More 'Discs are Dying' BS13 Dec, 2010 By: Thomas K. Arnold
The barrage of reports in the press that DVD and even Blu-ray Discs are relics of a bygone era and everything's moving to the Internet would have you believe that all of us in the home entertainment business had better look for new jobs.
The 24/7 Wall St. website even went so far as to post a story on "The Five Businesses That Killed the DVD" (to read it, click here), even though two of those businesses, Netflix and Internet-enabled Blu-ray Disc players, are actually helping the disc stay alive. Despite lots of talk about streaming, Netflix is still very much a disc-based rental service, and while consumers seem to be enjoying the ability to stream movies as well, a point could be made that we won't know how deep that enjoyment runs until Netflix starts charging consumers for the privilege instead of letting them stream away for free. As for Internet-enabled Blu-ray Disc players, the whole idea of letting consumer hook up their players to the Web is to provide them with updated materials and content to supplement what's already on their disc.
It's sort of like what we're seeing in the game world: My sons, and millions of kids and young adults like them, play Call of Duty: Black Ops online, with an ever-widening circle of friends, both real and cyber. But to do so they still had to buy the disc, $650 million worth in just five days.
My point here is that while Web-based viewing, downloading and networking very well could be the wave of the future, it doesn't necessarily mean packaged media is doomed. The two don't need to be mutually exclusive.
And for those who call me an old fogey and insist "it's a generational thing," let me say this: My 8-year-old records "Spongebob" episodes from the TV and, when I'm not looking, tries to watch "South Park" episodes on YouTube. But he also covets his brother's cherished set of "Futurama" discs, housed in a huge plastic "Bender" case, and put on his Christmas list "South Park DVDs."
My two older boys, who have effectively shut little Hunter out of their lives, also enjoy YouTube and Hulu. But on weekend nights, one or the other comes downstairs and retrieves a couple of Blu-ray Disc or DVD movies to watch with his brother.
Sometimes they invite me to join them, but lately I've been declining: I'm too busy watching those wonderfully restored "Perry Mason" DVDs on the 65-inch plasma TV in our family room.
And apparently I'm not alone. We all know what a huge success Black Friday was, with consumers snapping up a grand total of more than 50 million discs, according to studio reports. Granted, most of them were purchased at rock-bottom prices, but the concept of going out and buying entertainment on a disc doesn't appear to be nearly as strange or foreign as some of these media reports suggest.
Peaceful coexistence. That's how I view the physical and digital worlds. And the moment someone proves me wrong is when I'll start updating and sending out my resume.