Fox Looking at Premium VOD Film Releases for Around $30
Film unit CEO and chairman Jim Gianopulos also sees no evidence of cord cutting
NEW YORK - News Corp.'s film unit is looking at premium VOD film offers for around $30 price and about 60 days after theatrical releases, Jim Gianopulos CEO and chairman of Fox Filmed Entertainment said Thursday.
Speaking at the Deutsche Bank Media & Telecom conference in a session that was webcast, he said that the premium VOD window, which various studios are eyeing for a possible 2011 launch, will provide "unique value" for consumers and extra revenue for the studio.
And he said that while theater operators have expressed concern, if positioned correctly, the offer will work out well for all.
Digital and Blu-ray have seen strong growth this year and will help to eventually return the home entertainment business to growth, Gianopulos also said.
Discussing the debate over potential "cord cutting" by cable subscribers, the executive said "we don't see evidence" and suggested that broadband video alternatives can't substitute for multichannel TV subscriptions.
Hulu and other sites help consumers catch up with shows they have missed and discover shows "without upsetting the equilibrium." Similarly, Netflix's streaming service has no live events, sports and other popular programming.
Gianopulos argued that people "understand the unique value of cable subscriptions," and at about 25 cents or less per hour, cable is still among the cheapest forms of entertainment.
He also said that the industry will manage release windows without upsetting established relationships and revenue streams and instead "maintaining world peace in the media eco-system."