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  • $9 to rent an HD movie on demand?

    Posted May 16 2008, 10:56 AM by Kim Peterson
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    Money Blog: Top Stocks Blog - MSN Money

    People will pay between $7 and $9 to rent HD movies-on-demand that come out the same day as DVDs, according to consulting firm Oliver Wyman. Right now, movies generally hit DVD first before releasing on-demand. Changing that formula would lead consumers to pay for three more movies a year, the firm said, adding $5 billion to the $50 billion spent on movies annually in the U.S.

    Even a $7 rental seems too pricey to me, unless you're talking about some jaw-droppingly amazing movie that absolutely must be watched in high-definition. Despite its slightly outrageous numbers, the report touches on a fact that movie studios have clued into for a while now: video-on-demand is smoking hot, and doesn't deserve its second-tier status.   Read More...

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  • Could Michael Jackson’s death save California’s economy?

    Posted Jul 06 2009, 01:21 PM by Minyanville
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    Money Blog: Top Stocks Blog - MSN Money

    It's not likely that Michael Jackson's estate will be settled any time soon. Given conflicts among his family, his lawyers, and children of unclear parentage, Jackson's property should finally be divvied up around the time "Off the Wall" enters the public domain.

    But as those closest to Jackson attempt to sift through red tape almost as lasting as his fame, the pop star's death has sent ripples through Hollywood's ailing economy and has given it a much needed boost -- no matter how morbid or undignified.

    Rather than a time of mourning and reverence, event planners are pushing for happiness and celebration: They're organizing events at which consumers might not mind dishing out $9 for a bottle of water emblazoned with a glittery glove, and where  $50 to have your picture taken next to a cardboard cutout of MJ will seem like a good deal. You know -- the sort of magical moments when a huge crowd remembers a person's life by wanting to buy a part of it.   Read More...

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  • Cable companies eyeing nationwide wireless network

    Posted Mar 26 2008, 12:10 PM by Kim Peterson
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    Money Blog: Top Stocks Blog - MSN Money

    Lots of big numbers are being tossed around today in support of WiMax, a wireless technology that can deliver high-speed Internet access over several miles. Clearwire is a leader in developing WiMax, and has been trying to hammer out a partnership with Sprint for months. But working out a deal hasn't been easy, partly because building out WiMax is so expensive and partly because both companies have their own struggles to deal with.

    Now, the two biggest U.S. cable companies are stepping in with loads of cash. According to the Wall Street Journal, Comcast and Time Warner are talking about funding a new WiMax company, one that would be run by Sprint and Clearwire. The company would operate a nationwide WiMax network. Comcast is reportedly offering $1 billion and Time Warner is adding $500 million. Bright House Networks, a small cable company, might pony up between $100 million and $200 million.   Read More...

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  • Facebook will never make a dime

    Posted Apr 01 2009, 03:59 AM by Douglas McIntyre
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    Money Blog: Top Stocks Blog - MSN Money

    The business of having online sites with content created by amateurs to be viewed by other amateurs never had a reasonable chance of making money. The fact that Facebook once had a $15 billion valuation, and that Rupert Murdoch’s News Corp. (NWS) bought MySpace, and that Google (GOOG) bought YouTube only proves the “greater fool” theory.

    YouTube was started in 2005 and MySpace in 2003. Normally, having a social network where people go to share profiles of themselves, write blogs and submit videos would not seem like much of a business. But MySpace has well over 100 million users. People viewed over 5 billion videos at YouTube last month.

    Investors assumed that any medium with such a large number of users had to become a huge business. Millions and millions of users must be worth something. They can’t be worth nothing. That couldn’t be possible.   Read More...

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  • Spiraling DVD sales worry Hollywood

    Posted Feb 20 2009, 02:14 AM by Kim Peterson
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    Money Blog: Top Stocks Blog - MSN Money

    DVD sales are slowing down, and that's got Hollywood pretty nervous.

    People have filled out their home video libraries, reports The Wrap. That's one of the reasons that DVD rentals and sales dropped to $21.6 billion last year from a peak of $24.1 billion in 2006.

    The entertainment industry was hoping that high-definition discs would pick up the slack, but folks aren't rushing to buy a $25 Blu-ray movie in this economy. And who can blame those who sunk money into the now-failed HD-DVD format for laying low for a while?

    DVD sales woes are hurting the bottom line at companies like Viacom (VIA), which saw home entertainment   Read More...

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  • Volunteers for a beheading?

    Posted Nov 13 2008, 05:26 AM by Minyanville
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    Money Blog: Top Stocks Blog - MSN Money

    All those willing to jump off the cliff, step forward. You’ll be paid for your efforts.

    Time Inc., part of Time Warner, proposes to cut payroll the old fashioned way: With a meat ax.  Of course, this invitation to a beheading is called a “voluntary buyout.” However, if enough folks don’t take the hint and accept the offer, easy-to-understand layoffs are next.

    Job cuts are the quickest method to reduce payroll, and major companies have (as they say in the personnel office) announced plans to reduce headcount, including General Motors, 3,600; Pepsico, 3,300; Goldman Sachs, 3,200; and Fidelity 1,300.

    But there are other, less bloody, ways to cut costs during the downturn.   Read More...

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  • Time Warner abandons plan to gouge you - for now

    Posted Apr 20 2009, 09:15 AM by Minyanville
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    Money Blog: Top Stocks Blog - MSN Money

    Finish downloading that song and check your e-mail one last time: The Internet can't handle all this traffic, and it's going to die!

    Cable and internet providers have been selling us that line for a few years now -- ever since high-speed connections sprang up throughout the country. But these doomsday warnings hit a fever pitch when free online video sites like YouTube (GOOG) and Hulu began competing with network TV programming. As viewership drops, traditional media companies have to supplement lost revenue via other means.

    Their inevitable solution: Make heavy Internet users pay through the nose for the privilege.   Read More...

    Discuss ( 10 comments) 7,578 Views Digg this | Email this | Link to this
  • AOL shopping itself to Yahoo, Microsoft

    Posted Jul 16 2008, 10:06 AM by Kim Peterson
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    Money Blog: Top Stocks Blog - MSN Money

    The back-and-forth competitive drama between Microsoft and Yahoo has opened a perfect opportunity for Time Warner to once again shop its AOL unit. Time Warner is reportedly looking at either merging AOL with Yahoo (with Time Warner getting a minority stake) or selling it outright to Microsoft. Time Warner shares have risen more than 2% today to $14.26 on the news, with Yahoo shares up nearly 4% to $22.38 and Microsoft shares up nearly 3% to $26.90.

    Time Warner has wanted to offload AOL for a while, but now Microsoft and Yahoo are scrambling for Plan B's in the aftermath of failed buyout talks. AOL has a growing ad network and an aggressive new strategy, and could be a decent acquisition for either company. The question is, where should it end up?   Read More...

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  • Time Warner separating AOL's dialup business

    Posted Feb 06 2008, 12:12 PM by Kim Peterson
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    Money Blog: Top Stocks Blog - MSN Money

    Time Warner is separating AOL's Internet dialup business from the rest of the division -- and it's about time. AOL has been trying to reinvent itself as a serious advertising company, and it couldn't do that with the dialup albatross around its neck.

    The growth of high-speed Internet access has made the dialup business a loser for years now. AOL had 9.3 million U.S. dialup subscribers at the end of 2007, a 29% decrease from a year earlier. There are an estimated 60 million high-speed Internet subscribers in the country.

    Still, that doesn't make AOL's industry position any better. There is no way the division can compete with two giants, Google and Microsoft-Yahoo (if that merger goes through), in the online advertising game. Sloughing off the dialup business "will significantly increase AOL's strategic options," CEO Jeff Bewkes said today in a conference call. Ding! The "for sale" sign has been hung.   Read More...

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  • Perfect icon for economic mood: Batman, the Dark Knight

    Posted Jul 21 2008, 11:30 AM by Minyanville
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    Money Blog: Top Stocks Blog - MSN Money

    As social mood continues to transition from peak optimism to an increasingly negative state, why wouldn't we see a new anti-hero smash all box office records? Batman: The Dark Night, Warner Brothers' sequel to the first instalment in a revamped and darker Batman series sold $155.3 million in tickets opening weekend, a new record for the biggest three-day box office take.

    The original Batman, as this darker version is billed, finds its origin at the very tail end of the Great Depression... naturally. The character first appeared in Detective Comics in May 1939.   Read More...

    Discuss ( 6 comments) 3,799 Views Digg this | Email this | Link to this
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