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Report: Sony to unveil PS3 video service in July

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Old 04-21-2008, 03:17 PM   #1  
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Arrow Report: Sony to unveil PS3 video service in July

I posted this in the downloads section but I wanted to post it here to get some of your thoughts on if you think it will/won't affect BD sales.


http://www.gamepro.com/news.cfm?article_id=178128

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The Los Angeles Times on Monday reported that Sony could reveal a new video download service for PS3 as early as E3 2008.


According to anonymous executives close to the Los Angeles Times, Sony will announce an online video service for PS3 as early as summer, presumably (or conveniently) in July at E3, gaming's largest worldwide press event.

The incognito sources went on to say that Sony has recently been in talks with various studios to license movies and TV shows for download from the PS3 Store.

While the timing of such an announcement is unconfirmed, Sony has already alluded to plans to compete with Microsoft's Xbox 360 Marketplace for video downloads.

"Many of you have been hearing rumblings about a video service that will allow you to download full-length TV shows and movies via PlayStation Network for North America," wrote Peter Dille, senior vice president of marketing for SCEA, in a blog post last week. "While I don't have any new announcements... it's already been confirmed that we'll be offering a video service for PS3 in a way that separates the service from others you've seen or used."

Sony has unsuccessfully tried to launch a digital download service twice before. Last year, the company sold Movielink to Blockbuster Video for $6.6 million after disappointing sales of downloadable movie rentals. In March, Sony pulled the plug on its iTunes-killer, Sony Connect.

In related news, Nikko Citigroup on Monday said it expects the PlayStation 3 to break even by August via the possible introduction of a smaller Cell processor (or a fully redesigned PS3 Slim) to reduce manufacturing costs. Currently, the PS3 sells at a loss, which is standard in the industry.
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Old 04-21-2008, 03:22 PM   #2  
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I know Microsoft was kind of suffering from the same issue, be fore HD DVD went under, but it seems like a more serious issue with Sony.

Why would they want people to be able to download and buy HD movies when they are trying so hard to launch a new HD disc. It seems like any purchase on the PSN would be one that is lost to Blu-ray. That is assuming that they will have HD movies and shows available.

Still though, it just seems like a bad idea.
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Old 04-21-2008, 03:23 PM   #3  
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Wonder how the quality will be. I'll try it out. Anything beats my cable HD VOD and I don't have a 360 anymore.

Sometimes I'm lazy enough to VOD, but then I kick myself when I get the bill. Oh well. The cycle continues.
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Old 04-21-2008, 03:25 PM   #4  
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Quote:
Originally Posted by KEEBS1984 View Post
I know Microsoft was kind of suffering from the same issue, be fore HD DVD went under, but it seems like a more serious issue with Sony.

Why would they want people to be able to download and buy HD movies when they are trying so hard to launch a new HD disc. It seems like any purchase on the PSN would be one that is lost to Blu-ray. That is assuming that they will have HD movies and shows available.

Still though, it just seems like a bad idea.
Many of my BD purchases have been the result of surprisingly good netflix rentals. If anything, renting movies makes me go out and buy them more times than not.

But that's just me. I know many others are fine watching a movie once. I've watched just about all of my HDM discs at least 3x each. Some even more.
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Old 04-21-2008, 03:31 PM   #5  
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Quote:
Originally Posted by KEEBS1984 View Post
I know Microsoft was kind of suffering from the same issue, be fore HD DVD went under, but it seems like a more serious issue with Sony.

Why would they want people to be able to download and buy HD movies when they are trying so hard to launch a new HD disc. It seems like any purchase on the PSN would be one that is lost to Blu-ray. That is assuming that they will have HD movies and shows available.

Still though, it just seems like a bad idea.
Well I still think VOD/downloads are more competition to blockbuster rentals and potential piracy more so than it is to retail sales.
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Old 04-21-2008, 03:47 PM   #6  
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Quote:
Originally Posted by KEEBS1984 View Post
I know Microsoft was kind of suffering from the same issue, be fore HD DVD went under, but it seems like a more serious issue with Sony.

Why would they want people to be able to download and buy HD movies when they are trying so hard to launch a new HD disc. It seems like any purchase on the PSN would be one that is lost to Blu-ray. That is assuming that they will have HD movies and shows available.

Still though, it just seems like a bad idea.
It crosses a selling point off Xbox Live Marketplace over the PS3. Also as ssj says, I feel it's more aimed at the rental market. If people buy a film to watch just once, chances are they wouldn't ever fork out HDM prices for it, that would just be IMO a waste of money.
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Old 04-21-2008, 04:04 PM   #7  
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I guess it depends on if the PS3 will be based more off of a rental service, or a buying service. Surely the latter would affect Blu-ray disc sales, if said films were in HD...
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Old 04-21-2008, 04:23 PM   #8  
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This service will have an impact on Blu-ray and DVD rentals and to a lesser extent an impact on Blu-ray sales in my opinion. Still, if the service is good it sure makes the PS3 an even better product than it already is. My Comcast VOD is dreadful here in Little Rock, I am not sure how the stupid service works, but all I have seen so far are of very low quality, compression is extreme.

Blu-ray and video downloads to the PS3 can co-exist and if the PS3 didn't offer it, other services will so Sony is making the correct move to offer this service in my opinion.

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Old 04-21-2008, 04:25 PM   #9  
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I think it might effect BD movie sales, but I also think it is more to compete with the 360 and rentals.

It is no surprise to me or most here I imagine that they are doing this as they (and us here) talked about this last fall when Sony mentioned it. I think Sony are just throwing things against the wall to see what sticks.

Many other companies are doing this also, because they see the success of MP3s and downloads for music and it is a no brainer that studios will make more money with the download model over the disc mfg/sales model.

Is it a BD killer? I doubt that this alone would do that, but it certainly will not help BD IMO.
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Old 04-21-2008, 04:28 PM   #10  
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BTW . . .

There is nothing whatsoever connected to the announcement that remotely says that the movies available will be in HD. The fact that Xbox Live does offer HD movies is a secondary issue.
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Old 04-21-2008, 05:39 PM   #11  
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Quote:
Originally Posted by PFC5 View Post
I think it might effect BD movie sales, but I also think it is more to compete with the 360 and rentals.

It is no surprise to me or most here I imagine that they are doing this as they (and us here) talked about this last fall when Sony mentioned it. I think Sony are just throwing things against the wall to see what sticks.

Many other companies are doing this also, because they see the success of MP3s and downloads for music and it is a no brainer that studios will make more money with the download model over the disc mfg/sales model.

Is it a BD killer? I doubt that this alone would do that, but it certainly will not help BD IMO.
We can speculate on what the impact will be but I don't think we really have any idea. If the downloads look as good as the video trailers I have downloaded and watched using my PS3, then the quality will be very good. The better the service works, the bigger the negative impact on Blu-ray. Blu-ray only exists because it is very high quality and is head and shoulders above anything else available, of course exclusive of the soon to be extinct HD DVD.

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Old 04-21-2008, 05:43 PM   #12  
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I don't think its going to compete with Blu-ray much if at all. If it is a pay and buy service (which I doubt), then maybe it will. But if its just rentals, I don't see it competing with blu-ray.

People either want to rent or they want to own.
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Old 04-21-2008, 05:44 PM   #13  
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Quote:
Originally Posted by Lee Stewart View Post
BTW . . .

There is nothing whatsoever connected to the announcement that remotely says that the movies available will be in HD. The fact that Xbox Live does offer HD movies is a secondary issue.
The whole premise of the PS3 is HD. I can't imagine them launching a long awaited movie service without HD titles.
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Old 04-21-2008, 06:04 PM   #14  
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The whole premise of the PS3 is HD. I can't imagine them launching a long awaited movie service without HD titles.
As this "announcement" is not an official announcement from Sony . . . we will just have to wait and see.
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Old 04-21-2008, 06:17 PM   #15  
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Quote:
Originally Posted by Chris Gerhard View Post
We can speculate on what the impact will be but I don't think we really have any idea. If the downloads look as good as the video trailers I have downloaded and watched using my PS3, then the quality will be very good. The better the service works, the bigger the negative impact on Blu-ray. Blu-ray only exists because it is very high quality and is head and shoulders above anything else available, of course exclusive of the soon to be extinct HD DVD.

Chris
That is ALL we can do is speculate, which is why I said "I think".

Seriously though, I agree that we ARE just speculating for exactly the reasons you outlined. It isn't here yet and we do not know what the PQ/SQ will be.

I do think if it does take off in a big way it cannot be good for BD, but will effect rentals even more since that is the market downloads are targeting since you cannot own the movies you pay for/rent.

However if PQ/SQ is very good and they make it so cheap and convenient to download, then most people would just rent if for those movies they will not watch more than 2-3 times, as it will be cheaper to just rent those titles with more limited viewing times.

We will have to wait and see on all aspects to even make truly educated guesses as to what the impact to BD could be. Even then most here are not the average consumer of movies so we may not be the best judge of how the masses might like it.
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