A．It's official: the heyday of the DVD is over. Walt Disney CEO Robert A. lger recently implied as much in an analysts' call — the only studio boss to suggest public that Hollywood can no longer count on a cash cow that has yielded billions in profits. DVD sales slid 6.3% last year. While the economy is likely a factor, it's also clear that audiences are bypassing DVDs because they have a range of other options, from watching movies and TV shows online to playing video games. As such, Hollywood executives face a conundrum familiar to many CEOs. They have to prop up a product that is losing momentum, buying time while they rethink their entire business model.
B．Next-generation Blue-ray discs will give the DVD a lift, but studio bosses still are scrambling to shore up sales. lger may believe the DVD's best days are behind it, but he too is trying to goose disc sales. He has been pushing the studio to make more Disney-branded films. Not only are parents more likely to buy Disney DVDs than other movies, but Disney-branded films can be marketed through the company's theme parks, TV channels, and stores. "The Disney brand," lger says, "gives us an advantage. "
C．As DVD sales decline, studios are looking for ways to cut costs so they can make more money on each disc. A primary target: the so-called backend deals that give stars and directors a piece of a film's revenues. Increasingly, executives are insisting that a film must break even before the studio will share proceeds. Sony Pictures Entertainment is forging such deals, "we can no longer afford to give away money when we can't be sure what the DVD sales are going to be", says studio chief Michael Lynton.
D．Right now, most studios are taking baby steps. Rather than waiting weeks between the release of the DVD and the online and cable versions of a movie, Warner Bros. and others are releasing a select few simultaneously. The aim is to entice teens and others who aren't buying DVDs. There also are moves afoot to let TV viewers download movies after they have opened in theaters but before they go on sale as DVDS. The idea, says Fox Filmed Entertainment CoChairman James Gianapulos, is to charge a premium — some in the industry have said as much as $ 40 — for an early viewing of a high-definition flick.
E．Paramount arguably has gone the furthest: It's premiering movies on the Web. Last year it streamed the comedy Jackass 2.5 on Blockbuster's site for free. The 64-minute film attracted 15 million viewers. It generated word of mouth, says Paramount, helping the studio sell the movie through a variety of sites. "You can use the Internet to launch a film like you use a movie theater, "says the studio's digital czar, Thomas Lesinski ,who plans to produce more low-budget flicks for the Web.
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Studios have found new ways to make more profits without the sales of DVD.
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Some CEOs are betting on the company brand to prop up DVD sales.
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To change the awkward situation of DVDs, it is an effective option for some companies to turn to the net for help.
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Studio managers are struggling with DVD sales, even if there are some new editions.
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The present situation of DVD sales is changing the means of profit distribution.
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DVD sales are great influenced by some other available entertaining choices.
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Taking advantages of website would probably promote DVD sales.
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The great decrease of DVD sales has brought many CEOs a big headache and an alarming warn.