Online Movie Downloads: the Future of Modern Film Viewing Essay Example

potential power (Littlejohn, 2008). The online movie viewing prospect has become so enticing that other than movie and TV studios, various governments worldwide have legally pursued modern film distribution online initiative to foster culture, commerce and advance the global film sector. In 2005, the European Union pioneered government support towards better online film distribution globally during the Cannes film Festival summit.

At a summit, 25 culture ministers acknowledged the potential of web-based platforms for expanding film audiences (Briggs, 2005). European Union Media Commissioner Viviane Reding stated that global demand for downloaded visual media would rise significantly in the coming years (Briggs, 2005). As major film studios work towards providing global online viewing options, cybersecurity is a crucial issue (Briggs, 2005). The film industry considers Bit Torrent and Tube websites as significant threats and urges federal government action to shut them down.

As studios develop online viewing options, governments worldwide will face pressure to eliminate illegal competition. To protect their interests, these governments must take action. If studios can trust the new security measures, they may become more willing to release productions online. Already, some movie download services are working closely with major studios and adhering to their security standards. Examples of reputable movie download sites include Apple iTunes, Guba, Cinema Now, and Amazon Unbox (Gonzalez, 2006). These sites differ in terms of what users can do with the video; some allow burning while others only permit downloading to a single computer (Gonzalez, 2006).

Apple iTunes launched its movie download store in September 2006 and generated over one million dollars in download movie sales during the first week of business (Gonzalez, 2006). The store offers movie rentals from major

studios such as Universal, Disney, Warner Brothers, and New Line Cinema, giving individuals the choice to download, rent, or browse and watch on the site (Apple, 2008). Amazon Unbox is another online movie download store that started in September 2006 and collaborates with virtually all the same studios as Apple iTunes.

Amazon has established participation agreements with several studios including Paramount, MGM, Universal, Sony, and Lionsgate (Amazon, 2008)(8). Customers using Amazon Unbox can either rent or purchase movies, and can often receive their first movie as a free trial (Amazon, 2006). Both Amazon and Apple are striving to obtain a share of the online movie download industry, making them significant players in the market for years to come. Undoubtedly, Apple's entrance into the downloadable movie industry will negatively impact sales in traditional video stores. The emergence of online video stores like Apple iTunes will ultimately result in the decline of traditional video stores (Braue, 2008).

Moreover, the online movie download industry's credibility and financial strength significantly benefit from Apple and Amazon's active presence in the field (Chmielewski, 2006). Additionally, BBC (2007) identified Cinema Now and Netflix as noteworthy players in the online movie download industry. Cinema Now, established in 1999, boasts partnerships with industry-leading companies in consumer electronics, digital entertainment, and film (CinemaNow, 2008). They collaborate with more than 250 major licensors such as 20th Century Fox, Disney, Lionsgate, MGM, Universal, Paramount Pictures, and Sony (CinemaNow, 2008).

Cinema Now claims that their online cinema products are suitable for major consumer electronics companies in the upcoming era. Customers can choose to burn-to-DVD, download-to-own, or rent movies. While Netflix is also a platform for streaming movies online, it has

a more limited selection as customers can only access restricted movies through downloads.

Netflix's primary focus is currently on the DVD rental industry, limiting customers' online viewing options. However, the company plans to increase its online viewing capacity to approximately 20 million viewers in five years. Netflix predicts that public interest in the online download industry will lead to both technological and financial growth for the online movie industry in coming years. Despite efforts towards a collective industry-wide shift towards movie distribution, obstacles such as unauthorized sharing of movie files by customers continue to hinder progress. These issues contribute to the larger problem of movie piracy, resulting from authorized customers distributing unauthorized copies through friends or shareware sites (BBC, 2007; Briggs, 2006).

Web sites where movies can be downloaded for free or a small fee are called shareware movie download sites. Some of these sites have implemented encryption downloads to combat piracy. This kind of encryption is embedded in the movie file, so that it can only be viewed on the computer where it was originally downloaded. Additionally, the film industry has started suing small-time file swappers in an attempt to discourage the use of these sites (Gentile, 2004). Furthermore, piracy by groups or individuals looking to profit is another challenge for movie download sites.

Typically, the act of movie piracy involves either websites or individuals who acquire and distribute film media without authorization for the purpose of illegal sales. As per current estimates, online piracy of American studio produced films is causing an annual worldwide loss of 6.1 billion dollars to the industry (McBride ; Fowler, 2006). Over the years, both the film and internet

communities have taken notice of these losses and adopted a firm legal prosecution position to address them. The Motion Picture Association of America initiated a campaign in 2005 with the objective of prosecuting individuals and organizations involved in illegal film distribution and downloading (Briggs, 2006).

Improvements to online movie sources are expected despite efforts by the media industries and government. While it is uncertain if traditional viewing methods such as theaters, video tapes, and DVDs will eventually be replaced by online video, it is unlikely to happen anytime soon. Nonetheless, movie downloads are gaining popularity and are likely to remain a fixture in the industry. Adaptation is necessary for the media to stay relevant as technology advances. As society increasingly depends on the internet, the film industry must transition online and eliminate disks for immediate content delivery suited for fast-paced lifestyles.

As the number of internet users worldwide continues to rise, the need for instant movie access will also increase. This demand can be satisfied through online movie downloads. Consequently, both film studios and the general public are likely to increasingly rely on this method in the future (Briggs, 2006).

The possibility of placing films on the internet is being considered by the EU, as stated in an article published on the BBC News website on September 20th, 2008.

The article "A Short History of Movie Concession Stands" by Pellettieri, J. was retrieved in September 2007 from uk/2/hi/entertainment/4871392.stm.

D. Braue (2008) wrote an article titled "From Slate.com" which can be accessed at http://www.slate.com/id/2169127/.The website CNET published an article titled "Apple has killed the video store; will ISP be next?" in 2008, which can be accessed through a hyperlink provided

on the page.

cnet.com.au/wireless/streamingmedia/0,239028928,339291433,00.htm by Chmielewski, D.

According to http://articles.latimes, the online box office has seen a rise as of September 21, 2008, based on a report from LA Times Online in 2006.

TechCrunch retrieved an article by Gonzalez (2006) discussing the comparison between iTunes and other movie download services on September 21, 2008. The article's URL includes "com/2006/sep/06/business/fi-movies6".

Here is a link to a TechCrunch article comparing iTunes movies to other options: http://www.techcrunch.com/2006/10/15/itunes-movies-v-the-rest/ Also, Gentile (2004) wrote on this topic.

USA Today Online reported the film industry has taken legal action against piracy by filing lawsuits. The article was retrieved on September 21, 2008.

McBride, S. and Fowler, G. (2006). com/tech/news/techpolicy/2004-11-16-film-piracy-suit_x. ht m

According to The Wall Street Journal Online, studios are experiencing significant increases in estimated losses due to movie piracy. This was retrieved on September 21, 2008. The source can be found at http://online.wsj/.

Amazon.com has introduced its Amazon Unbox™ service, as reported in an article published on SB114662361192442291.html. The news was announced in 2006 and the article can be accessed through the mod=home_whats_news_us&mg=com-wsjAmazon link. The retrieval date was in September of that year.

Amazon Video ™ was obtained from the website of Amazon.com on 22, 2008 through the following link: http://phx.corporate-ir.net/phoenix.zhtml?c=176060&p=irol-newsArticle&ID=903244&highlight.On September 22, 2008, the Apple iTunes Movies ™ could be accessed on Amazon.com by visiting http://www.amazon.com/b/?ie=UTF8&node=16261631&tag=googhydr-20&hvadid=2491398855&ref=pd_sl_59tkcf7vae_b.The HTML tag "

(2008). Retrieved Sept. 22, 2008, from Apple.com: http://www.apple.

" specifies that the data was acquired on September 22, 2008 through the website "Apple.com".The website CinemaNow™ provides information about movies. The information can be found on their webpage at http://www.cinemanow.com/itunes/whatson/movies.html and was retrieved on September 22nd, 2008.

According to BBC News' website (http://news), Netflix launched its online movie service on January

16, 2007. To learn more about Netflix, please visit cinemanow.com/Aboutus.

The release of online movies is enhanced by an article on bbc.co.uk published on April 3, 2006 titled "Online Movies Given Release Boost". The article has provided a boost to the release of online movies.

The source cited for entertainment news on the BBC News website was Littlejohn, according to an article accessed on September 23rd at http://news.bbc.co.uk/2/hi/entertainment/4871392.stm.

(2008). The exploration of web video options by studios. Retrieved on Sept. 23 from the Ventura County Star website: http://www.venturacountystar.

The web video options are being explored by studios as seen in the news article available at com/news/2008/apr/10/studios-explore-web-video-options/.