Report: Internet film viewing to surpass disc viewing in 2012

More and more people are choosing to watch features films via an Internet-based service versus buying them on physical DVD or Blu-Ray disks. The Los Angeles Times reports that according to a new study from IHS Screen Digest, 3.4 billion movies will be watched by consumers in 2012 on streaming Internet video services such as Netflix and via downloads on iTunes and other online stores.

By contrast, the report states that in 2012, just 1 billion movies will be bought on DVD and Blu-Ray disks combined. However, the study predicts that revenues from DVD and Blu-Ray movies will total $11.1 billion in 2012, compared to just $1.72 billion for Internet-based purchases of feature films.

Part of the reason for this difference is that the cost to purchase and view a movie via the Internet has been lowered thanks to Netflix, Hulu and other services that charge a small monthly fee to watch all of their library of films at any time.

Hollywood movie studios have taken notice of streaming movie services and have launched their own way to combat it with UltraViolet. This recently launched service is included in some new DVD and Blu-Ray movie releases, and allows customers to not only own the physical copy of the film but to gain access to a cloud-based version of the same movie that can be streamed to the PC and various mobile devices.

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Interesting to see that DVD is still going strong. I figure by now alot of companies will be trying to move away from that. and just stick with bluray altogether.
Maybe its still cheap enough to produce and thats why they do it. Otherwise I have no idea.

Netflix works great on every device I own except on my dedicated Windows Media Center which I figured out Internet Explorer 9 makes it crash but version 8 works great the only other gripe I have is having to pay for Xbox Live Gold in order to watch it on there so my Wii gets used alot in my house (just for Netflix) it has the easiest interface out of them all as well.

It pretty much makes sense considering the speed of an average internet provider is around 12-20 Mbps....and the fact just about all gaming consoles allow online movie viewing.

Back in the old days...and by "the old days"...I'm referring to about 10 years ago...the internet provider speed was around 5-8 Mbps...and gaming consoles didn't have the feature to watch movies online. So..most people had to buy DVDs to get the quality of the movie.

texasghost said,
It pretty much makes sense considering the speed of an average internet provider is around 12-20 Mbps....and the fact just about all gaming consoles allow online movie viewing.

Back in the old days...and by "the old days"...I'm referring to about 10 years ago...the internet provider speed was around 5-8 Mbps...and gaming consoles didn't have the feature to watch movies online. So..most people had to buy DVDs to get the quality of the movie.

You had some good internets back then. 10 years ago I was lucky to have 1.5 mbps.

Will these companies ever learn that cooperation and innovation are the way forward... Rather than trying to strangle the market to death in an effort to increase a line on a graph. Which only ends up hurting them in the long term anyway.

Ultraviolet sucks, I was suckered in with their 2 free movies promo. Then they cancelled my account because I didn't activate my account from an email they sent me days later. Also, I think the only way you can watch the movies is from a computer or smartphone/tablet with an internet connection. I wish they'd get a clue.

Hmm. Does this take into account the fact a lot of Blu-rays come with an iTunes voucher for a digital copy of the film you've just bought?

Honeslty I don't know anything about UltraViolet; matter-of-fact this is my first time hearing about it but by the simple fact that its coming from a group of organizations that jump through hoops to make me hate them means that I won't ever give UltraViolet a try. I'ven burned too many times but the studios with their false claims about view anywhere/anytime.