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According to the MPAA, the global cinema box office in 2009 increased by 7.6% from 2008, setting a new record and nearly reaching the $30 billion dollar mark. This is despite a global recession the likes that many have not seen for a while.
Overall, global box office is up nearly 30% since 2005, bringing into question the MPAA's claims that online piracy, which has greatly accelerated during these last few years, is filling off the industry.
While DVD sales are down, increases in Blu-ray sales have offset some of the losses there, and studios are relatively positive in this area as they see Blu-ray adoption giving them a revenue boost in the short to mid term. Online movie services, such as Netflix, are also gathering popularity and could be yet another source of income for studios, especially as 3D Blu-ray roll out throughout this year.
A large part of the success of cinemas comes from the introduction of 3D screenings, which has been very popular with cinema goers. This is a good example where innovation can trump problems like piracy, since people are still happy to pay as long as they believe they are getting value for their money. But Hollywood's own greed might yet again destroy another form of innovation, as they seek to reduce the screening times of movies at cinemas to increase home video profits, which they earn a larger percentage of compared to box office receipts.
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Overall, global box office is up nearly 30% since 2005, bringing into question the MPAA's claims that online piracy, which has greatly accelerated during these last few years, is filling off the industry.
While DVD sales are down, increases in Blu-ray sales have offset some of the losses there, and studios are relatively positive in this area as they see Blu-ray adoption giving them a revenue boost in the short to mid term. Online movie services, such as Netflix, are also gathering popularity and could be yet another source of income for studios, especially as 3D Blu-ray roll out throughout this year.
A large part of the success of cinemas comes from the introduction of 3D screenings, which has been very popular with cinema goers. This is a good example where innovation can trump problems like piracy, since people are still happy to pay as long as they believe they are getting value for their money. But Hollywood's own greed might yet again destroy another form of innovation, as they seek to reduce the screening times of movies at cinemas to increase home video profits, which they earn a larger percentage of compared to box office receipts.
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