Disney just released this summer's blockbuster The Avengers for the home market, and it's likely to sell a ton of DVDs. But if it does, it'll be a rarity: DVD sales have been slowing for years now. That's bad for Hollywood, but it could be financially good for you.
Walt Disney is increasing the wholesale prices it charges for DVDs to movies-by-mail leader Netflix and movie-rental kiosk operator Redbox. Disney is looking to benefit further from being the only major studio to sell DVDs to the companies for rental the day they go on sale to the public.
That's the price tag for a Prima Cinema system that'll let you watch the latest releases at home from day one. The cost is sure to keep the market small, for now at least. The promise is that this is just the first step to more widespread at-home distribution.
Under the renewed agreements with the studios, there's a 28-day window in which new-release DVDs won't be available on Netflix. This echoes a similar deal the online movie rental service struck with Time Warner in January.
