R.I.P., Zediva. The unorthodox online movie rental company had a short but exciting life, and has finally been forced to close its doors permanently, drop its court appeal, and pay $1.8 million to resolve claims from the MPAA.
Launched this past March, Zediva allowed customers to rent DVDs at its service center, which were then streamed to users’ computers. Zediva founder Venky Srinivasan was confident that his company had found a loophole in copyright law and that Hollywood wouldn’t be able to do anything about it. Said Srinivasan at the time:
“We are confident that the law allows consumers to watch DVDs that they have rented. We hope the studios will see us a partner.”
The studios did NOT see Zediva as a partner, and went after the company with both barrels blazing. Zediva was finally forced to close its doors in August after being hit with a preliminary injunction. The company expressed its hope that the shutdown would be temporary as legal issues were resolved.
That obviously did not happen, and now the company is done for. MPAA senior vice president and associate general counsel Dan Robbins said the following about the demise of Zediva:
“We are pleased that this case ended with a court order permanently ending Zediva’s infringement . . . This result sends a strong message to those who would exploit the studios’ works in violation of copyright law, on the Internet or elsewhere, and it is an important victory for the more than two million American men and women whose livelihoods depend on a thriving film and television industry.”
Is that really the “strong message” that Hollywood is sending, Insiders? Or do you think that once again the studios are coming across as tone-deaf and anti-consumer? How would you have reacted to the whole Zediva situation if you were a studio executive?
(via The Hollywood Reporter)
I told ya – what a waste of $$$.
You would think that before you invest in any movie rental business you would first contact a business lawyer first.
I doubt they have 1.8 million dollars to pay their fines. Taking on the MPAA is like taking on big tobacco or the gun industry. They have a million dollars in the bank for every dollar the average person has in their bank.
“They have a million dollars in the bank for every dollar the average person has in their bank.”
And they claim they still don’t make enough…
It was a stupid idea from to beginning. Poorly conceived and executed. Legally, a slam dunk for the MPAA. From day one, I knew it was a goner and a very dumb idea.
Yeah, I knew this would happen, but the way I hear the message the MPAA is sending is: “don’t ever buy a movie, in any form, as we don’t deserve a single penny”. Here’s my message to them: go ahead, kill anyone who’d think of a way to minimize your profits, make 90-day rental windows, whatever, you’ll end up not getting a single penny from me. I stopped going to theaters years ago, I’ve never bought a movie, except for special deals (about the price of a rental), and I’ve slowed down my rentals considerably, I might just go head and stop altogether; there hasn’t been anything worth seeing, anyway.
I’m with you BBQ but I’ll use only one word ‘ BOYCOTT ‘ .
” I stopped going to theaters years ago, I’ve never bought a movie, except for special deals (about the price of a rental), and I’ve slowed down my rentals considerably, ”
ME TOO,
I now go to the Public county Library ( we have a Huge County,& large Library system ) and get my dvd movies there now for FREE . We have a nice ‘ New DVD ‘ section in our Public Library and at least they are not 10 years old DVD’s in that section. lol.
Stop going to the big box stores and buying these Over-Priced New DVD’s .
Let the MPAA hear US and bring DVD prices DOWN to reasonable.
Only an idiot would not have seen this coming.
Hmm, I believe there was one idiot, on this board, who defended them. I wonder where he is? Poor FLON.
lol
LOL I haven’t even heard of them !!
I just love this blogs design. Is it BlogEngine?
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