Hollywood's Latest Flop - The newest innovation is an internet based service called Movielink.

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Shabnam Danesh

IB Economics II

December 8th 2002

Commentary 7

Hollywood’s Latest Flop

(Stewart Alsop, Fortune, December 2002)

        It is no mystery why CD sales have dropped so significantly in recent years.  Through P2P (person to person) networks such as Morpheus, Napster, and Kazaa, there is no reason to buy a CD when one can just download it for free.  Movie studio executives fear they are next in this wave of digital sharing.  

        The newest innovation is an Internet-based service called MovieLink.  MovieLink is a service that enables customers to rent and download movies to a PC.  It was basically designed to inhibit people from pirating movies.  The prices range from $1.99-$5.45.  

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        There are many problems with this service.  The user interface is arranged in a very odd manner, with movies under genre headings, such as romance and action.  That is the only method to find movies as well.  There is no search button.  It can be inferred that most of the five studios that are running MovieLink do not know what they are doing. Also, the movie files are very tedious to download.  Movies are almost 1 GB (gigabyte) big, and even with a DSL line or cable line, it still takes an extremely long time to download.

        Another problem ...

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