Can Blockbuster on PS3 compete with Netflix on Xbox 360?
By Mike Ferro
There is a rumor doing the rounds on the Web indicating that Blockbuster may be making its service available on the PS3 in the same way Microsoft partnered up with Netflix on the Xbox 360. If Sony does indeed partner up with Blockbuster, the service may give Netflix on the Xbox 360 a run for its money.
Last E3, Microsoft made a huge announcement about its new partnership with Netflix to bring Watch Instantly to Xbox Live. Blockbuster recently announced a new service called OnDemand, which is a revamped version of the old MovieLink service. The MovieLink service was Blockbuster’s version of Watch Instantly, where you could stream and download movies via PC.
With the new OnDemand service, users will be able to stream movies through a set-top box. According to MSNMBC, Blockbuster Chairman and Chief Executive Jim Keyes indicated that they are actively seeking an alliance with video game console makers and Blu-ray manufacturers.
There would be only two video game manufactures capable of this service, Microsoft’s Xbox 360 and Sony’s PS3. Since Microsoft already has an exclusive partnership with Netflix, it seems that the PS3 would be the likely candidate.
There are two distinct differences between the Netflix Watch Instantly service and Blockbuster OnDemand. Netflix Watch Instantly does require a monthly subscription to the DVD by mail service. On Blockbuster’s service, users without a subscription can download off OnDemand, à la carte.
Keyes also indicated that unlike their competitors [Netflix], users will be able to download from over 2,000 of the latest movies, such as The Dark Knight. The executive blasted Netflix by indicating that it would take competitors two to three years to even offer new movies like The Dark Knight through their download service.
If you read our recently published “highly-popular” story, “Netflix on Xbox 360 defeats the purpose,” I indicated that one of the biggest complaints about the service was the fact that all of the movies were at least a few years old. This is one advantage Blockbuster has over Netflix.
However, the à la carte model seems a bit inferior to the Netflix subscription model. I like the idea of paying $20 and getting unlimited movie downloads. Although, I can see the benefits of an à la carte service to consumers who only watch a couple movies a month.
Alas, I have my doubts that Sony will end up partnering with Blockbuster on the PS3. Sony has invested quite a bit into the video section of the PSN store and parenting up with Blockbuster will only provide fierce competition to itself. Sony has been aggressively adding movies to the PSN video store by signing on studios one by one as well as offering its internal library.
However, partnering up with Blockbuster would be a brilliant marketing move on Sony’s part, but considering how misguided I feel Sony’s marketing team is, I have doubts that they have the insight to see the benefits.
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Tips N4G
December 1st, 2008
Hi uh I really got myself into really bad debt. I was uh….paying one credit card off with another, for over four years now. Uh I just went on and on you know.
I’m like really…broke right now, about to file bankruptcy. And you know I’m trying to get a penile implant. I need to enlarge my uuuh, package to pick up the chicks these days…..
December 2nd, 2008
My problem with either service is this: I already have on-demand cable. I can already watch movies and shows without waiting for a download, or worrying about hard drive space. If Blockbuster were to come to the PS3 I might try the $20 a month for unlimited downloads. It sounds like a pretty good deal, but I’m not sure how much I would end up actually using it.
December 2nd, 2008
I thought the login would stop the bull shit.
Start banning these idiots IP’s.
December 2nd, 2008
@BJ.
Cablevision (long Island) also has on demand service but its pay per view more or less. You have to pay for each rental, unless you get a subscription for say.. HBO on demand for an additional 5 a month. But it’s the same movies all month and I find I’m better off recording them in real time on my dvr when they make it to HBO0HD anyway, so it hardly gets use. Plus its temperamental as a MF’er. I missed an episode of true blood and each time I wanted to watch it the damn show was skipping like crazy.
I would get rid of cable (only use it for Internet) if a good solution came along and I could DL the shows and movies I want for a monthly fee. I have to imagine it would be cheaper than the 140 a month I currently spend!!
December 2nd, 2008
I have Comcast (Philly)… most of the movies are pay-per-view, and are least a few months old. It is good for catching episodes of shows, but the selection is small and only gets updated about once or twice a month.
The $20 a month for unlimited new movies sounds like an amazing deal to me. I would defiantly try it out.
December 3rd, 2008
Well in my house in Brooklyn i have Time Warner Cable is great and here in Long Island Cablevision which sucks because is pure garbage the menu. I have all premium channel from TWC hope fully Sony will make Blockbuster give us their best effort NEFLIX is crap.
December 3rd, 2008
it’s a bad idea as sony is hoping to recoup losses on bluray movies sold…
they just shot themselves in the foot….. again…lol..
its hilarious that the fanboys refuse to acknowledge netflix is still in its early stages on xbox live… ms has proven they know how to grow and expand features on xbox live… and netflix will be no different…
December 3rd, 2008
@kev. Rental and purchasers are a different market. Rentals have always existed yet people still purchased dvd’d because they wanted to “own” the movie.
What Sony should do is….not do anything with Blockbuster at all. They should have a subscription package for their movies through psn to rent for say $20 a month.
If you want to rent individual you have that option. after you spend $5 on the rental, you should have the option to purchase the blu ray disc and have it mailed to your house for an additional $10-15.
If people really enjoyed the movie they now have an option to own it at a discounted price after viewing it.
December 3rd, 2008
Phranctoast,
That’s actually a REALLY freaking good idea. It wouldn’t be too difficult to implement it, at least on the software side, and it would have people using the PS3 even more. The only problem is that Sony doesn’t have the infrastructure in place to instantly make themselves into a major movie retailer/distributor, so they would probably need a second party involved that could facilitate shipment of discs, etc.
…and that’s where a company like Blockbuster could come in…
-Arvis
December 3rd, 2008
ARVIS and phranc - go learn about licensing business models and you’ll discover just how off base you both are….
oh…and if sony were to implement their plan, you guys just lost your “psn if free” bs….
December 3rd, 2008
Arvis & Phranc.
Understand kev is rigth %101 of the time ok? Jeez you guys are idiots for even questioning both his logic and knowledge.
Ill add the word ‘noobs’ to make myself even more badass and in touch with gaming culture.
noobs.
December 4th, 2008
@SW.
thanks for putting into perspective.
@kev
PSN would still be free. This would be a subscription to the movies portion. hokeed on fonniks werks.
December 4th, 2008
phranctoast - so SOME of the psn is free while other features are not… buty somehow that STILL means psn is “free”..
wow..you guys really fall for marketting spin pretty easy…
i guess that was apparent when you bought an overpriced bluray player with a subquality gaming library..
oh well..you always got BLOORAY…oh wait…until blockbuster steals their money…
December 4th, 2008
Y’know Kev, sometimes I can at least kind of see where you’re coming from when you post. But now you’re just being an idiot just to be an idiot.
The Playstation Network is a service designed to allow PS3 users to play games online, browse and download online content, and (here’s the kicker) HAVE THE OPTION TO BUY STUFF! And guess what? It does not cost money to use this service. The End. If you disagree, then you are purposely making yourself into a surly and belligerent imbecile.
-Arvis
December 4th, 2008
Oh, and by the way, SW you crack me up.