Archive for November, 2012

Weekly News Roundup (25 November 2012)

Monday, November 26th, 2012

So despite saying that I’ve no interest in the Black Friday Blu-ray sales over at Amazon US and UK, some $400 later, I think I might have been wrong. I still maintain that the actual “lightning deals” put out by Amazon US this year has been fairly tame, with most of my buys coming via normal discounting. The Amazon UK sales were better, with some proper lightning discount (picked up the Prometheus to Alien evolution boxset, currently listed for $190 for pre-order on Amazon US, for only $43), and the Men In Black Trilogy. Plenty of stuff to tie me over well into the new year.

I didn’t just waste all of my time shopping for Blu-ray bargains. I actually did find some news this week!

Copyright

Should we really be surprised that the target of the latest anti-piracy police raid happens to be a 9-year-old Finnish girl? I don’t think so, because time and time again, anti-piracy agencies have shown that nothing is sacred in their pursuit of nasty, horrible web pirates.

Winnie the Pooh Laptop

The nerve center of a major piracy operation, according to the Finnish anti-piracy agency CIAPC

For the trouble of downloading a music album that did not work anyway, and for doing the right thing the very next day by buying the album in question, the reward is a police raid early in the morning, and the Winnie the Pooh laptop of the 9-year-old girl being confiscated for evidence. All because the father refused to pay a 600 euro “fine” and sign a non-disclosure agreement so the money grabbing remains a secret.

Normally, parents cannot be held liable for the actions of their children, but the shortcuts being taken by Finland’s copyright laws means that the Internet connection account holder, the father, would be liable for all authorized and unauthorized uses of the connection. Another shortcut? No need to prove anything, beyond a flimsy IP address, before police can search and seize (just what they expect to find on the laptop, a year after the fact, who knows). And that a legal copy of the album has already been purchased does not seem to matter, despite a loss of a sale being the most damaging thing a download can do (without considering the upload component, which may have been mere kBs in size, assuming the original download was even real or completed).

The worst part is that these anti-piracy agencies are so entrenched in their zealous believes (that what they’re doing is right and just), that they simply walk into controversies like this time and time again, with no shame at all.

The Department of Justice and the U.S. Immigration and Customs Enforcement’s (ICE) war on Internet piracy, through  “Operation In Our Sites”, has also been controversial to say the least. Not only has it not had any real effect on the web piracy problem, it did manage to seize domain names that is really shouldn’t have seized, mistakes that were magnified by the total lack of due process (which meant that the illegally taken domain names weren’t returned to its rightful owner until a full year after the seizure).

Unfortunately, there’s broad political support for this course of action, thanks to the liberal spraying of lobbying cash around in Congress and the Senate. But broad support does not equal unanimous support, and one congresswoman is trying to give website owners some extra protection against what she calls a new form of censorship (when domain seizures are accompanied by a total lack of due process). Rep. Zoe Lofgren (D-Calif.) is seeking help from reddit in writing a new bill to allow website owners advanced warning and the ability to mount a defence before any seizures occurs.

It’s exactly this kind of common sense bill that will no doubt be blocked by the usual suspects.

Derek Khanna

Derek Khanna, the RSC staffer thrown under the bus for having a sensible view on copyright

Across the isle, some Republicans haven’t been resting on their laurels either, although others may wish that they had. The Republican Study Committee (RSC), a caucus for conservative republicans, released an extremely sensible memo questioning the three major myths of copyright. One that copyright was created to help content creators monetize their works (actually, it was created for the greater public good, to encourage innovation and productivity), that copyright equals free-market capitalism (when it’s actually a government mandated entitlement system), and that the current copyright regime is working well to encourage productivity and innovation (when the reality is that copyright law is often used to smother innovation, and by legislating the protection of not only the right to earn revenue but the amount of revenue itself, this may lead to “rent-seeking” behaviour).

But just as the Internet woke up to probably the most sensible copyright statement made by any major party in who knows how long, the memo was unceremoniously pulled from the RSC website, and completely disavowed. Apparently, it had not been properly “reviewed” prior to publishing, and did not represent all opinions present within the RSC. Rumours of lobbyists (ie. the RIAA/MPAA) interfering persists, and really, would you be surprised?

Some have commented that this may be the Republican’s revenge for Hollywood’s pro Obama views, but while Hollywood stars, with the odd chair yelling exception, are all very much progressive-leaning, the industry itself has its money fairly evenly spread between the major parties, taking a leaf from the Wall Street playbook (or vice versa). But revenge or otherwise, what the memo represented was good, sound conservative principles, which in the light of day, doesn’t veer far away from the progressive view on the issue, even if the rationale may be very different. And this symbolizes exactly why US politics is so f***ed up at the moment, that both sides of politics can embrace the same point of view, and that it still can be easily dismissed because special interest has money invested.

High Definition

In Blu-ray news, Warner Archive Collection’s 2,000+ strong library of made to order titles will now start featuring Blu-ray titles, starting with just two this week. The collection features fairly rare and low demand titles that are made on demand, using recordable DVDs (and now Blu-ray discs) to fulfill each order. Discs are reasonably priced, usually under $20, with the two new Blu-ray movies (Gypsy and Deathtrap) being currently priced at $19.95.

To be honest, I had not been aware of Warner’s manufactured-on-demand store before, and it’s certainly an interesting take on the “video-on-demand” model. I do wonder whether the cost of producing new HD transfers for the Blu-ray films will be made back by sales, which I assume won’t be in huge numbers.

Gaming

With the Wii U release out of the way, time to shift the focus back on the Xbox 720 and the PS4. The latest Xbox 720 rumours still continue to re-iterate the same ones that have been making the rounds, including the obligatory Blu-ray drive, Kinect 2.0 and more CPU cores that you can shake a stick at.

Xbox World Jan 2013 Issue

The January 2013 issue of Xbox World has the latest Xbox 720 rumours, including a mock-up of what it could look like

The augmented reality glasses rumour isn’t new either, but they’ve been repeated again in this Xbox World magazine article, which is said to have been compiled by interviewing many “industry experts”. Somewhat new is the introduction of a toushscreen controller à la the Wii U controller, although with Microsoft actually having a tablet device of their own, perhaps integration is the wiser route to take.

Almost as quick as the Xbox 720 gets a Blu-ray drive, it’s set to lose it, and with it all support for optical media, when a “slim” version of the console is released 2 years into its life-cycle (which begins Christmas 2013, by the way). The “slim” will rely solely on streamed and downloaded games, the streaming perhaps coming from Microsoft’s own OnLive-like service, after the company had showed earlier interest in acquiring the gaming-on-demand service.

For CPU fans, the Xbox 720 may have a 4 hardware core CPU, each with 4 logical cores, for some serious 16-score gaming action.

Take what you read with a pinch, perhaps even a tbsp, of salt.

That’s it for the week. Time for me to take a rest and find a way to pay for the $400 worth of new Blu-rays that I really shouldn’t have bought. See you next week.

Weekly News Roundup (18 November 2012)

Sunday, November 18th, 2012

Welcome to the pre-Black-Friday-Deals-Week WNR. I went kind of crazy with last year’s Amazon BF Blu-ray sales, obsessively listing and updating the latest Blu-ray deals despite almost nobody, other than myself, actually reading what I was writing. This year’s discount calendar has already been leaked, but there’s almost nothing there that actually interests me, so I don’t think I’ll be as obsessed as I was last year. It also helped that most of the good Blu-ray deals last year happened at a good time zone for people here in Australia, and that most of the discs listed were region-free (this time, there seems to be quite a few Fox Blu-ray deals, which are all region-locked). Amazon UK is doing their BF thing as well and I’ll check them out, but stock seems to be quite limited last year, although this only makes it more exciting in my opinion.

News was a bit more plentiful this week, so let’s get started.

Copyright

The RIAA has responded to a recent report that found P2P users, those that downloaded a lot of pirated music, were also bigger spenders generally. Instead of denying the link, something that’s hard to do when other studies back up the same assertions, the RIAA appears to have created their very own straw man argument, that P2P usage is not the *cause* of increased music spending.

American Assembly - Copy Culture Survey - Music File Collections: P2P Users vs non-P2P Users (US And Germany) Source: American Assembly

The RIAA responds to American Assembly’s Copy Culture Survey, claiming there’s no causation link between P2P usage and increased purchasing (not that a lot of people made those links)

I’ve read a few articles that reported on the issue, as well as writing and commenting on the story myself, but at no point did I find an article that seem to suggest P2P usage was the cause behind the same user’s bigger spends. What most correctly identified, and a point which the RIAA concedes, is that P2P users were more engaged users, bigger music fans, and so naturally, they also purchased more stuff. Or as I originally wrote when responding to the report, “people who download a lot of music actually love music, probably more so than people who don’t download as much. And music lovers buy more music.”

But now that the RIAA has mentioned it, maybe there is a causation link between piracy and spending. If we take piracy as a music discovery service, than perhaps it’s this unlimited access to music that creates more engaged users, rather than simply a case of piracy being more attractive to already engaged users. Perhaps people whose music experience is limited by their budget cannot ever become as big fans as those that choose to exceed this limit, even if it means doing things illegally.

Regardless of whether this is true or not, the fact is that pirates are also the music industry’s best customers, and marginalising and disregarding this core group might reduce piracy rates, but will not help you increase revenue. It might even do the opposite, especially when the industry is keen to kick these very same people offline.

But one iOS app developer is taking the whole notion of “attacking your customers” to a new level, with their range dictionary apps auto-tweeting to user’s Twitter accounts with a self-confession to pirating the app. The only problem? It’s doing it for users that paid for the app, as well as those that are using pirated versions!

Naming and shaming pirates it not a new thing, but for some reason, these attempts always seem to backfire spectacularly. I guess in the excitement (or anger) of adding this feature, testing the implementation wasn’t the top priority. A tip: if you’re going to name and shame, make sure you’re not the one that ends up feeling shameful.

Piracy is a big problem for app developers, although just like other forms of piracy, I’m not sure if every act of piracy equals a lost sale. But surely pissing off your loyal customers is as costly if not more so than piracy. And then there’s the issue of privacy. Would I trust a developer that developed a secret function to access my Twitter feed, even if it only does it when it detects a pirated copy? Competition is fierce in the app sector, so armed with the knowledge that one app has this privacy issue, and another app doesn’t, I know which one I would choose.

As a side point, that Apple allows this sort of thing to happen (maybe they don’t, and the app developer, Enfour, may get into further trouble for their app’s secret feature) is also slightly disturbing. At least with Android, apps have to list all permissions upfront, and users can choose to disregard any app simply based on the permission list.

——

CNET Download.com uTorrent

Alki David’s lawsuit against Viacom/CBS/CNET for distributing LimeWire has now dragged uTorrent and other BitTorrent clients into it, by claiming CNET may be promoting infringing activities by promoting software like uTorrent

David Alki’s lawsuit against CBS/CNET has taken a nasty turn as Alki and his coalition of musicians decide to drag generic BitTorrent clients into the battle as well. In the latest filings, the plaintiffs alleges that CNET’s Download.com is still engaged in the same kind of wrongness as they did with LimeWire, this time by promoting and distributing BitTorrent clients like uTorrent. Even news articles talking up the legal aspect of BitTorrent are attacked for being propaganda pieces to help legitimize something Alki and co. says should be banned.

In the unlikely event that the judge agrees with the plaintiff’s position, this could very well spell the end for other file transfer protocols, including Usenet and FTP. Even HTTP, the backbone of the world wide web (it’s how web pages are transmitted) may be under threat, since I’m sure a significant percentage of HTTP traffic is also related to copyright infringement. In other words, I don’t think Alki and co. have a legitimate leg to stand on with this one.

In fact, when LimeWire was ruled to be illegal, the judgement did not extend to Gnutella or BitTorrent, both protocols that were part of the LimeWire network. Just like how Megaupload’s shutdown did not affect the status of HTTP, which Megaupload relied upon. So until a court rules against every and all BitTorrent clients, they remain perfectly legal.

Shortly after publishing the news article (and writing the above), I received an email from Alki David in which he linked to an interview he conducted with TorrentFreakin response to this latest development in the lawsuit. In the interview, David tries to explain the rationale behind this  latest move. David says that he isn’t against P2P software and software makers at all, but instead, he is against the way Viacom/CBS/CNET on one hand pursues the most heavy handed anti-piracy initiatives, and on the other hand “perpetuating file-sharing for their own gain”.

“Viacom is the same company that lobbied for SOPA and arrests, sues and fines kids like Joel Tenenbaum hundreds of thousand of dollars for downloading a handful of songs. The same people who want to have Richard O’Dwyer extradited from the UK for doing something that in the UK is not illegal!

Viacom is the same company that paid millions of dollars to companies like Media Defender and Artists Direct to monitor and police file-sharing whilst these companies profited from porn sites being exposed to young kids looking for other types of content,” David told TorrentFreak, before adding, “I do NOT think that torrent makers should be held liable. They can distribute but not promote the illegal use of their software.”

While David does make a good point, about the hypocritical stands that big content often takes towards copyright infringement (ie. they think it’s perfectly fine if it’s in their interest, or hoy Sony’s fervent use of DRM to protect CDs and DVDs, despite being one of the bigger manufacturers of blanks that pirates were using), I find it hard to believe that CNET would publish anything other than generic how-tos on BitTorrent, and that their legal department would allow the promotion of the illegal uses of BitTorrent. That BitTorrent clients do have legitimate uses, unlike say LimeWire, means that unless CNET wrote how-tos on how to find illegal music and movie torrents, they’re not really doing anything wrong.

His suggested solution to the piracy problem will surely cause more controversy as well. “I would send the ISP of the websites an invoice for a small fee (say 5 dollars) for each torrent download to give to the rights holders. The ISP would have to collect from the customer or pay it themselves,” explained David.

High Definition

It seems you don’t have to be a victim of piracy on a massive scale in order to lose a billion dollars every year – you can do it by playing to the rules too. According to rival Netflix, Amazon is losing up to $1 billion a year on content licensing. Netflix says they are aware of the losses because they’ve been competing with Amazon with quite a few content distribution deals. For the record, Netflix currently pay $2.1 billion for content every year. $2.1 billion divided by Netflix’s $7.99 x 12 annual fees equal 21,902,377, which kind of makes sense considering the service’s 20-30 million subscribers. Amazon has a lot fewer subscribers, but still have to license the same amount of content if they need to compete, hence the losses. Netflix had the luxury of allowing their content library to grow naturally, Amazon has the more difficult task of having to catch up in a very short period of time.

All of this seem to confirm that, despite their whining about the Internet, it’s boom times for Hollywood at the moment, thanks to competition between Amazon, Netflix and the other players, and some of them overpaying for content just to catch up or gain an advantage over the others.

That’s all folks for the week. Enjoy your Black Friday shopping if that’s your thing, and see you next week.

Weekly News Roundup (11 November 2012)

Sunday, November 11th, 2012

Another very quiet week, no doubt due to the focus on the election and the recriminations afterwards. I didn’t do too badly with my predictions though, 48 out of 50. Technically 49 out of 50, since I changed my mind just before the election and (literally) put my money on Colorado staying blue – so I only managed to get Florida wrong (mainly because I overestimated the Cuban vote for Republicans). I’m no Nate Silver, but considering I was mainly going with gut and educated guessing, I certainly did a lot better than most pundits out there.

Towards the end of the week, the October NPD results came in for video game sales in the US. Once again, not enough data to actually write a full analysis, so I’ll briefly cover it in this WNR. I’m hoping that the Wii U is successfully launched and Nintendo find it reasonable again to provide sales data, which assuming Microsoft continues to do the same, means we might have enough data for a full analysis again. I miss writing the NPD updates 🙁

Onto the news …

Copyright

Having started demoting websites that receive “too many” DMCA notices, you’d think that Google has finally gotten into rights holders’ good books. But as expected, they’re still not happy.

Their protest this time does seem to have some merit though, as a quick browse of some Google search results still show the “majors” (The Pirate Bay, isoHunt, KickassTorrents) still ranking relatively well, at least for certain terms, despite Google having promised that the major piracy sites (the ones receiving the most DMCA notices) would be demoted. Rights holders naturally sounded the alarm, and the first to their rescue has been the UK government, which has launched a review into Google’s latest anti-piracy attempt.

KickassTorrents' Google DMCA stats

KickassTorrents may have received more than half a million DMCA takedown requests, but it only represents less than 1% of their total indexed pages, which may or may not be enough to affect search results

Almost all webmasters will be familiar with the frustration of trying to work out how Google actually ranks search results, and how strange some of the results are, especially when it comes to websites that are clearly breaking Google’s rules and yet still rank highly. Google’s algorithm is so complicated, I doubt any single person working for the Mountain View company actually knows just how it all works. In the article I’ve linked above, I’ve tried to offer a brief overview of how a ranking for a webpage is derived, based on “good” and “bad” quality signals. I would guess that “DMCA notices” would fall into the “bad” quality signal, but it’s only one of possibly thousands of weighted signals, and just because a website has over 1 million DMCA notices, it doesn’t automatically mean that pages on the site will never rank. One of the most important “good quality” signals is user satisfaction, and people searching for pirated movies will be very satisfied by the “majors”, and these websites would also have a lot of relevant back-links, which is also another very important good quality signal. At the moment, it does look like Google may very well need to adjust just how important the DMCA signal is, to avoid torrent sites from still dominating certain search results. In fact, just doing a quick search today seems to reveal a totally new set of results for the same keywords, with the majors nowhere in the top 10 – maybe Google has responded already!

But even if Google does the impossible and removes every single piracy related torrent or streaming site from its index (note that is has never promised to remove sites, only demote them), I doubt rights holders would be fully satisfied. Because deep down they know that, as much as they want to make Google a scapegoat in all of this, Google and other search engines have never been a big contributor to the web piracy problem. Most traffic (probably upwards of 80-90%) to the majors are not search related traffic at all, but from people who already know of the site (called direct referrals).

Rights holders may be hoping that Google can do more to combat torrent sites, but for direct download sites like RapidShare, these site’s own policy of “self-harm” appears to be enough for now. This “self-harm” policy, implemented by many file hosting websites appears to be exactly what the rights holders had hoped would happen when it lobbied the US government to take action against Megaupload. RapidShare this week took the most drastic action yet, by implementing a daily download limit for shared files. For uploaders using free RS accounts, their uploads now have a daily download limit of 1GB, but even those on paid accounts cannot share more than 30GB of files in any given day. Private file sharing remains unlimited.

These changes comes after last week’s removal of the download speed cap, which has been in place since Megaupload’s demise as a way for RS to drive away the piracy related traffic that was looking for a new home. What this change effectively means is that RapidShare has now moved towards (or back to?) being more of a personal file sharing tool, rather than a public one, regardless of whether the content in question is pirated or not. If you need to share a largish PDF file, one that does not contain confidential information with a few people, then RapidShare still works great. But if you’re a software developer and you were using RapidShare to distribute your files, then you need to think again, even if you use a paid account. 1GB may sound like a lot, but for a typical 5MB download (which is actually the average size of downloads on Digital Digest), that’s only 200 downloads per day. If you’re an indie filmmaker distributing your own film … then forget about it!

Of course, RapidShare will argue that their service was never meant to replace proper file/download hosting, which can be quite expensive as the GBs really do add up. But the fact is that many indie content producers have relied on them in the past, and they will no longer be able to do so.

Disregarding the collateral damage, while the anti-piracy effect of this move may be exactly what rights holders wants, but this will only drive indie content developers towards BitTorrent, something that’s already happening. And the “mainstreaming” of BitTorrent is probably not what rights holders want at all.

——

Microsoft Kinect

Will Microsoft use the Kinect camera as a new form of insidious DRM?

An interesting/disturbing patent application emerged this week, one made by Microsoft, in which the company plans to use Kinect to enforce a new sinister form of DRM. The DRM would enforce a new kind of rights management under which users pay not just for a time limited usage of video content (ie. a rental), but would also have to pay for each additional user that watches the video. The patent suggest a way for Kinect to detect how many people are watching, and limit playback or charge the users more when a certain number is reached.

Now, patent applications are a dime a dozen, and most are for ideas that will never become reality, so it’s not really worth getting all worked up about this at all. But you just know that some suit somewhere in Hollywood actually thinks this is a great idea. As consumers, we have to be vigilant and we have to let rights holders know what is and isn’t acceptable – pay-per-viewer is definitely not an acceptable trend.

If anything, the trends has moved away from transaction based rental and purchasing, and towards the all-you-can-eat variety. Adding “viewer based transactions” will be a serious step backwards.

Gaming

As mentioned earlier, NPD has released October’s US video game sales report, and the Xbox 360 yet again was the most dominant console, having managed to grab 56% of the home based console market share.

Wii U ZombiU

Can the Wii U’s more “hardcore gamer” focus win back gamers from the Xbox 360 and PS3?

The Xbox 360 sales figures still represent a 31% decline compared to the same month last year. With the holiday period coming up, Microsoft will hope sales will start to pick up, because declines like this point to the need of a new console. I’m still hoping a good set of Wii U results, when it’s released in mid November, will prompt the company to start releasing hardware sales results again (I think they may do it if sales exceed that of the Xbox 360, but then perhaps if that happens, Microsoft will become less forthcoming with their own results).

But don’t discount the Xbox 360 just yet – the launch of Halo 4 might be at just the right time going into the holiday period, and none of the previews so far indicate that the Wii U is, graphically at least, that much more powerful than the 360 and PS3. So for the Wii U, it all depends on whether the tablet controller can be used to full effect, and whether that’s enough of a differentiator to make it stand out. Well at the very least, Nintendo’s flagship console will no longer be considered a technological throwback (not until the PS4 and Xbox 720 comes out anyway).

That’s all for this week. Have a good one, and see you in seven.

Weekly News Roundup (4 November 2012)

Sunday, November 4th, 2012

Welcome to November. Not much news this week, despite a very active search. You have to think that Hurricane Sandy might be partially responsible for the relative news lull, although with the US election coming up too (and Halloween), there’s only so much news cycle to go around. As usual, the best way to help Hurricane Sandy victims is to donate via the Red Cross, as they’re best placed to get goods and supplies to people that need it the most.

So without a lot of news, I’ll be talking out of my you-know-what about a wider range of topics that are of interest, but not necessarily stuff that’s usually talked about here (or stuff that wasn’t important enough to get its own news article, but still nevertheless interesting). Since I’e already mentioned the US election, I might as well post my electoral vote prediction. I’m a huge election nerd, although I don’t think I’ve paid as much attention to this presidential election as the last one, it’s still “fun” to make a few predictions or two. I don’t think Romney has much of a chance to be elected president, and I don’t think this election is as close as the media wants us to believe (a close election = better ratings, no doubt). Based on the polls and analysis I’ve read, I think only Florida, Colorado and Virginia are really up for play, and even winning all three won’t really help Romney without Ohio, which I think is just out of reach.

Anyway, we’ll find out one way or another on Tuesday, which is also Melbourne Cup day here. I might just put money where my mouth is on Tuesday with a flutter on horses and the election in which one of the candidate’s wife owns a horse.

Oh yes, the news. Here we go …

Copyright

When Megaupload was shuttered by the US government back in January, the entire file hosting industry went crazy overnight it seems trying to position themselves away from being the next target of legal action. Those at RapidShare must have been quietly please at the prescient decisions they had already taken to move away from the, often unfair, association of the services they provide to web piracy. But even RapidShare, having been removed from the MPAA/RIAA’s “bad websites” list a year earlier, was taken aback at scale of the Megaupload seizure and reacted, and possibly overreacted, by throttling free downloads to a snail paced 30 kB/s.

Rapidshare logo

RapidShare removes download speed throttling for its free download service, originally put in after Megaupload’s seizure to repel pirates from using RapidShare as a replacement

It was only until this week that RapidShare felt safe enough to remove this throttling, but only because they have “more efficient” measures on the way, to be announced towards the end of 2012. I guess there just had to be a more efficient way of repelling pirates than to mangle their own services, even for those that were using the site legally.

In my mind, the whole industry is still in “freaked out” mode over the Megaupload thing, forgetting that the law is actually on their side as long as they properly enforce the DMCA, and do not reward users for uploading popular (aka pirated) files. RapidShare, perhaps because they were always one of the larger targets, I think have gone overboard with their anti-piracy initiatives. I don’t think they’ll ever convince rights holders that they warrant the right to exist, so doing what’s required is, well, all that’s required.

The only person not freaking out appears to be the person most affected, Kim Dotcom. He has promised that the next Mega-project, Megabox, will be launched in January, almost exactly a year after Megaupload’s seizure. This too may be an overreaction to the seizure, trying to get back into a game which may already be lost, but at least it’s not a cowardly reaction.

Speaking of overreactions, the UK’s Telegraph has a blog in which the blogger, James Rhodes, described his experience attending Sony’s Skyfall (trailer) premier in London, and how he felt more like a suspected terrorist than an invited guest, thanks to the anti-piracy measures being deployed.

It’s no longer a surprise to see cinema stewards spying on you during a session with night vision goggles, but when Rhodes was warned via leaflet, and email, that “physical searches of your belongings and person” was going to happen at the premier, he must have wondered if he was actually going to a premier, or to a high security facility (like MI6 HQ perhaps)? And what dangerous things were the security guards looking for? Digital cameras and smartphones, most likely, or any other recording devices (I wonder if legal weapons such as knives were actually allowed to be carried inside, which would be kind of ironic).

To me, all of this paranoia shows us just how insecure movie studios are these days. But not about piracy – it has always been around – but about the quality of their films. They do produce a lot of crap these days (and at a much higher cost than ever before, thanks to lazy and liberal use of CGI), and so I guess it’s only natural that their first reaction to their own films is that people aren’t going to pay for them if they don’t have to. But the truth is that good films, like Skyfall according to reviews, don’t have a lot to fear from pirates at all, especially not during theatrical release. Going to a cinema and watching a movie on the big screen has no real illegal alternatives, and if people are not going, it’s more to do with their perception of the fees being not worth it due to the poor quality of the film, the presentation, or just the high cost of it all. Studios have taken filmgoers for granted for too long, and when market forces and competition (yes, piracy is a competitor, if not for the theatrical run, then for the home video release at least) calls on them to up their game and produce better (even if it means fewer) products, they have been far too arrogant in their assumption that all their misfortune is completely down to “thieves”.

Every industry has to adjust to changing consumer demands. Why should be the film industry be any different?

High Definition

A major change is happening with the home video market, but for the most part, studios have embraced it, if not 100% enthusiastically. Everyone thought that the logical successor to DVDs would be Blu-ray, but I think the actual successor is streaming video – from the sales figures, in which every percentage in decline in DVD is matched by an increase in streaming (with Blu-ray doing its own thing, mostly), it seems this is very much the case.

Amazon Prime Instant Video - New Additions

Amazon Prime is gaining market share at the expense of Netflix, but it’s still a long way off from being truly competitive

As a keen subscriber of Amazon’s Prime Instant Streaming service, I’ve personally seen the service grow from a handful of good shows and movies to a service that, as long as it continues to grow, may one day challenge the behemoth that is Netflix. There’s still not enough TV shows and new release content, but it’s getting there, and thanks to the Kindle Fire, Amazon has its own hardware platform to promote the service as well (a strategy that has worked so well, that both Google and Apple have both decided to play catch-up).

And a new survey seems to confirm that Amazon Instant is fast becoming a player in the lucrative subscription VOD market, with 22% of those surveyed now a member, up 5 points from seven month ago. That’s still nowhere near Netflix’s dominant position of 82%, but Netflix’s share has shrank 9% during the same period, which might be a cause for concern for the company.

For transactional VOD, Apple’s iTunes is still the most popular platform, with 16% of those surveyed having purchased content. This only represents a single percentage point growth, so there’s definitely more potential in SVOD (I still think Apple will have a say in this, at some point).

For devices used to consume content, for the first time, the iPad overtakes connected Blu-ray players as the most popular platform (32% vs 31%, changed from 25% vs 33% back in February). No doubt Amazon’s decision to release an iOS app for their streaming service might have played a factor here, as few Blu-ray players actually support Amazon Prime. Amazon has so far revealed no plans to have an Android version of their streaming app, most likely in an effort to prevent the cannibalization of Kindle Fire sales, even though this would greatly help with the adoption of the streaming service – this is where it still fails to properly compete with Netflix, which is available everywhere. Still, the Kindle Fire platform has proven a success for Amazon, if for no other reason than the fact that both Google and Apple have copied Amazon’s play with their own 7″-ish, video friendly tablets.

Disney Star Wars

Star Wars joins the Disney family … hope the new films are better than the prequels

So I’m betting you’ve heard about the almost too strange to be true story of the sale of Lucasfilms to Disney, and the release of more Star Wars movies starting in 2015. Reaction to the announcement has been all over the place, as the thoughts of Disney getting their hands on Star Wars left a bad taste in people’s mouths. I’m actually quite positive about the whole thing, because I think George Lucas has taken the Star Wars franchise as far as he can (and it was good to read that Lucas plans to donate all of the $4b earned from the sale to a foundation focused on education).

Everyone and their Kowakian monkey-lizard seems to wanting Joss Whedon to write and direct the next Star Wars, the director having directed Disney’s hottest and most recent success, The Avengers (which I finally watched this week, after catching up on all the other related movies – it was a pretty solid film). I’m a big fan of Whedon, and I think he would do a great job on Star Wars (and if offered the chance, I don’t see how any self-respecting geek could turn down the opportunity). With my luck, it will be Michael Bay! Although I did have a dream once where the New Republic’s latest and greatest battlecruisers go into battle with the Imperial remnants, in what seem to be a very one sided battle against their ageing  Star Destroyers. But the seemingly normal Star Destroyers suddenly transform into something much more dangerous, showing exactly what the Imperials have been up to since the Battle of Endor. Return of the Empire!

(Makes “call me” gesture in the general direction of Bob Iger)

That’s it for the week. Have a nice one.