Once again, Big Media shows that it doesn’t want to share its profits with anyone else. Today’s action by the MPAA representing the major movie studios undercuts the entire process of theatrical release. It would put the struggling theater chains virtually out of business.
Washington, D.C. – In a filing today with the Federal Communications Commission, the Motion Picture Association of America, Inc. (MPAA) reinforced the benefits of allowing studios the option of sending movies fresh from the box office to tens of millions of American households.
“Many of us love movies, but we just can’t make it to the theater as often as we’d like. That is especially true for parents of young children, rural Americans who live far from the multiplex and people with disabilities that keep them close to home,” MPAA Chairman and CEO Dan Glickman said. “Having the added option to enjoy movies in a more timely fashion at home would be a liberating new choice.”
In its filing, which was in response to letters of opposition filed by the group Public Knowledge, the MPAA said: “grant of the waiver would for the first time allow millions of consumers to view high-value, high-definition theatrical films during an early release window that is not available today. MPAA has explained that release of this high-value content as part of an earlier window, especially with respect to movies released for home viewing close to or even during their initial theatrical run, necessarily requires the highest level of protection possible through use of SOC.”
SOC, or selectable output control technology, would allow televisions with digitally secure interfaces to receive first-run, high-definition content from a cable or satellite provider. Using SOC protects content because it essentially disables non-secure, analog outputs to avoid illegal circumvention and distribution of copyrighted material. These outputs would be disabled ONLY with respect to the proposed new content, and this technology would NOT have any impact whatsoever on the ability of existing devices to receive all of the content that they get today. Consumers will continue to have access to everything they have today, including DVDs, Netflix, etc.
The MPAA filing noted: “By Public Knowledge’s odd reckoning, however, no consumer-oriented technological breakthrough ever could be introduced to American homes unless and until every single American home had access to the same opportunity at the same moment in time. That is a recipe for holding every innovation hostage until the last consumer adopts a new technology.
“Under Public Knowledge’s approach, the Commission would have taken decades to permit television stations to broadcast in color, since millions of American homes already had purchased black-and-white sets when color broadcasts were introduced in the 1950s. Indeed, whenever innovative technologies bring consumers new and better opportunities to media content, there is always a lag between when early adopters take advantage of these opportunities and when they become ubiquitous.”
Glickman added: “I, like most movie-goers believe the best way to enjoy a movie is to go to the theater with friends and share a communal laugh or adventure together. But I also believe there is ample room for additional choices that satisfy consumer demand to enjoy movies in diverse new ways. If allowed by the FCC, I believe this new choice will be just one of many exciting innovations to come that benefit consumers and sustain the future of this unique creative medium.”
Editor-in-Chief Nikki Finke - tip her here.





Are they going to change Rule 12 now?
Yes. This was predicted years ago. About time. May the FCC approve it!
To clarify, studios envision the early window will not harm the theatrical distributors and will give consumers a new option to consume film content. If you look at articles about this in the press, the early window would be at minimum two months after theatrical release, when the vast majority of films have been kicked out of the theaters. The idea would be to capture the market of people who don’t go to the movies but are willing to pay a premium for an early home entertainment window (e.g. parents with kids, home theater buffs, etc.)
If its 2 months then fair enough most movies finish their run by then,but if its opening day forget it!
and how convenient for the studios that the biggest cuts for actors, writers, and directors occur during a movie’s theatrical run.
Exactly, it the end of the glamor, mystery, gossip and creative fule that made the movie industry.
That is just wrong,wrong wrong of the mpaa,this would be the beginning of the end of the cinema going experience and give piracy another string to their bow wholesale.
Sorry, but it’s hard to feel sorry for big theater chains which have gotten consistently worse over the years. They sealed their own fate with bad service, poor projection and sound, nasty food, and apathetic staff who refuse to do anything about rude audience members texting and talking during a movie. People should have the option of going out or staying home, especially when quality home theaters are becoming more common. If anything, this competition will force theater owners to step up their game. Sure it might kill off the bad chains, but good ones which actually care about the viewing experience (like the Arclight) could potentially thrive, and it might make going OUT to the movies special again. I never thought I’d say this, but GO MPAA.
I can’t give you a big enough “Hell yeah!” for this. I completely agree, 100%.
COULD NOT AGREE MORE CHUCK!
Well Chuckie, what you don’t understand is that the lions share, some 80% of the box office receipts go back to hollywood so explain to me how the theatres are suppossed to give you this great quality of service, food selection and security at discounted prices when Hollywood is keeping all the profits. Is easy to pass judgement when you are naive about the facts, but look under the covers every once in a while before you open your mouth. The theatres need to charge higher prices to turn a profit and keep the lights on, unfortunately in this world private business still needs to prosper, we can’t all suckle off the nuturing teet of our government. Once we run all the private business out and job loses mount and teh great depression follows we will all be saying, wait what happened here. You slow mo, your what happened, wake up jack ass.
This is insane. Stabbing your primary, and most effective distribution channel in the back does not make any commercial sense. Theatres are the only distribution channel that cannot be pirated and downloaded. DVDs can be copied and downloads ripped – the theatre experience cannot be recreated at home. Why would the studios want to do anything that would further endanger the beleagured chains? History has shown that when times get tough the best way to survive is to innovate and collaborate, not to get the knives out and cut each other’s throats.
What a wonderful theatrical experience! I get to sit next to strangers who don’t know enough to shut up and turn off their phones. They smuggle in aromatic food and insist on disturbing everyone by arriving after the feature starts because “we don’t like to watch commercials.” They kick the chairs and congratulate themselves when they recognize cameos.
Sad to say, I have to agree with you here, George. I’ve been a lifelong movie goer (I’m 45) but going to the movies the past few years has been brutal and expensive. The texting, the commenting on the movie, etc.. enough already.
And that’s in LA, too. At an awards consideration screening of A Single Man some punk had the temerity to come in ten minutes after the first reel started spinning and ask me to move over a seat so he could sit next to whatever nubile and willing young thing he was hanging with, and when I told him he was interrupting my movie, he called me an a-hole. They got seats next to each other in front.
If he’s reading this, next time show up early if you want sweet seats. Rude.
Oh, and A Single Man was ill-written, ill-directed, ill-edited and incredibly self-indulgent. At least the first 30 minutes or so. It was so bad, I walked out.
Honest question: Why does the MPAA have to concern itself with the business models of another industry? If there’s more demand for its product in a different business vertical, why shouldn’t it move into that vertical? If I was paying to build cars and one dealership is selling more cars than another, is it betrayal or just good business sense to give the better selling dealer more cars more quickly?
This will be interesting. Major chains already are very strict on video and VOD windows. To move theatrical into a 15-30 day window will upset the entire jury rigged structure. Who gets hurt more -home video, theatres or producers? One more step into making filmed content advertiser supported and free like TV-maybe the logical outcome.
But it’s hardly a problem of sharing profits-the theatrical system is rarely a profit center and is almost always a huge expense that must be witten off very quickly.
It will be intersting.
Spoken by a true idiot who really knows nothing about the industry. What do you think drives the business? It will stop being cinema and become just TV.
“Big Media” already shares lots of its profits: talent, etc. Watching first run features at home would be an enormous convenience to many consumers and may ultimately expand audiences. Theatrical runs would continue – theatre chains would likely shrink. So what? As for SOC, it won’t stop piracy, and if Hollywood has learned anything from the music business, it would realize DRM solutions are a distraction from the challenges ahead.
As a parent of 2 young children who used to see most movies the Friday of release, I would welcome the chance to avoid $85.00 on a babysitter. I see 80% less films theatrically these days and that’s money neither the studios nor the exhibitor is getting anymore.
Mr. Glickman,
As a blind person with mobility problems who lives in a rural area I would like to tell you to shove your false, self serving “concern” for me in each and every putrid orifice of your greed riddled anatomy. There are plenty of ways for even the most seriously disabled to get to films if they want to, those that cannot under any circumstances likely have similar issues making it as difficult to enjoy films at home, and even small theater chains are more than happy to make reasonable accomodations to allow their disabled patrons to get in the theater and enjoy the movie. After reading how you are trying to use me and others like me in this attempt to destroy an entertainment institution that I personally hold dear, I find myself overcome with the need to bathe several times in hopes of getting the slimy feeling off of my skin. Going to the theater, despite the stress and effort required is one of the things in my life that helps keep me from becoming an agoraphobic shut-in and you want to take it away, using me as one of the excuses for doing so, for the enrichment of yourself and your cronies. While bringing down the theater system might put more money in your pocket in the short term, it could very easily turn the entire industry into one big direct to video wasteland, destroying what little remains of a great art form. Instead of shooting yourselves in the foot for short term gain, you should be thinking of ways to build the theater experience back up. I don’t know why corporate brains have such trouble with the concept of long term thinking. if you help make the theater chains, big and small more profitable and attractive to moviegoers in the long run your books will flow with much more black ink. Instead you look for the immediate gain without any care for the long term consequenses and try to make yourself look like a real hero to the poor masses who neither want nor need your self-serving efforts.
This will only hurt the little guy. People who live in a big city do not care they have a regal house or AMC but to people who want the smaller chains are in for a surprise the day of a small town having a movie will be gone forever
I think studios need to go back to an all theatrical model, like they had in the 70′s. Just stop putting anything out on DVD or VOD or this SOC bull – like the pirates won’t be able to bust that open. Piracy is bad, but it’s worse when Tower Records closes. The trouble with VOD is there’s limited shelf space, from the point of view of studio.
Good call. While we’re at it, we should all go back to riding horses instead of cars — no more nasty greenhouse gases. I miss the old tack and feed store.
This was bound to happen eventually. Let’s be honest: who goes to theaters these days? Teenagers (the malls do close at 9), twentysomethings on dates (good to have something to do that doesn’t necessarily require talking on those first few dates), and families with young kids (it’s cheaper than Chuckie Cheese and gets the kids out of the house).
People over 25 without school-age children don’t go to the theater; they put things on their netflix queue. The people who go to the movies will still go because it’s a social event; this is mostly going to attract people who don’t go to the movies anyway.
And if movie theaters want more people to go, then try making it more adult-friendly. Like, have ushers to tell those texting teens to put their damn cells away or take crying babies out into the hall. Have decent snacks (especially if you’re going to charge an arm and a leg for them). Otherwise, I have a great home entertainment system, and when I do go out, I have lots of other options.
This is great news. The theater going experience is annoying and expensive and has driven away hardcore cinephiles like me. There are no “grand theaters” worthy of landmarking which were built in the last 50 years so if AMC shuts down a few buildings… so what? The potential upside could be real competition so that the theaters have to LOWER PRICES.
In case you haven’t heard, price is everything these days. Seeing a marginal but good movie for $4 or $5 versus a blockbuster AVATAR for $12 makes more sense then their current pricing which permits only blockbusters and teen horror to thrive.
I think this is great news, other than profit participants (actors/writers/directors/producers) will get f-ed. But the lawyers will straighten that out eventually.
Well, it all started with the first Betamax machine and here we go! The move from theater to home has been in the works for 30+ years. People are linked, wired and Wi-fied with their wide screen and suround sound and with more Blu-ray players with internet streaming being the most popular choice….well, what do ya think?
What is the difference between what this will do and a ‘straight to DVD’ release?
For millions of movie fans, the theatrical “cinematic” movie experience is not so special. I used to be a strong proponent of the philosophy that the best way to experience a movie was in a theater with an audience. I no longer feel that way, and haven’t for years, and I’m not alone. It’s not the MPAA’s job to keep movie theater chains in business. Theaters that understand how to present a “quality” communual viewing experience (like the ArcLight in LA) will find a way to stay in business, as many people will always prefer theaters and theaters are popular for other reasons (a night out; time with friends; romantic dates, etc). But millions of folks like me, can’t wait to watch first run movies on a 50-inch Plasma screen at home, with the food and beverages of my choice, and to share the experience with a handpicked audience of friends.
The last time I went to a grown-up first-run movie I sat in a crowded house next to a senile old bastard who had to repeat every line of dialogue to his deaf wife. I could have gotten up and moved, but decided to sit and suffer and memorize the experience so I would never go again. (A friend convinced me that all my previous bad experiences were flukes, and talked me into it. That friend knows better now.)
Even though I don’t have a fancy system, I enjoy movies on my 24 inch iMac screen, sitting in my own comfortable chair with headphones. I don’t have to sit near people who smuggled in food or were too cheap to get a baby sitter. I get to eat my own healthy dinner, start the movie when I want, and pause it if I need to go to the bathroom.
Somehow, i think I can live without the audience experience.
MPAA must realize that not EVERY household in America has or can afford Home Theater HD systems or the peripheral technology to provide a household with the equivalent movie going experience one gets in a theater especially with the new 3D productions and IMAX. The MPAA has, to me, been an archaic organization for decades. I think the FCC should consider disbanding the MPAA altogether, let the studios take responsibility for themselves and their product and stop dictating to the movie going public what they think they should see!
I used to love going to the theater. the big screen and surround sound were amazing.
Now, you have to suffer getting eyes and ears burned out prior to the film by endless ads and promos. I like promos, but once the film starts, you’ve already been flashed, bumped and thumped.
It’s like going to McDonalds before eating at a fine dining establishment, or doing beer bongs before a wine tasting.
MPAA screws everyone. Any student of theaters vs. studios is not surprised at this.
If the movie’s really special, I’ll suffer the ads and boom-boom, but if it’s not a sci fi epic, home with the blu ray.
This is mostly a non-story. Going out is an American pastime. Going out to eat, going out to the movies, it’s never ever going away. It may diminish as people find more convenience at home with digital distribution, but this experience of going out and even sharing the experience with an audience is woven into the fabric of our way of life.
What would be a groundbreaking story is if the industry finally decides to innovate in the internet age, instead of clinging to old world business models on disc-based media sales. Thankfully, we have Netflix and iTunes able to get us part way there. The best thing the movie industry could do for themselves… lead the effort to repeal the DMCA.
Why can we digitize our music library, but not our movie library? Why do we have to dig through discs? It’s archaic. Give me a break.
If the entertainment industry had even a fraction of the foresight that Apple had, they would be making all that money on digital downloads. People want convenience. What we want, when we want it. If the industry can’t offer it, someone else will.
Dan Glickman just sold his soul to save his job. You see Dan is not his own man- he’s just a puppet for the studios. Dan does whatever it is that the studios want so he can keep his ultra cush-cush job.
Oh Dan, say it ain’t so- but you can’t because it is so. Tisk Tisk Dan on ya.
Hey, great! Let’s just finish killing off the movie business!
We’ll all be working in television much sooner than I thought.
…but isn’t the common wisdom that the television industry is dying too? Or is that just network television?