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Sony agrees to 28-day window on new DVD releases via Netflix

Sony Pictures Home Entertainment has made a new deal with rental giant Netflix that will block the company from getting new releases for the first 28 days after launch.

The deal follows similar agreements with the other major studios Fox, Universal and Warner Bros.



Jackie Chan's "The Karate Kid" is the first film to fall under the restriction, as it was released earlier this week.

For now, the 28-day policy is only on certain titles, but it is likely Sony will eventually extend the same deal to all new releases.

Sony's deal does not affect Redbox, however, while all the other studio's deals impose the same restrictions on the kiosk chain.

The deal works for Netflix as it significantly reduces DVD costs, leaving more money free for the company's push into digital media. The peak sell-through period for new films is in the first thirty days.

Written by: Andre Yoskowitz @ 7 Oct 2010 22:52

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• 13 comments

• KillerBug

  [sarcasm]I have to wait for Sony movies? Oh, what a shame![/sarcasm]

  7.10.2010 22:54 #1

• biglo30

  28 days, hmmm could be worst I guess.
  

  7.10.2010 23:45 #2

• hikaricor

  As long as there's a month wait imposed on any form of renting I can guarantee you I will never be a customer of such a service.

  7.10.2010 23:45 #3

• KillerBug

  It isn't the fault of netflix.
  
  If all you want to rent is the latest worthless crap, then RedBox is perfect for you. Personally, I walk by the box every day...and I have only seen 2 movies that I would have willing to watch for free. If you want a good selection, netflix is the only option.

  8.10.2010 02:35 #4

• skeil909

  Won't make any difference whatsoever. People who aren't willing to get ripped off will just have to wait 28 days longer than they already have. It's pointless and mildly irritating for consumers.
  

  8.10.2010 03:13 #5

• hikaricor

  Actually it is almost entirely the fault of Netflix.
  They don't have to give in to these petty demands from the studios but they do to get easier access to distribution. They have they same rights as any individual to simply tell Sony to go fsck themselves but they caved instead.
  

  --aaron

  8.10.2010 03:45 #6

• Ryoohki

  There's no point in waiting 28 days to rent from netflix or anywhere else. It would be ripped and up on bittorrent somewhere within the first few days of the DVD being released anyway.
  

  8.10.2010 10:14 #7

• DVDBack23

  Originally posted by hikaricor: Actually it is almost entirely the fault of Netflix.
  They don't have to give in to these petty demands from the studios but they do to get easier access to distribution. They have they same rights as any individual to simply tell Sony to go fsck themselves but they caved instead. "Petty demands?"
  
  These studios were going to stop all access to their movies unless this window was accepted. Netflix gets significantly reduced prices on the deals, and reduced mailing costs as less people will be renting the new releases thanks to the window.
  
  Netflix is moving all their efforts into streaming.
  
  
  

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  8.10.2010 10:52 #8

• hikaricor

  Yes petty demands.
  
  Netflix is well with in their rights as a video rental company as long as they have a physical copy or license for each and every title they "rent". The industry trying to strong-arm them with a bunch of nonsense doesn't change the fact that they're allowed to rent out these titles. My family has owned a video and now dvd rental business in NE Ohio for over two decades so I'm pretty well read on this topic. The fact that the rental industry has gone from physical to streaming makes no difference what so ever and until the law actually changes they can't do a damn thing about it.
  

  --aaron

  8.10.2010 16:28 #9

• 20TONS

  The studios think that by imposing a 28 day waiting period will increase their bottom line on DVD sales? The only thing that will increase is unauthorized duplication.
  

  8.10.2010 22:42 #10

• KillerBug

  Originally posted by hikaricor: Yes petty demands.
  
  Netflix is well with in their rights as a video rental company as long as they have a physical copy or license for each and every title they "rent". The industry trying to strong-arm them with a bunch of nonsense doesn't change the fact that they're allowed to rent out these titles. My family has owned a video and now dvd rental business in NE Ohio for over two decades so I'm pretty well read on this topic. The fact that the rental industry has gone from physical to streaming makes no difference what so ever and until the law actually changes they can't do a damn thing about it. Something tells me that your small store has not setup streaming yet.

  9.10.2010 00:33 #11

• bam431

  What about rentals on the Playstation store. Are they imposing this policy on themselves?
  

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  9.10.2010 10:58 #12

• funkspiel

  Shelf life may improve them, time will tell.

  31.10.2010 16:26 #13