SAN FRANCISCO - Hollywood studios are considering a “sale-only’’ window for new DVDs that would delay consumers’ access to rent new titles, said Reed Hastings, Netflix Inc. chief executive.
The delay would be voluntary and discussions are part of an effort by movie studios to give a jolt to declining DVD sales, Hastings said Thursday in an interview. No agreement has been reached and other rental services may choose not to participate, he said. By accepting delayed rental releases, retailers may receive lower rates for buying movies, according to Hastings.
“If they can make it economically attractive for us, and it is economically attractive for them, then we both can voluntary agree to do it,’’ Hastings said.
DVD sales have dropped about 10 percent this year, as more people get videos online or rent using Netflix’s mail-order service or Coinstar Inc.’s Redbox kiosks. With a sales-only window, customers wouldn’t be satisfied having to wait for new releases, Douglas Anmuth, an analyst at Barclays Capital in New York, said yesterday in a note.
Coinstar indicated it may be willing to go along with the plan if it can get equal access and if other rental outlets agree.
