The Digital Entertainment Group reports that, for the first time, subscription streaming has surpassed disc sales, further evidence that Hollywood may need to reconsider traditional windows for theatrical distribution. While total home entertainment spending increased 1.36 percent, “the $5.4 billion in disc sales fell well short of the $6.2 billion tabulated from SVOD providers like Netflix,” notes Variety. Subscription streaming jumped nearly 23 percent in 2016 (although figures do not include Amazon Prime), while disc sales dropped almost 10 percent. In another first, “spending on electronic-sell-through, or EST, which totaled just over $2 billion, was edged by VOD by just $67 million.” Continue reading DEG Report: Streaming Exceeds Disc Sales in Industry First

At CES 2017, LG Electronics introduced the first ATSC 3.0-enabled 4K UHD TVs for South Korea, which will begin deploying the new broadcast standard in anticipation of the 2018 Winter Olympics. The new 2017 models, which will go on sale in the spring, will have both ATSC 3.0 and ATSC 1.0 tuners. At CES, LG demonstrated a 65-inch LED TV with an embedded second-generation ATSC 3.0 tuner displaying 4K UHD HDR programming. The company also showed ATSC 3.0’s “advanced electronic service guide” capabilities. Continue reading LG Introduces First ATSC 3.0-Enabled TV for Winter Olympics

People are accustomed to accessing on-demand video at will, so a flight on an airplane with a communal TV screen can be jolting. Now, startup SkyLights aims to let airline passengers don a virtual reality headset to watch the latest 3D Hollywood movies. French entrepreneur David Dicko’s company offers a headset with six-hour battery life and noise-canceling headphones, which has been tested on flights for almost one year. French carrier XL Airways will soon begin to offer SkyLights headsets for rent, at $16 per flight. Continue reading SkyLights and Gogo Bring Personal Entertainment to Airlines

Comcast inked deals with Universal Pictures (which it owns), Lionsgate, Paramount Pictures and Sony Pictures Entertainment for “movie extras” to accompany those studios’ film titles. The cable company, which will offer a free sample of the enhanced extras during the 10 days leading up to Christmas, says it is working on adding more studios and movies in the coming year. With the extra content, Comcast hopes to better compete with other digital movie providers, including Apple, which added extra content two years ago. Continue reading Comcast Signs Deals with Four Studios to Offer Movie Extras

More Americans are watching TV on-demand and over-the-top. Although some services such as Netflix and Amazon Prime are ad-free, the number of OTT ads is growing. Pivotal Research reports that smart TV viewing skyrocketed 65 percent over the last year, accounting now for 8.1 percent of TV viewing for the 18-to-49 demographic. In line with that finding, Innovid, which serves ads to TV apps and web video outlets, says the share of ads now placed on connected TVs has quadrupled in the same time frame. Continue reading As Viewing on Smart TVs Increases, Advertisers Gain Interest

Launched less than four years ago, Google Play has become much more than the official Android app store, establishing itself as a top retailer in home entertainment. Users treat it like a digital media store, where they can buy movies or TV shows digitally — often sooner than they can on Netflix or other streaming services. Google is now selling movies in 117 countries. Next, Play Movies & TV will be offering 4K for over 125 movies in its collection, for sale via Web or mobile. Continue reading Google Play Sells Movies in 117 Countries, Launches 4K Titles

Movie ticketing company Fandango launched its VOD service FandangoNOW on Microsoft’s Xbox One and Xbox One S consoles. FandangoNOW, which is already on Android TV among other platforms, offers 40,000 new-release and catalog movies as well as next-day TV shows for rent and purchase. The move puts Fandango in direct competition with Apple iTunes, Amazon Video and Walmart’s Vudu. Fandango’s end game is to deploy the rebranded FandangoNOW to increase overall revenues via a home entertainment offering. Continue reading Fandango Brings Movie VOD Service to Xbox Game Consoles

According to the seventh annual edition of the Ericsson ConsumerLab TV & Media Report, the weekly amount of time that consumers spend watching TV and video via mobile devices has increased 85 percent over the last six years. The report notes that 1.1 billion consumers now use their smartphones or other connected mobile devices to watch streaming video. Average time watching mobile video has jumped more than 200 hours a year since 2012. Overall TV and video viewing is up 1.5 hours per week, while there has been a 2.5 hour per week decline in television fixed screen viewing. Continue reading Watching Video on Mobile Devices Increases 85% Since 2010

Consumer spending on home entertainment was up 3.8 percent to $4.2 billion in Q3, according to DEG: The Digital Entertainment Group. “Leading the charge was subscription streaming, with sales up 23.9 percent,” reports TWICE. “Electronic sell-through followed with a 9.8 percent gain, while VOD trailed in third place among digital formats with a 4.8 percent increase.” Packaged media took a hit, with combined Blu-ray and DVD sales dropping 8.7 percent, while storefront, kiosk and subscription rentals declined 17.8 percent. DEG notes that 85 percent of U.S. homes now have a 1080p TV, and sales of 4K TVs are approaching 10 million units. Continue reading DEG Reports Increase in U.S. Home Entertainment Spending

According to Variety, “Barry Diller’s IAC has outlined a new strategy for Vimeo to become a major new Netflix-style subscription video-on-demand player — but without spending the kind of dough that Netflix does on original content.” Joey Levin, IAC CEO and interim chief exec of Vimeo, introduced the new strategy during IAC’s Q3 earnings announcement, noting that the company plans to experiment with proprietary subscription services. He did not discuss launch dates or pricing. “Ultimately, our goal is for Vimeo to drive millions of subscriptions and transactions for our creators while also growing a proprietary subscriber base with millions of consumers directly,” wrote Levin. Continue reading Vimeo Plans to Become Next Major Subscription VOD Player

Dish Network’s Hopper 3 DVR now offers access to YouTube video content, marking the first time a U.S. pay-TV provider will allow consumers to access the online videos through its set-top box. The Hopper 3 YouTube app offers access to YouTube’s video offerings and, for subscribers, the YouTube Red SVOD service. Other apps available on Hopper include Netflix, Pandora and Vevo. “Dish customers can search, browse and play YouTube videos without switching inputs and devices,” explains CNET. “With YouTube now at greater parity with regular television programming on Dish’s box, pay-TV customers can decide for the first time if YouTube is actually ‘premium’ for them, too.” Continue reading Dish Is First Pay-TV Company to Offer YouTube Vids via STB

In partnership with Lionsgate and Starz, Vimeo has opened a TV storefront in the model of iTunes, meaning viewers can purchase shows rather than stream them. Available series include “Orange Is the New Black,” “Casual,” “The Royals,” “Mad Men,” and “Weeds” as well as the entire Lionsgate catalog, which adds “Nurse Jackie,” “Boss,” “Blue Mountain State,” and “Manhattan.” Vimeo has been focused on improving its video-on-demand business, including buying VHX, a video distribution platform, and making its own original content. Continue reading Vimeo Refreshes Creator Pages and Launches New TV Store

Retail giant Walmart announced the launch of its free, ad-supported streaming video service called Vudu Movies On Us, which offers thousands of titles available for 1080p HD streaming, and supports Dolby Digital sound when available. Vudu has been selling and renting movies and TV shows for almost 10 years. The new service, however, will not feature new releases or current series. Instead, it will focus on older blockbusters and classics. Vudu considered developing a subscription VOD service, but opted for the ad-supported model since the majority of Walmart customers expressed interest in free or discounted video services. Continue reading Walmart Debuts Free, Ad-Supported Video Streaming Service

Netflix chief executive Reed Hastings accused theater owners of “strangling the movie business,” reiterating his claim that movie studios will increase revenues if they release movies in theaters and on services like Netflix at the same time. He also believes the studios would reap efficiencies in marketing. Movie studios, which make most of their money via theatrical distribution, have been intransigent with regard to collapsing the release window. The U.S. box office last year reached a record-breaking $11.1 billion. Continue reading Netflix, Theater Owners Continue Clash Over Release Window

After comparing 5,000 streaming clips from 500 titles using x264, x265, and libvpx codecs, Netflix found x265’s implementation of HEVC to be the most efficient while offering the highest quality. However, “whether that matters in light of compatibility and licensing issues isn’t so obvious,” notes Streaming Media. The study, which focused on VOD rather than live, compared codecs and not specifications (instead of comparing encoding specs, Netflix compared implementation of the specs). “Netflix’s tests clearly show that x265 is 20 percent more efficient than libvpx when encoding premium content using the most stringent settings, and measuring quality with VMAF.” Continue reading Netflix Video Codec Study Finds x265 More Efficient Than VP9