Originally Posted by vaticanplum
I agree that he's off the mark on movie theaters as well. He cites the price for an individual ticket while neglecting the fact that blockbusters gross billions, literally billions, at the box office. Which means the price of the ticket is actually in line with the market for it. He's looking at it from a consumer perspective rather than a business one. Movies are making more than ever. It's fascinating, really; mp3s have killed CD industry, ebooks have made a dent in the publishing industry, but DVDs and netflix don't seem to have affected the movie box office industry much at all. Much of this probably has to do with the lapse in release dates.
Maybe you haven't heard, or just skimmed things, but movie companies are starting to release brand new movies, that are in theaters, to PPV while they are still in theaters. That is where movie companies are going to be going in the future too, assuming they can find the correct price point.