For the next fours years, any film released by Weinstein Co. will only be available for rental at Blockbuster (and especially not Netflix). What a stupid deal. I wonder what the filmmakers think of this, which will effectively limit the reach of their films (despite the positive spin Blockbuster and the Weinsteins want to put on this).
Edward Jay Epstein examines where it all went wrong for Blockbuster Video. Blockbuster had an opportunity to have rental pricing for DVDs like they did with video, but they turned the deal down and the studios priced DVDs for retail instead and have been minting money with that scheme ever since.
There's a rumor that Blockbuster may stop offering online rentals. The folks at Netflix must be beside themselves with glee.
