it means more for DVD sales than cinemas. 
    Cinemas became dead to me once they started charging as much for a visit as putting my first borne through private school.
    You still buy DVDs?
    I still buy 4K Blu-Ray discs. Physical media is still way better in picture and audio quality compared to streaming. 
    True, but that market is in severe decline and UHD Blu-ray has never done well.   In a typical week (in North America), 4K commands about a 10% share of the top 20 titles and 4% of the top 50.   And overall, the Blu-ray business has declined from $2.3 billion (at list prices) in 2013 to $1.6 billion in 2019 and 2020 is running about 22% behind 2019.  

    I'm not sure the average person can detect the difference between streaming and Blu-ray, especially since most don't have decent audio and they watch on uncalibrated TV's.   And unlimited streaming for a relatively low monthly fee is a big draw.   I own a few hundred Blu-ray titles, but it's been a long time since I've bought anything new because there's nothing I don't already have that I think I'm going to want to see more than once and if I'm not going to watch it more than once, I don't think it's worth owning.   I barely ever watch the titles I do own. 
  • Reply 9 of 10
    zoetmbzoetmb Posts: 2,654member

    entropys said:
    I think it means more for DVD sales than cinemas. 
    Cinemas became dead to me once they started charging as much for a visit as putting my first borne through private school.
    Please. The average price of a movie ticket in the U.S. is about $9.60.   It is far higher in big cities, but before the pandemic, AMC, the largest chain, had a membership program where for about $22 a month (depending upon the city), one could see up to three films a week, including IMAX and Dolby.   That was a great deal.   The other chains had similar programs.     

    I suppose you'll argue that the snacks are too expensive.   Yes, they are.   I've never understood why Americans can't go 2 1/2 hours without eating absolute crap.   I never buy any snacks when I go to a movie.  I eat before or after at a decent place. 
    Xedwatto_cobra
  • Reply 10 of 10
    saareksaarek Posts: 1,520member
    I’ve been to the cinema once in two years. The pricing, both for the food and the individual tickets is just insane now.

    In our area (in U.K.) Cineworld have a monopoly by owning both local cinemas. As such they want £10.60 a ticket.

    To take the family out costs £40 just for the 4 tickets, add on the popcorn & a drink (yes, I know it’s optional, but it’s also kind of part of the experience) and you’re looking at £70+ ($90) to take the family out to see the latest Disney, or whatever. Absolute rip off.

    I’m perfectly happy to see cinemas close and to pay just £15 to stream the latest release at home. Sure, my 4K Panasonic 55” TV & SoundBar won’t reproduce the cinema experience, but at £55 less for the family to watch a film and eat popcorn it’s certainly good enough!
    edited July 2020
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