DISH Confirms Streaming Subscription Service for Blockbuster Acquisition

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May 5, 2009
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DISH Network on Tuesday confirmed what many in the industry were predicting: The satellite provider will go head to head with Netflix by launching a streaming-video subscription service via Blockbuster, which it acquired in April for $320 million.
Netflix pretty much drove Blockbuster and its ubiquitous video stores into bankruptcy, so why should we believe the former video giant could come back and rival the current champ, especially considering Netflix has well over 20 million subscribers?
Joe Clayton, DISH president and CEO, isn’t blown away by Netflix’s giant head start. "Everybody's enamored with Netflix. Who's to say we can't do the same thing?" Clayton said in an interview with the Los Angeles Times.
In buying Blockbuster, DISH certainly got access to a big movie library and has a built-in relationship with Hollywood studios. The company has also begun buying $3 billion worth of broadband spectrum. Next up will be the development of a Blockbuster-branded streaming video service. Clayton didn’t say when that will happen, but he implied that it wouldn’t be too far off.
Clayton further told the Times that his company plans to keep almost 90 percent of Blockbuster’s retail outlets open for business, but the focus will be divided among three missions: DVD rentals and sales; a potential wireless business – details are scant – and a promotional vehicle for the upcoming streaming service.
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Source: DISH Confirms Streaming Subscription Service for Blockbuster Acquisition
 
Ergan has said in the past that Dish would not want to get into a business it didn't understand, meaning not the MVPD non-telecommunications business. The question is, does anybody at Dish really now how to run retail outlets and how to use them effectively, not just for the Blockbuster business, but to also provide Dish with more business and "stealing" customers from cable or DirecTV?
 
Now what would be sweet if you could access the Blockbuster streaming directly from your Dish Receivers.
 
Blockbuster currently has VOD at competitive pricing. The problem is it isn't on every device. Their website says the app is on 125 CE devices and lists the brands. Not on Panasonic, Sony and several other devices. I just dumped the Netflix mail service for Blockbuster. There are a couple of stores within 5 miles that I pass frequently anyway. I have the first by mail DVD from Blockbuster now and will return it to a store for exchange today. Watch that tonight and swap tomorrow and on and on and... Plus you can rent games there as well.
 
I don't see PS3, X-box 360, nor Wii... absolute necessities for success IMHO.
I agree. BB really needs to get a lot more devices. I would like it on my Panny's. Another thing I'm not sure of about BB is the audio. Since it is VOD maybe they download 5.1. Netflix streams 5.1 on limited titles but not to all devices yet.
 
Scott's right. Dish got away from the foreign centers. I can't remember the last time I talked to someone at Dish that was at a foreign center. Now I'm not saying I can always understand the person on the other end but I know that they are in the states. Some people are just hard to understand on the phone no matter where they are from or what race they are.
 
Ergan has said in the past that Dish would not want to get into a business it didn't understand, meaning not the MVPD non-telecommunications business. The question is, does anybody at Dish really now how to run retail outlets and how to use them effectively, not just for the Blockbuster business, but to also provide Dish with more business and "stealing" customers from cable or DirecTV?

As far as I know, Blockbuster is still run semi-independently as a subsidiary of DISH. They have people that know how to run the retail side running the retail side. Some Blockbuster stores will also have DISH sales kiosks set up to promote service. I installed the pilot kiosk here, but they plan to add more once they get sales results.
 
I think they need to make it a month subscription for unlimited viewing, just like netflix, and add it to the Dish Receivers plus make it a part of the Dish subscription. That way they are attacking the competition of both Dish and Blockbuster. If I could get unlimited streaming on my 722k, I'd drop Netflix. Also, make a perk by dropping $5 off the Blockbuster subscription if you are a Dish sub.
 
I think Dish can have a great opportunity here to offer a system that brings tv entertainment in multiple dimensions. I would not mind paying for BB service as long as it was integrated, accessible from any where and with various devices. Some one has to come up with a model that will put it all together.

Sent from my LG-P999 using SatelliteGuys
 
I think Dish can have a great opportunity here to offer a system that brings tv entertainment in multiple dimensions. I would not mind paying for BB service as long as it was integrated, accessible from any where and with various devices. Some one has to come up with a model that will put it all together.

Sent from my LG-P999 using SatelliteGuys

Why not allow Blockbuster application on the google revue unit that is now selling at $99.00 ? If I could get instant online streaming from Blockbuster for a comparable price as Netflix , I would drop Netflix.
 

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