Cannes Film Festival 2013

Listen: The MCP takes a close look at Netflix Watch Instantly

Can an online library replace physical media completely?

<p>As you listen to the podcast today, picture Scott as the kid in this picture and me as Billy Bob.  That's pretty much exactly how it was when we recorded.</p>

As you listen to the podcast today, picture Scott as the kid in this picture and me as Billy Bob.  That's pretty much exactly how it was when we recorded.

Credit: Miramax/Dimension Home Video

It does not remotely surprise me to see a trends piece in the Wall Street Journal (I'd link to it, but it's behind a paywall, so what's the point?) about Blu-ray sales finally starting to convince the industry that people might actually want physical media still.

Well, duh.  I've been saying that in print during this entire digital explosion, and people have spent a lot of time and energy telling me how wrong I am.  "No way.  Everything will be streaming in the future."  While I believe that streaming media is a major part of the marketplace at this point, I don't believe it's ever going to replace physical media completely, and I'm tired of being told that it will.

As a result, I've been guilty in my own way of being willfully blind to a bit part of the industry.  I have enough movies here in the house that I don't see much need to rent, particularly if it involves driving somewhere or mailing something.  I'll rent PS3 games from GameFly, but that's because I'm tired of paying $60 to play something for eight hours.  I rarely play a game a second time after I beat it, and the price point doesn't make enough sense to me on most titles.  With movies, I rewatch them, and I keep them so I can share them with others.

I decided to finally try out some of the various digital rental services for myself.  I rented a movie from iTunes.  I rented a few movies from the Playstation Network's rental service.  Finally, a little over a week ago, I signed up for Netflix's Watch Instantly service through the PS3.

In this week's podcast, Scott Swan joins me to discuss the idea of Netflix in general, their service specifically, and the debate on physical media versus streaming media.  We end up talking about a ton of different films and rambling wildly, and at this point, I would expect nothing less from Scott and I and a microphone.

We're done podcasting for the year, but we'll have a lot of stuff for you in January and in 2011 in general, and we'll be involving some really interesting guests for you as well.  Thanks for making my first year of podcasting a fun one, and here's to further growth in the year ahead.

As always, you can find us on iTunes, or listen to the embedded player below, where you can also download the podcast directly.

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The Motion Captured Podcast #13: Is Netflix Instant Naughty or Nice?

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  • Default-avatar

    David

    Terrible review and i hate ur negative oppinion. Each person likes things different and i felt your reviewe was a little forceful and biased.

    December 25, 2010 at 5:57PM EST Reply to Comment
  • Default-avatar

    Sarah

    I'm running a survey for my Bachelor thesis, including video-on-demand services etc. I'd apprecite your support to take part in it to support my studies. Thanks in advance. http://tinyurl.com/32m89f8

    December 25, 2010 at 6:19PM EST Reply to Comment
  • Jeff_avatar_2_talkback_profile

    Mulderism

    Master Control Program? I haven't heard about the MCP since TRON defeated it.

    And what does it care about streaming video and/or Blu Ray?

    December 25, 2010 at 11:32PM EST Reply to Comment
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    Midichlorian Thetan

    Thanks so much for the podcast, Drew, I'm always looking forward to it. I do hope you're still planning on devoting one to the Alien Quadrilogy set sometime. I have no doubt you two would get a great conversation out of it.

    December 26, 2010 at 1:14AM EST Reply to Comment
  • 500full_talkback_profile

    velocityknown

    I'm not old enough to where I could have been amassing a DVD collection since they first made their debut in the 90s so I've taken to the instantly streaming media a little quicker than someone who might be used to the hard copy collection.

    I started off with iTunes, but the seasons and episodes I would buy off there took far too long to download. I have Netflix and have been introduced to a few shows via their instantly streaming service (30 Rock and Dexter), but not everything is streaming instantly so that's become slightly problematic.

    What I have become a big fan is Amazon Video on Demand. Yes you still have to pay, but it's far cheaper than buying hard copy DVDs and seasons. And with their Roku device you can stream everything you buy onto your TV. I am becoming fully invested in this as I basically perceive it to be the future of TV and a potential cable-killer. Instead of buying expensive cable packages that run you dollars upon dollars a month you can buy a season pass to say Boardwalk Empire instead of subscribing to HBO. I do still love the hard copies (just like I still love hard copy books but own an e-reader), but the future lies in stuff that streams instantly. The world will always go with what's more convenient and cost effective, it may take a little time to get there, but the major shift will happen one day.

    December 26, 2010 at 12:02PM EST Reply to Comment
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    Chrissy

    I know you're a movie guy, but don't forget that Netflix WI has TV shows as well. Being able to queue up any episode of 30 Rock or Better Off Ted is pretty cool. I still buy TV on DVD, but I'm a bit more discerning now and won't buy something without a great set of special features.

    December 26, 2010 at 1:25PM EST Reply to Comment
    • All_purpose_icon_talkback_profile

      drew Yeah, I burned through some "Man Vs. Food," and I've got "A Bit Of Fry and Laurie" loaded up, all of the seasons, as well as "Slings & Arrows," which I've never seen.

      December 27, 2010 at 12:52AM EST
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    JoeK

    The Netflix streaming service is the breakthrough app for delivery all the companies have been trying to create. It has semi-universal compatibility and frankly works great if you have the proper set up.

    The downside is the quality of the library, which I realize Netflix is trying to improve but the studios are intentionally impairing to bleed out their existing TV models. I'm personally quite concerned about how onerous the studios are going to be with Netflix in the near future. They are going to want cable-like fees for subscribers if they don't already and will withhold content (as they already do) if they don't get them.

    Which of course also makes the perfect case for physical media for those that care about access to material that can be granted or taken away on whims or marketing prejudices. When I read about retailers (and studios) complaining about home video sales while charging 30% or more than etailers for a typical title I wonder if they truly want to be in the retail business of selling them. To me, BluRay is the very best home standard consumers have ever had access to but there is this weird death wish for it at retail. Get the prices to sane levels and volumes will quickly outstrip any unit price losses.

    The downloading and streaming models out there are a future that is already here but if consumers are cut out of access to the stuff they want I predict the content providers will have greater problems with piracy and the like than they already do. Physical media, of exceptional quality like BluRay, will blunt that quite a lot and also make many of their customers happy and eager to buy more.

    December 27, 2010 at 2:41AM EST Reply to Comment
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    Chris Stangl

    So the p-cast conversation is an honest and enthused reaction to the depth and surprises available in the Netflix Instant Thinger library. Fair enough, and that was my first reaction to the service, too. I kept waiting for something else in this conversation though, but it didn't pop up and somehow, mysteriously, never seems to: Netflix Watch Instantly looks like garbage and doesn't work terribly well. With even pretty-okay Internet service, it stutters and buffers, has sound synch problems and fails to load with unacceptable frequency. Maybe my rig is set-up wrongly, and I claim no tech expertise, but why is this sub-VHS crappy resolution getting everyone so hepped up? iTunes and AmazonVOD files are likewise an utter and complete step backwards in terms of quality home video presentation.

    I used to think it was just object-fetishism collector impulse speaking, but I have major concerns with this "no physical media" dream world. Where's your files when your hard drive crashes? Where's your copy of SNOW WHITE when Disney decides to stick it in the vault before selling it to you again? Case in point, titles are removed from Netflix all the time (I believe "Cigarette Burns" was previously available). I find it very hard to believe that media rights-holders will make their properties available for home streaming/ download/ whatever unless they have the ability to prevent easy disc-burning, prevent file-swapping, the right to pull the plug at any time, etc. I don't see a Shangri-La where everything is available and nothing ever goes out of print. I see a netherworld where when a film goes "out of print" and isn't streaming, it's really truly unavailable.

    Look, a quick real-life example. Dario Argento's GIALLO was recently released on DVD, then had its release blocked by lawsuit. No new DVDs to buy, certainly not going to streaming services. But that DVD was available for a long enough window that anyone who NEEDED it could legally buy it, and can now legally buy pricey secondary market copies. Your (legal) copy of GIALLO doesn't evaporate just because the disc was pulled. Point being only that there are important practical qualities of physical media besides just the abstract desire to hold an object in one's hand.

    December 27, 2010 at 7:00AM EST Reply to Comment
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      Mike I use netflix streaming through a $150 Samsung Blueray player connected via a Linksys wi-fi/router (nothing fancy) and Panasonic Viero plasma TV and i think picture quality is excellent. The file should download completely to your machine before starting to watch, so there really shouldnt be any buffering/stuttering.. sounds like you may have some issues with your gear. Which, to be fair, is an enormously common problem with "normal" (i.e., non tech geeks) people trying to assimilate new technology into their lives. There's a certain subset of the populace that can process each new "thing" as easily/quickly as you might eat a bowl of cereal. Unfortunately, those techeratis are the folks working at the Best-Buy's of the world and are charged with imparting their wisdom on the rest of us....

      But I digress... point is, Netflix streaming works great when used through a proper set-up. But the rest of your post is right-on, and physical media will live on for exactly the reasons stated. The key will be in how retailers adapt to market and sell the real thing. The key is that a LOT of consumers historically buy DVD's not because they're collectors, or want to show off their massive DVD library to impress their friends, but just because they REALLY liked a movie and want to be able to watch it again every so often (or have kids who want to watch it every day..). And, that's EASY to do if you own it. But if i can pay a modest monthly fee to be able to watch ANY movie you once saw and liked -- maybe even a few new ones you havent seen -- and the price of poker is only that i dont get to keep that title on my shelf (again, assuming streaming quality is good), then i think a lot of consumers will buy into that, and at some time in the near future there will be a tipping point. The result will be physical DVD's/BR's going the route of 8-tracks, vinyl, and CD's - sold in much smaller volumes to collectors and audiophiles - people with a passion for media and/or specific artists, movies, etc. (and lower income folks, who will buy a $9.99 disc once in a while from Walmart, but get most of their DVD's illegally from pirates.)

      December 27, 2010 at 12:47PM EST
    • Default-avatar

      Chrissy I also don't have a problem with the quality (we watch through either TIVO or a Sony BluRay player - the BluRay seems to provide somewhat better quality). But I'll admit I'm not terribly concerned with picture/sound quality for the stuff I stream. Something like Pushing Daisies, I'll buy on BluRay because there's an obvious benefit to having that show in all it's visual glory.

      I do agree that some glitchiness still occurs (stopping and starting, lack of sync between sound and picture) but I experience it rarely. For the cost and the convenience it's well worth it.

      My only problem with all of the streaming options is, oddly, too much choice. I sort of miss browsing at the video store, making two or three choices, and watching those. Having access to 1000s of options can be overwhelming and a bit paralyzing.

      December 27, 2010 at 2:41PM EST
  • A_monty_talkback_profile

    Monterey Jack

    I will never, EVER give up buying physical media as long as it's being produced. I'd rather spend $20 on a beautifully-produced limited-edition release of a classic film score on CD than spend $7.99 on a crummy download with no artwork or liner notes I'm just gonna burn to a CDR anyways.

    December 27, 2010 at 4:11PM EST Reply to Comment

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