The Complicated History of Renting Movies

Burback
30 Apr 202429:04

Summary

TLDRThe video script narrates the evolution of the film industry and how it has adapted to technological advancements over the past century. It begins with the early 20th century when movies were a weekly communal experience at theaters. The advent of television posed a threat, leading to a decline in theater attendance. The industry responded by screening movies on TV, splitting them with commercials. The introduction of VHS and Betamax revolutionized home viewing, despite initial resistance from studios. The rise of video rental stores like Blockbuster and Hollywood Video created community hubs. However, the internet and streaming services like Netflix further transformed consumption, leading to a current landscape dominated by a few major corporations. The script highlights concerns over the impact of streaming on the diversity and accessibility of content, and the power these corporations hold over the film industry's future.

Takeaways

  • 📺 The evolution of movie watching has shifted from theater-only experiences to various home entertainment options, reflecting changes in technology and consumer preferences.
  • 🚀 Streaming services like Netflix began as alternatives to cable and renting, promising a vast library of content with the freedom to watch anytime, anywhere.
  • 📉 The rise of streaming platforms has led to a decrease in movie theater attendance and a consolidation within the entertainment industry, with major corporations owning multiple streaming services.
  • 🎥 The film industry has had to adapt multiple times over the past century due to technological advancements, from the advent of television to the proliferation of streaming services.
  • 🏠 Home video rentals, which started with VHS and Betamax, revolutionized the way movies were consumed, allowing viewers to enjoy films in the comfort of their own homes.
  • 📦 The introduction of DVDs and Blu-rays further changed the home viewing experience by offering higher quality and additional features compared to VHS tapes.
  • 🌐 The internet has had a profound impact on the movie industry, with online platforms like Netflix and Amazon Prime Video offering streaming services that compete with traditional movie rentals.
  • 📉 The convenience of streaming services has led to a decline in physical media sales and rentals, as well as a shift in how movies are financed and produced to cater to these new distribution methods.
  • 🤝 Major media mergers and acquisitions, such as Disney's purchase of 20th Century Fox, reflect the industry's response to the changing landscape and the desire to control content across various platforms.
  • 🚫 There are concerns that the consolidation of power in a few corporations could lead to censorship and a reduction in content diversity, with decisions driven by profit rather than artistic merit.
  • ❓ The future of film distribution and consumption remains uncertain, with ongoing debates about the balance between accessibility, artistic freedom, and the financial viability of the industry.

Q & A

  • How has the method of watching movies at home evolved over the past century?

    -The method of watching movies at home has evolved from going to the theater, to television broadcasts, VHS rentals, DVD purchases, and now streaming services. Each shift has been driven by changes in technology and consumer preferences.

  • What was the initial reaction of the film industry to the advent of television in the 1930s?

    -The film industry was concerned about television and the Motion Picture Association even stated in 1939 that television should not be accepted as a means for viewing content at home instead of in theaters.

  • How did the major movie studios maintain control over American entertainment in the early 20th century?

    -Major movie studios like Paramount, 20th Century Fox, Universal, Columbia, Warner Brothers, and MGM maintained control by also operating and owning movie theaters, which gave them a monopoly over distribution.

  • What significant change occurred in the film industry after World War II?

    -After World War II, there was a significant drop in movie theater attendance as Americans began to prefer watching television and the newly emerging medium became a direct competitor to the film industry.

  • How did the introduction of the VCR and the concept of home video rentals impact the film industry?

    -The introduction of the VCR and home video rentals allowed consumers to watch movies at home, which led to a decline in theater attendance. Studios initially resisted this change but eventually adapted, with some, like Disney, creating strategies like the Disney Vault to control the release and availability of their films.

  • What was the impact of the rise of cable TV and movie subscription channels on the film industry?

    -Cable TV and movie subscription channels like HBO and Showtime provided an additional revenue stream for the film industry by offering ad-free movie watching experiences. This also led to the production of made-for-TV movies and shows, further diversifying the industry.

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  • How did the emergence of video rental stores like Blockbuster change the movie-watching experience?

    -Video rental stores made it more convenient for consumers to watch movies at home by renting them. These stores became community gathering spots and contributed to the social aspect of movie-watching.

  • What was the significance of Netflix's shift from DVD rentals to a streaming service?

    -Netflix's shift to a streaming service marked a major change in how consumers accessed movies and TV shows, making it easier and more convenient. This move also positioned Netflix as a major player in the entertainment industry, eventually becoming a content producer itself.

  • How have recent mergers and acquisitions among major entertainment corporations affected the film and TV industry?

    -Recent mergers and acquisitions have led to a consolidation of power among a few major corporations, which now control a significant portion of content production and distribution. This has raised concerns about the potential for reduced diversity in content and increased control over what consumers can watch.

  • What are the concerns regarding the current state of the film industry with the dominance of streaming services?

    -There are concerns that the dominance of streaming services could lead to a reduction in the diversity of movies and TV shows produced, as well as the potential for popular but non-mainstream content to be removed without notice. Additionally, there is worry about the ability of a few corporations to control the visibility and availability of creative works.

  • How has the evolution of movie distribution methods impacted the cultural significance of film?

    -The evolution of movie distribution has shifted the cultural significance of film. While streaming services have made content more accessible, they have also reduced the communal aspect of movie-watching that was prevalent in theaters and rental stores. The industry's focus has also shifted towards content that appeals to a broader audience on these platforms.

Outlines

00:00

🎥 The Evolution of Home Entertainment

This paragraph discusses the journey from the simplicity of early 20th-century cinema experiences to the complex, multi-platform streaming landscape of today. It highlights the shift from weekly movie theater visits to the advent of television, the response of movie studios to these changes, and the rise of home viewing alternatives like VHS, DVDs, and streaming services. The paragraph also touches on the impact of World War II, the dominance of a few major studios, and the introduction of Netflix as a game-changer.

05:00

📺 The Impact of Television and Antitrust Laws

The second paragraph delves into the concerns of movie studios regarding the rise of television and the subsequent drop in theater attendance. It covers the introduction of anti-trust laws that led to studios divesting their theaters and the adaptation of the film industry to the new medium. The narrative also includes the public's growing preference for home entertainment, the first instances of movies being aired on TV, and the creation of made-for-TV movies due to a lack of available film properties.

10:01

📼 The Advent of Home Video Recording

This section explores the introduction of the Betamax and VHS technologies and their significant impact on the film industry. It discusses the legal battles between Sony, Universal, and Disney over home video recording capabilities, the shift in power from movie studios to electronics manufacturers, and the emergence of video rental stores like Video Club of America. The paragraph also mentions the innovative business model of selling and renting movies on VHS tapes, which revolutionized how people consumed films at home.

15:03

🏰 Disney's Vault and the Rise of Video Rental Franchises

The fourth paragraph focuses on Disney's unique strategy of controlling the supply and demand of their films through the Disney Vault, creating a sense of urgency and collectibility around their releases. It also discusses the rise of video rental franchises like Blockbuster and Hollywood Video, which became social hubs and contributed to the community experience of movie watching. The paragraph highlights the nostalgia associated with visiting these stores and the business strategies that made them popular, such as partnerships with pizza chains.

20:03

📀 The DVD Era and the Emergence of Online Rentals

This part of the script covers the transition from VHS to DVDs and Blu-rays as the preferred formats for home movie viewing. It discusses the convenience and technological advancements that DVDs brought to the table. The paragraph also introduces online movie rental services like Netflix and GameFly, which further changed the landscape by eliminating the need for physical trips to rental stores and introducing monthly subscription models.

25:03

🌐 Streaming Services and the Future of Entertainment

The final paragraph discusses the rise of streaming services like Netflix, which have transformed the way movies and TV shows are consumed. It talks about how these services have become major players in the entertainment industry, leading to a consolidation of power among a few large corporations. The paragraph also addresses concerns about the potential for creative limitations due to the control these companies have over content distribution and the impact on the film industry as a whole.

Mindmap

Keywords

💡Streaming Services

Streaming services are online platforms that deliver media content like movies, TV shows, and music directly to consumers over the internet. They are central to the video's theme, illustrating the shift from traditional cable and theater viewing to on-demand digital content. The script mentions various services like Netflix, Hulu, and HBO Max, highlighting the fragmentation and competition among them.

💡Movie Studios

Movie studios are companies involved in the production and distribution of films. They are a key concept in the video, which discusses the evolution of these studios' business models in response to new technologies and changing consumer behaviors. The script references major studios like Paramount, 20th Century Fox, and Disney, and their historical impact on film distribution.

💡Cable TV

Cable TV refers to a system of broadcasting television programs via coaxial or fiber-optic cables. The video discusses how cable TV contributed to the transformation of the film industry by offering an alternative to traditional movie theater experiences. It also led to the creation of made-for-TV movies and shows, impacting the way content was produced and consumed.

💡Home Video Rentals

Home video rentals describe the practice of renting movies to watch at home, typically on formats like VHS tapes or DVDs. This concept is integral to the video's narrative, showing how it changed the way people accessed movies. The script mentions Blockbuster and Hollywood Video as iconic examples of video rental stores that were once prevalent.

💡Antitrust Laws

Antitrust laws are regulations that aim to promote market competition by preventing the abuse of power by dominant companies. In the video, antitrust laws are discussed in the context of the US government's intervention to prevent movie studios from owning theaters, which forced the studios to adapt their distribution methods.

💡Betamax and VHS

Betamax and VHS are formats of video cassettes that were used for recording and playing movies at home. The video describes the impact of these technologies on the film industry, particularly how they enabled home video consumption and led to legal battles over copyright infringement, as exemplified by the lawsuit Universal and Disney filed against Sony over the Betamax.

💡Disney Vault

The Disney Vault is a marketing strategy used by Disney to create artificial scarcity for its animated films. The video discusses how Disney would release a film on VHS, then withdraw it from the market for a period, making it a collector's item and driving demand. This strategy is contrasted with the more open distribution models offered by streaming services.

💡

💡Netflix

Netflix is a streaming service and major studio that has revolutionized the way people watch movies and TV shows at home. The video highlights Netflix's transition from a mail-order DVD rental service to a streaming giant, and its role in the current media landscape where it competes with traditional studios that have also launched their own streaming platforms.

💡Movie Distribution

Movie distribution refers to the ways in which films are made available to the public, which has evolved significantly over the decades. The video traces the shift from theater-only releases to various home viewing options, reflecting changes in technology and consumer preferences. It discusses how each new distribution method has impacted the film industry's economics and power dynamics.

💡Cultural Engagement

Cultural engagement describes the interaction between people and cultural artifacts, such as films, in a community. The video reflects on how different eras of movie distribution have influenced cultural engagement, from weekly theater visits in the 1930s to the solitary or family-based streaming experiences of today.

💡Direct to Consumer

Direct to Consumer (D2C) refers to the business strategy of selling products or services directly to the end consumer without a middleman. The video discusses how companies like Disney have embraced D2C through streaming platforms, allowing them to control the distribution and monetization of their content more closely.

Highlights

The evolution of movie distribution from theater screenings to streaming services has fundamentally changed the film industry.

In the early 20th century, the average movie experience was simple - leaving your house to watch a movie in the theater.

After World War II, the rise of television and the drafting of American men led to a decrease in theater attendance and a shift in how movies were consumed.

Major movie studios like Paramount, 20th Century Fox, and MGM dominated American entertainment due to owning movie theaters and controlling distribution.

The introduction of anti-trust laws forced studios to give up control of distribution, leading to a drop in theater attendance.

In the 1950s, movie studios began screening movies on television, formatted with commercials, to reach audiences at home.

The invention of the Betamax and VHS in the 1970s allowed people to record and watch movies at home, posing a threat to the studios.

Disney was late to the VHS market due to legal battles, but introduced the Disney Vault concept to control supply and demand for their films.

The rise of video rental stores like Blockbuster in the 1980s and 1990s made movies more accessible to the public.

The advent of DVDs expanded the home movie market and supported the production of mid-budget films.

Netflix disrupted the movie rental model by offering unlimited movie rentals through the mail with no late fees.

Netflix's streaming service launched in 2007, allowing instant access to movies and TV shows online.

The rise of streaming services has led to a consolidation of power among major media corporations, similar to the 1930s.

Streaming services can control viewing numbers and potentially suppress or remove content that doesn't align with their business interests.

While streaming provides convenience and access to a vast library, it centralizes power and risks stifling artistic diversity.

The film industry has been shaped by technological advancements and consumer demand for convenience over the past century.

The future of film distribution remains uncertain, but the industry will continue to adapt to new technologies and consumer preferences.

Transcripts

00:00

we've all had the experience where it's

00:01

a Friday you're fresh off of work and

00:03

you decide to have a movie night last

00:05

week while you were hate watching Love

00:06

is Blind you noticed that you saw Dune

00:08

on Netflix so you pop open Netflix type

00:11

in Du NE e and it's nowhere to be found

00:15

no worries you also saw that it was

00:16

streaming on Hulu so you close Netflix

00:19

open up Hulu wait for the app to launch

00:21

D NE and where the hell is this thing

00:25

streaming okay it's on something called

00:27

tub also on freebie fubo TV Zumo bio

00:33

squeebie teley plus and oh good it's

00:35

also on HBO or sorry it's on it's on Max

00:38

a little over a decade ago streaming on

00:40

Netflix pitched a cheaper alternative to

00:42

cable and renting movies it promised a

00:44

nearly endless library of movies and TV

00:46

shows while giving you the freedom to

00:48

watch whatever you want whenever you

00:50

want it's movie time with the Wii

00:54

twist Netflix now delivers unlimited TV

00:57

episodes and movies instantly through we

01:00

plus DVDs by mail all for only n bucks a

01:02

month seriously what is it 14 years

01:05

later we find ourselves in an era of

01:07

Warner Brothers deleting movies entirely

01:09

too many streaming services to count and

01:11

mega mergers between entertainment

01:13

corporations Hulu is on Disney plus now

01:16

what does that mean what does this mean

01:19

but the method in which we watch movies

01:21

at home has never been a fixed one of

01:23

course the art of making movies

01:24

themselves has evolved but over the last

01:26

100 years the film industry has been

01:28

forced to rapidly shift into change the

01:30

way they deliver those films to

01:31

customers in the early 20th century the

01:33

average movie goo's experience was

01:35

relatively simple you just left your

01:37

house went to the theater and watched

01:39

whatever was playing this would be a

01:40

normal part of your week because by the

01:42

1930s the film industry had taken

01:44

America by storm and the rest of the

01:47

world I guess I don't know film making

01:49

was a decades old art at this point

01:51

American audiences had already seen the

01:53

rise and fall of onscreen Legends like

01:55

Charlie Chaplain Buster Keaton or that

01:57

train that came at the screen so fast at

01:59

freaked everybody out movies had

02:01

successfully ingrained themselves as a

02:03

regular weekly entertainment Source in

02:05

American life but all of that was about

02:06

to change early television broadcasts

02:08

were starting to pop up in major cities

02:10

across the country and the film industry

02:12

had nothing to do with it the movie

02:14

studios were so concerned about the

02:16

television that the Motion Picture

02:17

Association even stated in 1939 that

02:20

they should never let the idea become

02:22

generally accepted that the television

02:24

means pictures in the home instead of

02:26

pictures in the

02:27

theater are you listening to me dude

02:29

what

02:30

oh uh sorry I was I was watching past

02:32

lives on my phone but the movie studios

02:34

didn't need to make such a big deal out

02:36

of things after the stress of World War

02:38

I they should just relax it's not like

02:40

there's going to be another world war or

02:44

anything after the events of Pearl

02:46

Harbor American men were drafted to

02:48

serve across the globe and it's a good

02:49

thing we weren't alive during that time

02:52

because I just my knee I I just got a

02:55

bad knee I'm afraid of land mine so that

02:57

won't work the major movie studios at

02:59

the time were Paramount 20th Century Fox

03:02

Universal Columbia Warner Brothers MGM

03:05

and a few more this handful of companies

03:07

ruled over American entertainment due to

03:09

the fact that they also operated and

03:11

owned the movie theaters themselves the

03:13

amount that Americans went to the movie

03:14

theater is almost completely

03:16

unrecognizable to the way it's

03:17

culturally viewed today weekly movie

03:20

theater attendance was around 80 million

03:22

people that's 80 million people seeing a

03:25

movie every week out of 132 million

03:29

that's

03:31

543 of all Americans it's actually 65%

03:34

but don't call them out in the comments

03:36

I don't want them to feel bad but once

03:37

the war was over and Hitler killed

03:39

himself Americans wanted to do two

03:41

things more than anything else make

03:43

babies and watch

03:50

television previewing our post-war world

03:54

let's look into a brand new development

03:56

television here's an expert with a

03:58

Lowdown on the side facts I believe in

04:01

this world to come I think it's going to

04:03

be a pretty good world but I've been

04:05

asked to tell you about television it's

04:07

going to brighten the world of your home

04:09

television quickly went from an exciting

04:11

new technology with 6,000 TV sets in

04:13

American homes in 1946 to 12 million by

04:17

1951 television was quickly becoming a

04:19

staple in American culture and also the

04:22

world I'm sure I I don't know who cares

04:24

but unlike the pre-war era and the

04:26

current business today movie studios

04:28

didn't have a choke hold on the the

04:29

business in fact they were a direct

04:31

competitor who is losing profit to

04:33

television this is because radio

04:35

companies mainly the big three of NBC

04:37

CBS and ABC had experience in

04:40

broadcasting and had jumped at the

04:41

medium of Television while it was still

04:43

in its experimental early days with the

04:45

film industry's business being solely

04:47

based on ticket sales from people going

04:49

to the theater let's just say the major

04:50

Studios were not a huge fan of the

04:52

ability to watch entertainment in your

04:54

home they would also be met with another

04:56

devastating blow to their business to

04:58

put it in gamer terms the the US

05:00

government introduced an update that

05:02

patched the Studio's infinite money

05:03

glitch knocked them down the leaderboard

05:05

and hit their Italian with a Goomba or

05:07

something I don't know Anti-Trust laws

05:09

were introduced that eliminated Studio's

05:11

ability to own theaters themselves

05:13

forcing them to give up their control of

05:15

distribution what an archaic thing for

05:17

the US government to do if you break up

05:20

big companies like this how will I along

05:23

with every other American One Day become

05:25

a billionaire morons not looking out for

05:28

the little guy they just don't get it so

05:30

after the antitrust blow and the

05:31

invention of the Television Studios were

05:33

right to be worried because by 1956 the

05:36

TV had become widely adopted and

05:38

attendance in movie theaters had dropped

05:40

by 50% from its peak in 1946 in just 10

05:45

years they had lost half of their

05:47

business so unlike in 1939 when Studios

05:50

vowed to never let you watch movies in

05:52

your home they were now forced to change

05:55

their tune a massive number of Americans

05:57

were choosing to stay home watch TV

05:59

drink and chain smoke while pregnant but

06:02

more importantly to Studios this meant

06:03

that people weren't watching movies at

06:05

all Studios needed to reach people in

06:08

their homes so they decided to try

06:09

screening movies on television formatted

06:12

down and split up by commercials real

06:14

quick Tony just texted me while sitting

06:16

next to me and said money money money

06:18

please so a quick word from our sponsor

06:21

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07:19

back to the tiny I'm tiny Tony and back

07:21

to the big video now we couldn't find a

07:23

reliable source on which movie event was

07:25

the first to grab the public but after

07:27

screenings of things like King Kong and

07:29

and The Wizard of Oz Drew massive

07:31

ratings they could no longer ignore that

07:33

sweet sweet cash and were forced to make

07:35

a deal with the networks to regularly

07:37

screen movies on television NBC Saturday

07:40

night at the movies in 1961 was the most

07:43

prominent program to do this on a weekly

07:45

[Music]

07:51

basis NBC Saturday night of the movies

07:55

presents Billy Jack inspiring other netw

07:59

like CBS and ABC to follow as well every

08:02

Network and by every we mean like the

08:04

only three started doing these events

08:06

all week NBC started Monday nights at

08:08

the movies ABC had Sunday nights at the

08:11

movies mid Wednesday afternoon at the

08:13

movies and CBS is that moment in the

08:15

morning where the sun shines through

08:17

your blinds at the perfect angle to hit

08:18

your eyes and wake you up at the movies

08:20

at this point The Well of films to

08:22

screen on TV starts to become pretty dry

08:25

with all three major networks airing a

08:26

movie like every day the amount of

08:29

properties they can make a deal with

08:30

Studios for get smaller and smaller this

08:33

forced them to start production on made

08:35

for TV movies I mean can you imagine a

08:37

tiny selection of powerful entertainment

08:39

companies controlling basically all of

08:41

atome film and TV distribution

08:44

swallowing up the right to every old

08:45

project to the point where the

08:46

competition is so saturated and

08:48

confusing that they have to start making

08:50

their own original content just to keep

08:52

up even if it meant tog grading the

08:54

quality of art good thing it ain't like

08:56

that now and the push of Technology

08:58

putting pressure and challenges on on

08:59

movie studios continued into the mid 70s

09:01

with the release of the betamax by Sony

09:04

in 1975 the betamax had a surprisingly

09:07

underwhelming appearance after doing

09:09

some digging we found a picture and this

09:11

is what a beta looks

09:13

like you see that reflection yeah that's

09:17

you you're the beta betamax was a

09:20

machine that allowed you to record live

09:21

TV and copy it onto a tape allowing

09:24

anyone to keep a collection of their

09:25

favorite shows good morning if you work

09:28

nights the way I I do you miss a lot of

09:31

great TV shows but I don't miss them

09:33

anymore thanks to Sony's betamax deck

09:36

which hooks up to any TV set while being

09:39

an important step in the evolution of

09:40

media the betamax was not the movie

09:43

Machine of the future this was mostly

09:45

due to two factors the first was that

09:47

the thing was expensive as hell the

09:50

first model in the 1970s was

09:54

$2,295 and that's not even adjusted for

09:56

inflation

09:57

$2,295 in 19 75 adjusted for inflation

10:01

is over $1 million today can you believe

10:05

that no not really yeah I just looked it

10:08

up it's

10:09

$3,669 the second Factor was that the

10:12

beta could only record one hour of

10:14

television on tape Max at this point

10:17

there were full movies airing on TV with

10:19

commercial breaks so while you could

10:21

easily record your favorite sitcoms or

10:23

news broadcast you'd only be able to

10:25

catch the first 40 minutes of Billy Jack

10:27

I just go B

10:32

now technically the betamax was not the

10:34

first home VCR the car division came

10:37

before it in 1972 And even offered a

10:39

small catalog of movies on tape I can

10:42

bring you whatever you want to see

10:44

whenever you want to see it sound

10:47

impossible not for cart revision due to

10:50

its own massive price tag it was not

10:52

adopted by the public enough to

10:53

revolutionize the industry just yet I

10:55

actually took a look at an old copy of

10:57

the movie catalog for the car division

10:59

and I found a horror movie called The

11:05

Tingler I'm William castle and I feel

11:08

obligated to warn you about the next

11:09

attraction you will see at this theater

11:12

the picture is The Tingler which I

11:14

directed so apparently The Tingler was a

11:16

horror released in 1959 where theaters

11:19

would attach electric buzzers to seats

11:22

and shock people to simulate The Tingler

11:24

tingling them it was guaranteed that The

11:28

Tingler will break loose while you are

11:31

in the audience and it was up to the

11:33

audience to scream loud to defeat The

11:35

Tingler yeah that's not going to be a

11:38

problem get The Tingler away from me I

11:41

don't want The Tingler anywhere near

11:44

betamax scared the studios so much so

11:46

that Universal and Disney sued Sony over

11:49

the device because they felt it was a

11:51

machine designed to solely steal and

11:53

copy their property a lawsuit in which

11:55

they lost so that's another Fat fortnite

11:58

L for movie studios and to make the

12:00

situation even worse for them just a

12:02

year after the betamax came the creation

12:05

of the VHS from the Japanese company JVC

12:08

it was cheaper than the betamax still

12:10

over $1,000 or $500,000 today still

12:13

wrong it was also not exclusive the Sony

12:15

products which meant you didn't need a

12:17

betamax or JVC machine to watch their

12:19

tapes just any VCR that could play a VHS

12:22

but more importantly it could hold two

12:24

or more hours of video on tape AKA one

12:27

godamn movie one full Billy

12:32

Jack in the late ' 7s these were still

12:35

way too expensive for the general public

12:37

but a man named Andre bla was paying

12:39

close attention to the technology he saw

12:41

the potential of VHS and betamax tapes

12:44

and how they could be used as a new way

12:46

to view movies after already being in

12:48

the tape business recording and

12:49

duplicating albums for music labels and

12:52

Industrial training videos he wondered

12:54

why the [ __ ] aren't we selling movies so

12:56

he reached out to the studios and found

12:58

a business partner in 20th Century Fox

13:00

or as we like to call it future Disney

13:02

they made a deal where Fox would give

13:04

bla 50 of their older movies to copy and

13:06

sell and they'd get a small Commission

13:08

on each purchase by special arrangement

13:11

with 20th Century Fox magnetic video

13:14

Corporation is proud to offer the

13:16

following major Motion Picture on video

13:18

cassette this led to the creation of his

13:20

Subscription Service video Club of

13:22

America we actually found a commercial

13:23

that was made in 1985 and uploaded to

13:26

YouTube 15 years ago unfortunately it is

13:29

still processing but hopefully it will

13:32

be done in just a few minutes video Club

13:34

of America was a huge success despite

13:37

the price at nearly $100 for some movies

13:40

people were buying movies far beyond bla

13:42

and Fox's expectations in the late '70s

13:44

these were still way too expensive for

13:46

the general public with blank VHS tapes

13:48

costing around $20 each or like $100 now

13:52

and it sparked another even better idea

13:54

from George Atkinson the owner of a

13:56

super a camera rental store in Los

13:58

Angeles he saw the potential in allowing

14:00

people to rent movies instead of

14:01

purchasing them forever especially due

14:03

to the large price tag for a single film

14:05

George then joined the video Club of

14:07

America and bought copies of all 50

14:09

movies that Andre bla was selling and

14:11

offered them for rent it was so

14:12

successful that George pivoted his

14:14

camera store to focus on renting movies

14:16

on VHS and betamax which became the

14:18

first official video rental store yet

14:21

another fortnite L for Studios gone were

14:23

the days of seeing a movie in theaters

14:25

and having to hope the studios would

14:27

rescreen it gone were the days of

14:28

waiting years for a movie to air on TV

14:31

no more waiting to watch it cropped down

14:33

from its original format with lesser

14:35

quality and commercial breaks like all

14:37

technology as the market progressed and

14:39

Manufacturing got cheaper the prices

14:41

also became more affordable finally you

14:44

could tingle yourself at home for an

14:46

affordable price except for one company

14:49

Disney it's no secret that Disney keeps

14:51

tight control over the properties they

14:52

own for decades they've succeeded in

14:55

changing us copyright law to prevent

14:57

Mickey Mouse from entering the public

14:59

public domain and their business model

15:00

for their films before television took

15:02

over relied on controlling the supply

15:04

and demand they would wow the World with

15:06

Mickey Mouse Snow White and other

15:08

animated films only to pull them from

15:10

theaters for a number of years before

15:12

ever screening them again they even as

15:14

we mentioned before sued Sony with

15:16

universal over the original betamax

15:18

because they didn't want people

15:19

recording Disney films from their TVs

15:22

because they were caught up in that

15:23

lawsuit which they eventually lost

15:25

fortnite L Disney caused them to enter

15:27

the VHS Market later than most Studios

15:29

but it wasn't long before Disney found a

15:31

way to start controlling their releases

15:33

again that came in the form of the

15:34

Disney

15:36

Vault don't you wish you bought

15:38

Pinocchio when you had the chance

15:41

wouldn't you love to have lady in the

15:43

[ __ ] in your

15:44

collection now they're gone and time's

15:48

running out for Cinderella too Disney

15:51

would wait 5 to 7 years before releasing

15:53

their animated films on VHS and then

15:56

they would price them higher than most

15:57

films to encourage people to rent them

15:59

instead of own them after a period of

16:01

time instead of continuing to sell the

16:03

movies like a normal [ __ ] company

16:05

they would pull the movies from shelves

16:06

locking it away in the Disney Vault

16:09

after March 31st Disney will stop

16:10

selling this Timeless classic hurry this

16:13

Easter is your last chance to add Bambi

16:14

to your collection before it disappears

16:17

for years to come did they put a [ __ ]

16:20

ticking clock on it by creating limited

16:22

supplies they turned their physical

16:23

releases into more than just VHS tapes

16:26

of their movies they became collector's

16:28

items this this is quite possibly one of

16:30

the most anti-art business practices to

16:33

ever exist hurry up and buy now before

16:36

we lock away this piece of art and film

16:39

history into a comically large Vault the

16:41

shape of Mickey's

16:43

head nothing's coming out of there not

16:46

even air Bambi can't breathe when we

16:49

were seven and we would see those ads

16:51

specifically on rented movies I would

16:52

feel like I'd lose the lion king forever

16:55

I'd never get to see sex spelled out in

16:57

leaves again i' never get to see Bambi's

17:00

mom get shot ever again yeah man can you

17:06

imagine uh yeah but during this time the

17:08

rental Video Store Market was exploding

17:11

by the late 1980s people all over the

17:13

country owned a vcr and wanted to rent

17:15

movies but in the United States the

17:17

story doesn't end there you've got a

17:19

burger shop that people like franchise

17:22

you got a family grocery store

17:24

franchised and what are we going to do

17:26

allow the money to go back in the

17:28

pockets of the local families oh my God

17:30

I rid of my water I rid of my water this

17:32

era also saw the rise of cable TV where

17:35

more and more channels not only screened

17:37

movies with commercials but started

17:38

producing shows and made for TV movies

17:40

at an increasing rate and for an

17:42

additional price you could also get a

17:44

movie subscription Channel like HBO or

17:46

Showtime where you could watch movies

17:48

all the time ad free with rental stores

17:50

on the rise the world was introduced to

17:52

Major franchises like Blockbuster and

17:55

Hollywood Video well the perfect video

17:58

store welcome to Blockbuster Video is

18:01

popping up all over the

18:03

country there's one near

18:06

[Music]

18:10

you this era was a major part of our

18:13

childhood our weekends would start by

18:14

going to our local Hollywood Video

18:16

nearly every Friday night and to sweeten

18:18

the pot for families who are renting on

18:20

weekends like ours Blockbuster had

18:22

multiple Partnerships with big pizza

18:24

chains I got your pizza movie what's a

18:27

pizza movie your buy a pizzeria stuff

18:29

crust pizza from Pizza Hut you get a

18:31

free rental at blackbuster Pizza movie

18:33

Get It Free how' you do that I'm Santa I

18:37

can do anything now at Pizza Hut buy a

18:40

large Pizzeria stuff crust pizza for

18:41

$9.99 and get a certificate for one free

18:44

rental of Blockbuster Video but the

18:46

reason this era is remembered so fondly

18:48

is because rental stores became a

18:49

gathering spot for your community if you

18:51

go to Blockbuster a Hollywood Video on a

18:53

Friday night you're likely to see a

18:55

friend a neighbor or Ricky from high

18:58

school that you're refusing to make eye

19:00

contact with do you want to come over

19:02

and watch the Extended Cut of Lord of

19:03

the Rings uh I I think I'm busy it's

19:07

only 13 hours I don't want to do that

19:10

this also allowed families to go

19:11

somewhere together at the end of the

19:13

school and work week pick a movie and

19:15

watch it as a family living in the

19:18

suburbs and not a walkable Community

19:20

some of our Fondest Memories were going

19:22

to Hollywood video with our family

19:24

ordering a pizza and having a movie

19:26

night I distinctly remember begging for

19:28

candy at the checkout aisle on a Friday

19:30

night ready to have a great weekend Tony

19:32

you remember those Hubba Bubba Squeeze

19:34

Pop candies we'd always get uh yeah

19:37

remember how we would just like slurp

19:39

those down as we were watching the movie

19:40

we rented just like absolutely going

19:43

into town on those things yeah I

19:45

remember do you remember what they look

19:48

like

19:52

oh why' they make them drip like that in

19:55

the picture by the late '90s video

19:57

rentals were a regular part of of

19:58

American life as years went by DVDs

20:01

joined the process of the movie and

20:02

Rental business as an upgraded version

20:04

of the

20:06

VHS this is

20:10

DVD and

20:12

this is what happens when you watch

20:17

DVD followed by the Blu-ray and Dad it's

20:20

like a way better deal if we get a PS3

20:22

it's the same price as a Blu-ray player

20:24

and it does that and plays games now I

20:27

know what you're about to say it's the

20:29

recession and the PS3 is

20:31

$600 but just take it from my college

20:34

fund what do you mean I don't have a

20:36

college fund did you tell him it also

20:38

plays games I told him so there were now

20:40

more ways to watch things than ever for

20:42

the most part we think this was a really

20:45

good thing compared to the studio

20:46

Monopoly there were more options and

20:48

plenty of different companies making

20:50

those options without home movie sales

20:52

and rentals a lot of mid-budget movies

20:54

wouldn't be made and without cable TV we

20:56

wouldn't have gotten to see Tony Soprano

20:58

cheat on his wife or Don Draper cheat on

21:01

his wife or Walter White Lie to his wife

21:04

or Gilmore Girls but technology wasn't

21:07

slowing down and the internet brought in

21:09

a new Evolution in video rentals n gly

21:12

what game GameFly oh Netflix netx

21:15

Netflix Netflix was the new kid on the

21:17

Block offering movie rentals through

21:19

their online web page Netflix's entire

21:21

business model sented around offering

21:23

rental video without having to leave

21:25

your home there's a better way to rent

21:26

movies as many as you want for only

21:28

$17.99 a month and no late fees go to

21:31

netflix.com make a list of the movies

21:33

you want to see and in about one

21:35

business day you'll get three DVDs keep

21:38

them as long as you want without late

21:40

fees then when you're done look prepaid

21:43

envelopes return one and they'll send

21:45

you another movie from your list it's

21:47

easy no more late fees no more having to

21:50

physically drive to Blockbuster to rent

21:52

no more realizing on Sunday night that

21:54

it's the last day of your rental now

21:56

you've got to go out in the middle of

21:58

the night and drive across town just to

22:00

toss The Talented Mr Ripley in the

22:02

24-hour Dropbox by the way watch out for

22:05

that Ripley guy he's [ __ ] nuts at

22:08

this point movies had a pretty solid

22:10

process to making money theater

22:11

screenings VHS and DVD releases to rent

22:15

and own and later screening it on TV

22:17

gave a movie the opportunity to reach

22:19

people multiple times in one year the

22:21

DVD was a huge part of our business of

22:24

our Revenue stream technology has just

22:25

made that uh obsolete the movies that

22:29

that we used to make you could afford to

22:31

not make all of your money when it

22:33

played in the theater because you knew

22:34

you had the DVD coming behind the

22:36

release and 6 months later you'd get all

22:39

you know a whole another chunk it would

22:40

be like reopening the movie almost and

22:42

when that went away that's suddenly a

22:44

massive gamble in a way that it wasn't

22:46

in the 1990s when they were making all

22:48

those kind of movies the kind of movies

22:49

that I loved and and the kind of movies

22:51

that were my bread and butter but with

22:53

the prominence of video on the internet

22:54

growing by the day things were about to

22:57

change forever again for like the fifth

23:00

time in 80 years just like the

23:02

transition to TV consumers were moving

23:04

toward the most convenient way to get

23:05

their entertainment the VHS and DVD

23:08

thing was convenient in itself but as we

23:10

all know not the big thing that changed

23:13

Hollywood Forever in 2007 Netflix

23:16

launched their new service that

23:17

completely changed the way we consume

23:19

movies and TV their video streaming

23:22

service oh hello I'd like to tell you

23:25

about

23:26

Netflix it's an amazing serice that let

23:28

you watch unlimited movies and TV

23:30

episodes instantly you watch Netflix on

23:33

your PC or on your TV through a game

23:36

console or other devices connected to

23:38

the internet wow that's ni and over the

23:40

next decade a movie rental company

23:42

became both the way you watch movies at

23:45

home and a major Studio themselves but

23:48

as we all know Netflix didn't kill all

23:50

other TV and movie studios to become the

23:52

sole way to watch movies at home in an

23:54

insane twist somehow the major movie

23:57

studio have returned the entertainment

24:00

industry was yet again forced to evolve

24:02

due to Netflix and is now completely

24:04

caught up with technology Disney bought

24:06

20th Century Fox and owns Hulu and

24:09

Disney plus Max is Warner Brothers

24:11

Amazon Prime owns MGM Universal has

24:15

peacock and Paramount plus is well

24:18

Paramount the television companies that

24:20

once Panic Studio Executives in 1939

24:23

have all been swallowed whole NBC merged

24:25

with universal ABC has been owned by

24:28

Disney for decades and CBS is owned by

24:30

Paramount streaming not only destroyed

24:32

the rental business and hit theater

24:34

profits it fundamentally changed the TV

24:37

and movie business forever the movie TV

24:40

and Rental video businesses have all

24:42

merged into one thing and the race and

24:45

fierce battle between a bunch of

24:47

entertainment groups has slowly shifted

24:49

and coagulated into a small handful of

24:51

corporations that now have near total

24:54

control when I became CEO 15 years ago I

24:58

Envision a world where distribution

25:00

powered by transformative technology

25:03

would expand dramatically almost to the

25:06

point of becoming a commodity that

25:08

thinking led to the Acquisitions of

25:10

Pixar Marvel lucasfilm and 21st Century

25:14

Fox each bringing with them a

25:17

breathtaking array of branded content

25:20

and the ability to create even more of

25:22

it fast forward and in just a year we've

25:26

established ourselves as one of the true

25:27

leaders ERS in the direct to Consumer

25:29

space now there is a very short list of

25:32

things that I want to come back from the

25:34

1940s and 50s back to the 1950s but

25:38

without all the races but remember when

25:41

we mentioned the antitrust laws earlier

25:44

when the US government stepped in

25:45

because giving movie studios the power

25:47

to make and distribute the art form of

25:50

film was too much power I mean we're

25:52

never getting that but two boys can

25:54

dream this entire video has been about

25:57

business which is rare for us because

25:59

usually that [ __ ] is a snoozefest but we

26:01

deeply care about the art form and

26:02

medium of film since its invention film

26:05

has been a cultural pillar in America

26:08

and the world I think there's just no

26:11

way to know we looked it up there's just

26:13

nothing there but no matter what

26:14

business model seems the most

26:15

sustainable the film industry has been

26:17

forced into its current form because of

26:19

technology and the convenience it

26:21

brought people wanted movies on TV

26:23

people wanted to rent tapes and DVDs

26:25

then people wanted them shipped to their

26:27

door without fees finally they just

26:30

wanted to watch things like they did

26:31

online without having to buy or rent

26:34

every single thing they watched but

26:35

we've reached a really odd impass here

26:38

we found ourselves in a place where

26:39

meeting our every demand at home leaves

26:41

us with barely any time in our community

26:43

movie theaters in the 30s were the only

26:45

option but it had people engage in art

26:47

basically every week in their Community

26:49

movies on TV were more convenient but it

26:51

forced you inside your home watching

26:53

commercials on a Saturday night buying

26:55

VHS tapes and DVDs were too expensive

26:58

but it seemed to support individual

27:00

artists more than streaming Blockbuster

27:02

late fees were a ripoff but it allowed a

27:04

space to enjoy movies with everyone

27:06

around you streaming is overall cheaper

27:09

and easier for consumers allowing access

27:12

to almost everything ever made but it

27:14

also has forced power at the top similar

27:17

to the 1930s they can hide streaming

27:19

numbers and delete a movie that is fully

27:23

finished and good that audiences love

27:25

during the test screening actor Will

27:27

Forte has posted an open letter to the

27:29

cast and crew of coyote versus zme after

27:31

he finally got to watch his own film

27:34

this comes amid heavy rumors the film is

27:36

officially dead following Warner

27:37

Brothers discoveries recent quarterly

27:39

report that included a mysterious $115

27:42

million tax write off why because Warner

27:45

Brothers was acquired by AT&T and now

27:47

the books are just too complicated for

27:49

Warner Brothers to be in the business of

27:51

selling movies so this piece of art that

27:54

countless people slaved away at for

27:56

years will never see the light of day

27:58

because deleting it would be great as a

28:00

tax write off while their CEO gets a

28:03

26.5% salary increase that same year but

28:06

it's not like any of these changes have

28:08

stopped good movies and TV shows from

28:10

coming out in fact there's probably more

28:13

than ever right now the fear is that

28:16

some of these amazing shows and movies

28:18

will disappear with the snap of an

28:20

executive's fingers before they reach

28:22

the public or some won't get made

28:24

entirely because it doesn't appeal to

28:26

movie theaters or streaming so what's

28:28

the

28:30

solution I I don't I have I have no

28:34

absolutely no idea I was following your

28:36

lead I don't know it's been like

28:37

changing for a century I don't know how

28:39

two Chicago Twins were going to figure

28:41

this out no two Chicago twins that could

28:42

be a good movie now that's that's where

28:45

it's headed that's where we're heading

28:46

with this two Chicago twins streaming

28:49

next year on Hulu on Disney Plus on

28:51

Netflix on max

28:58

do I say something tiny back to the tiny

29:01

[ __ ] back to the big video I'm tiny as

29:03

[ __ ]

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Связанные теги
Film DistributionStreaming ServicesMovie IndustryCultural ImpactEntertainment HistoryNetflix RevolutionVHS EraBlockbuster EraCable TVDisney VaultMedia ConsolidationConsumer ConvenienceCorporate ControlCommunity EngagementTechnology ShiftMovie RentalsCinema Experience
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