Download-to-own' is key to future of the film and TV industry

ScreenDigest: New Internet and mobile video services will pose an increasing challenge to the traditional film and TV industry. The way forward lies in developing effective digital download-to-own services that mimic the DVD business model that has generated billions of dollars of profit for movie studios and broadcasters.

Sometimes called 'electronic sell-through' or 'digital retail', the download-to-own business model allows companies to charge a higher price (and hence extract a better profit margin) than other forms of video-on-demand. Pioneering examples of such Internet services include Movielink – a joint venture founded by a group of the largest Hollywood studios, the new UK venture recently announced by Universal Studios and new entrant LoveFilm and the German In2Movies offering being established by Warner Bros. Critical to the success of these new Internet video-on-demand ventures will be the deployment of flexible and robust digital rights management (DRM) systems. This year will be the first year that Internet video delivery really starts to take off. Powered by DRM technologies, the telcos and big Internet players, together with hungry new Internet start-ups, will challenge the traditional gatekeepers commented report . The fact that DRM was discussed at the recent world Economic Forum in Davos underlines its critical importance, said Barlas. . Digital Rights Management and New Entertainment Business Models

Publ 20060405 DRM? Wikipedia ; Red Viking