Looking at movie reviews on Amazon it seems many people use Instant Video. The movie Dredd seems that almost everyone is buying instant video,not the disk. I assume that Hollywood gets a cut of the Instant Video sales. But isn't this bad for disk sales? Is Hollywood making or losing money because of steaming video?
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I think that particular movie is a loss leader for Amazon. They're letting people watch it for free to get more Amazon Prime subscriptions.
But in general, Hollywood doesn't want streaming video to cut into disc sales, broadcast and cable royalties, etc. That's why they've been dragging their feet for so long.
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