Kokomo Tribune; Kokomo, Indiana

Features

November 16, 2013

Comcast to sell films, TV shows via set-top box

It hopes to expand a market that's fairly small right now.

(Continued)

Purchases would be recorded in a digital locker that subscribers could access from a computer even if they drop TV service in the future, the person said. However, if consumers build up a digital collection, it could also offer a reason for customers to keep on subscribing for easy access.

Major Hollywood studios are supportive of the plan because it offers yet another outlet for digital sales, according to two other people familiar with the matter who spoke on condition of anonymity because they were not authorized to talk about the pending deals. Universal Pictures, the studio owned by Comcast, is expected to be involved at launch.

According to industry group The Digital Entertainment Group, digital sales of movies and TV shows in the U.S. amounted to $764.5 million in the first nine months of the year.

While that’s up 49 percent from a year ago, it’s about half the amount people spend on video-on-demand rentals and just 6 percent of the $12.6 billion spent on home entertainment overall.

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