 | | Dumb-dumb-dumb-dumb-dumb! Buying a 1984 business in 2011: Brilliant! | |
|
 | openbox9Premium
join:2004-01-26
japan
kudos:2 | Re: Dumb-dumb-dumb-dumb-dumb! Like buying any other group of assets, Dish gets the good stuff and can throw away the rest. It's not about "buying a 1984 business". | |
|
| |  LinklistPremium
join:2002-03-03
Longport, NJ
kudos:5 | Re: Dumb-dumb-dumb-dumb-dumb! said by openbox9:Like buying any other group of assets, Dish gets the good stuff and can throw away the rest. It's not about "buying a 1984 business".
I wouldn't say Dish WON this auction. More like they paid for a brand name that is now pretty much worthless. If they wanted to be a Netflix broadband streaming competitor, they could have done that on their own name and spent the $320 million on content deals and on tons of advertising. I think they spent a lot of money on something worth 1/10th of what they paid for it
--
Record your speedtest.net results in DSLReports SpeedWave
»www.speedtest.net/wave/afe201cb84d45c88 | |
|
| | | openbox9Premium
join:2004-01-26
japan
kudos:2 | Re: Dumb-dumb-dumb-dumb-dumb! Blockbuster already had several content deals, which I'm guessing is what Dish, and the other bidders, wanted. I seriously doubt that Dish, or any of the other bidders, care about the Blockbuster brand. Just my guess. I don't have a dog in the fight either way. | |
|
| | | | | | Re: Dumb-dumb-dumb-dumb-dumb! But that Brand is the primary asset they purchased. The problem is that Brand is about as tarnished as they come. I don't know very many people that weren't burned by Blockbuster late fees and hate the company as a result. In fact a know a lot of people that even though blockbuster had better mail order DVD deals refused to deal with them for that very reason.
If Dish spent that money for the content deals I hope they are smart enough to drop the brand because it's a toxic name IMO. | |
|
| | | | | openbox9Premium
join:2004-01-26
japan
kudos:2 | Re: Dumb-dumb-dumb-dumb-dumb! Dish already has a brand, no reason to confuse what people already know. I doubt we'll see or hear Blockbuster again except in the history archives. | |
|
| | | nice. a company that knows how to run a media based content company | |
|
|  SnowymIRC unix.ro UnderNetPremium
join:2003-04-05
Kailua, HI
kudos:6 | The cross-marketing opportunities are worth every penny of the price. | |
|
| | | Well thats $320 Million of dish's money they just flush down the drain | |
|
ardri6
join:2009-06-19
Olney, MD | Tom Cullen says Tom Cullen says M.O.O.N. spells throw $320 million down a rat hole. Laws yes. | |
|
|  stevennbOk, But, Thats The Last Straw.Premium
join:2001-05-08
Wayne, NJ | Re: Tom Cullen says Nice "The Stand" reference.  | |
|
| gigantePremium
join:2000-06-30
Anchorage, AK | LOL!!! | |
|
| DesdinovaPremium
join:2003-01-26
Gaithersburg, MD | Ha ha!! he should have spent that $320 million on Pepto Bismol for the diarrhea Blockbuster's green apples will give him!  | |
|
| | Blockbuster used to be ok This may go against the “Blockbuster Fail” sentiment, but I really appreciated the company in the mid-90s. I remember when the local video store would literally have one copy of a new release, and it would take weeks to rent it. I really felt Blockbuster brought a really nice, efficient operation that improved my own personal experience from the hole-in-the-wall video store that preceded it in my town.
Having said that, that was 1993 and this is 2011, so I understand why Blockbuster is failing. It has likely been 3+ years since I rented a movie, especially since rentals are $5 or more when you can buy most movies for $10-$15 anyway.
The one recent Blockbuster service I really like was their mail DVD service (like Netflix) except you could trade in movies for free in-store rentals. We would have random things come in, not even watch them, and take them to the store for free rentals. That worked great until the local store shut down – close my Blockbuster.com account, and now I use Netflix mainly for the streaming. | |
|
|  N3OGHYo Soy Col. "Bat" GuanoPremium
join:2003-11-11
Philly burbs
kudos:1 | Re: Blockbuster used to be ok How does the song go?
"Every new beginning comes from some other beginning's end".
Just as you stated, the old mom & pop joints were put out of business by places like Blockbuster, etc. Nothing wrong with it. It's just the marketplace adapting to demand.
So, along comes Netflix, and Redbox, and iTunes. Once again, the marketplace adapts to demand, and what was yesterday's success it today's end of life cycle technology.
One day, and that day WILL come, Netflix will be gobbled up by some other method of delivery. People will be posting in forums someplace like this about how Netflix is so 2011.
Out of date, and antiquated! Why get movies over your DVD player when they can beam them directly to your brain, or some shit like that.
I can remember my father joining the local video shop down the street. It was something like a $100 buy in (in 1984) and the first move he could get was "Attack of the Killer Tomatoes".
--
Petty people are disproportionally corrupted by petty power | |
|
| | Timmn
join:2000-04-23
Tinley Park, IL Reviews:
 ·AT&T Yahoo
·CYBERONIC INTERN..
| Re: Blockbuster used to be ok said by N3OGH:I can remember my father joining the local video shop down the street. It was something like a $100 buy in (in 1984) and the first move he could get was "Attack of the Killer Tomatoes".
Attack of the Killer Tomatoes was so bad it was great! | |
|
|  jester121Premium
join:2003-08-09
Lake Zurich, IL | Back in the 1880s, the Acme buggy whip company was awesome.... good times. | |
|
|  cdruGo ColtsPremium,MVM
join:2003-05-14
Fort Wayne, IN
kudos:7 | said by joebear29:This may go against the “Blockbuster Fail” sentiment, but I really appreciated the company in the mid-90s. I remember when the local video store would literally have one copy of a new release, and it would take weeks to rent it. I really felt Blockbuster brought a really nice, efficient operation that improved my own personal experience from the hole-in-the-wall video store that preceded it in my town. Much in the same way people have appreciated Wal-Mart coming into their area. Well, except for any small business owner that the new store crushes. | |
|
| | | | Re: Blockbuster used to be ok Exactly, I couldn't agree more. While I feel bad for the small video store, they just couldn't provide as good of an experience. | |
|
| | | | Wal-Mart Stores, Inc and Sam's West, Inc (both WM Companies) are just out right HORRIBLE for the public. Their one of the worst employers in the World, and the most harmful in the terms of environmentally friendly. They don't care about you, me, Grandma who works for them because they ran her former employer out of business along with every other employee. The only thing that company cares about is putting their $$$ in their pocket while screwing the public in general. WM is an EVIL company its about time more and more Cities start standing up to them and blocking them from building. | |
|
| | | |
| | | | | Re: Blockbuster used to be ok I like my local Wal-Mart, but to each their own.
Most small businesses the Wal-Mart replaced were overpriced and had tiny selections. | |
|
| | 320 million is not a lot a money for this purchase They just bought all the streaming rights to movies BB had. BB has a relationship with TIVO that if you guys remember Dish and Tivo are not the best of friends and there is always the list of customers that BB had on file that will be getting mail drops I'm sure for special DIsh deals.
BB also has a relationship with Verizon that might be beneficial.
Not a bad purchase for 320 million. | |
|
| |
| | | I agree. Blockbuster used to have 9000 stores and probably worth more than 10 billion dollars not too long ago.
The debt that Blockbuster had was probably the most problematic issue. The huge debt load is gone with the bankruptcy. Now that they've cut down to 1700 stores at locations that are more likely to be profitable, there's probably a decent amount of value there. There's actually a lot of smaller video chains that are expanding now that we've lost so many video chains in recent years.
It's now a much leaner Blockbuster that has existing deals for online distribution. A lot of that can help with retention for their Dish Satellite business by offering cheap or free online streaming for existing customers. | |
|
tpkatl
join:2009-11-16
Dacula, GA | Is today April 1? I had to check to see if this was an April Fool.
How will the Dish management ever be able to explain this to shareholders? Why would the Board have approved this?
Maybe they needed a tax loss to even out their massive profits  | |
|
| zed2608Premium
join:2007-09-30
Cleveland, TN
kudos:1 Reviews:
 ·Charter
| Re: Is today April 1? said by tpkatl:I had to check to see if this was an April Fool.
How will the Dish management ever be able to explain this to shareholders? Why would the Board have approved this?
Maybe they needed a tax loss to even out their massive profits
actuilty for such a small price it makes since heck look at it this way dish network owns 1700 stores lets say each store is worth 100k in property values thats 170 million
it might make good bussnuss since in some ways | |
|
| |  celeritypcFor Lucky Best Wash, Use Mr. SparklePremium
join:2004-05-15
Caldwell, NJ | Re: Is today April 1? said by zed2608:actuilty for such a small price it makes since heck look at it this way dish network owns 3000 stores lets say each store is worth 100k in property values thats 300 million almost right there
Except for the fact that Blockbuster leases all of its locations. | |
|
| | | zed2608Premium
join:2007-09-30
Cleveland, TN
kudos:1 Reviews:
·Charter
| Re: Is today April 1? said by celeritypc:said by zed2608:actuilty for such a small price it makes since heck look at it this way dish network owns 3000 stores lets say each store is worth 100k in property values thats 300 million almost right there
Except for the fact that Blockbuster leases all of its locations. yeah and found out fewer stores where open overall though i think that it will be worse case about break even | |
|
| | | | patcat88
join:2002-04-05
Jamaica, NY
kudos:1 | Re: Is today April 1? said by zed2608:said by celeritypc:said by zed2608:actuilty for such a small price it makes since heck look at it this way dish network owns 3000 stores lets say each store is worth 100k in property values thats 300 million almost right there
Except for the fact that Blockbuster leases all of its locations. yeah and found out fewer stores where open overall though i think that it will be worse case about break even Blockbuster isn't remotely dead. How many areas DONT have cable tv or DSL in the USA? Blockbuster will be happy and fine in these areas. Dish Network knows some (what %? IDK), of its customers have sat tv out of necessity. | |
|
| | | | |  burner50Proud Union THUGPremium,VIP
join:2002-06-05
Texas
kudos:1 | Re: Is today April 1? said by patcat88:Blockbuster isn't remotely dead. How many areas DONT have cable tv or DSL in the USA? Blockbuster will be happy and fine in these areas. Dish Network knows some (what %? IDK), of its customers have sat tv out of necessity.
I live in one of those areas... Only one town in the whole county has cable TV... Blockbuster just closed their store here a couple months ago.
--
I'm tired of killing stupid people just trying to do my job and go home! | |
|
| | | | |  BF69Premium
join:2004-07-28
Camden, TN | said by patcat88:Blockbuster isn't remotely dead. How many areas DONT have cable tv or DSL in the USA? Blockbuster will be happy and fine in these areas. Dish Network knows some (what %? IDK), of its customers have sat tv out of necessity.
Anywhwre that doesn't have cable people can get satellite. For those without internet this doesn't help. Nearest Blockbuster to me is over 50 miles away. Video store are going the way of the do-do | |
|
 CylonRedPremium,MVM
join:2000-07-06
Bloom County | Meanwhile a local Ohio video rental store has bene expanding.... literally - not kidding and they have been steadily expanding for the last 10 years.
--
Brian
"It drops into your stomach like a Abrams's tank.... driven by Rosanne Barr..." A. Bourdain | |
|
Reviews:
 ·AT&T U-Verse
| The death of Blockbuster has been greatly exagerated Blockbuster has licensing agreements and has the movies 28 days before Netflix/Redbox. It also has the local infrastructure of stores and the online streaming capability.
With a bit of smart management and marketing it can leave both Netflix and Redbox in the dust. | |
|
| | | Re: The death of Blockbuster has been greatly exagerated The only reason that Blockbuster gets the 28 day head start on Netflix is that Netflix signed agreements to delay rentals by 28 days. In exchange, Netflix would get cheaper DVD purchase prices (cheaper purchase prices = more available and lower costs) and more streaming options. Netflix realizes the latter is where the future lies while Blockbuster was struggling to overcome the Brick and Morter mentality.
Blockbuster's got a lot of work cut out for them if they want to pass Netflix.
--
-Jason Levine | |
|
| | | The only problem with your assessment is that the Blockbuster brand is worth about as much as the local manure supply. Blockbuster burned so many people with absolutely ridiculous late fees in the 90's that the Brand will never recover. Factor in that they only money they every made was on those same late fees and the company is only worth the liquidation value of the DVD stocks. Dish WAY overpaid. That the two liquidation companies dropped out and didn't bid show how much Dish overpaid. | |
|
| | Reviews:
·AT&T U-Verse
| Re: The death of Blockbuster has been greatly exagerated said by rahvin112: That the two liquidation companies dropped out and didn't bid show how much Dish overpaid.
They have 1700 stores. The deal comes to some $200k/store. A retail location the size of BB is worth way more. Even if they end up selling the buildings and fixture they will make much, much more. | |
|
|  dvd536as Mr. Pink as they comePremium
join:2001-04-27
Phoenix, AZ
kudos:4 | said by cowboyro:With a bit of smart management and marketing it can leave both Netflix and Redbox in the dust.
Well if they can put a blockbuster kiosk at every CVS, walgreens, Circle K, 7-11 and wal*mart and make the rental less than a dollar a day, they'll get me away from redbox else FAIL.
I really could care less about the 28 day delay.
--
The early bird gets the worm but the second mouse gets the cheese | |
|
ke4pymPremium
join:2004-07-24
Charlotte, NC | Brand Names In my mind, Blockbuster goes on the list with places like Circuit City. | |
|
|  IowaManPremium
join:2008-08-21
Grinnell, IA | Re: Brand Names Radioshack as well | |
|
| |
| | dvd536as Mr. Pink as they comePremium
join:2001-04-27
Phoenix, AZ
kudos:4 | Re: Brand Names said by C0deZer0:circuity city? that's an insult to blockbuster!
circuit City was more like "circle shitty" around here. I'm actually glad that I never took the job there.
And an equally shitty company has them now.
--
The early bird gets the worm but the second mouse gets the cheese | |
|
|
 MerinXCrunching for CuresPremium
join:2011-02-03
kudos:1 | Waste for the win? 320 million well wasted! | |
|
| dvd536as Mr. Pink as they comePremium
join:2001-04-27
Phoenix, AZ
kudos:4 | Re: Waste for the win? said by MerinX:320 million well wasted!
Surely to filter its way onto your DISH bill in some way!
--
The early bird gets the worm but the second mouse gets the cheese | |
|
| | The only way this will work... ...is if Dish was in it for their streaming tech and contracts. If they can repurpose that into their PPV business, they might be onto something. Delivering PPV over satellite eats tons of bandwidth, so why not stream if you can? This way, they not only have access to their ViP series of receivers (if they're connected to Ethernet), but they also get access to every device that has the Blockbuster app loaded on it.
Still, $320 million is a lot to spend for that. | |
|
 aaronwtPremium
join:2004-11-07
Woodbridge, VA | Crap I was hoping someone else would have won so all the retail outlets would have been liquidated. | |
|
 jmn1207Premium
join:2000-07-19
Ashburn, VA
kudos:1 | Apps to the Rescue? Blockbuster has an app for Android and iPhone, which might be something of interest, depending on what Dish Network might have planned. | |
|
| | | Re: Apps to the Rescue? Their app lets you search the titles they have available and find the nearest retail store. Plus it lets you add DVDs to your Blockbuster by Mail queue.
Oh wait.... they are closing down the retail stores and selling off their inventory.
Since their stores are closing the one attraction of getting their DVDs in the mail was that you could return to the store and get a free rental has vanished as well.
Nice tax write-off for Dish a few years down the road!
Blockbuster RIP.... you will not be missed by this guy! | |
|
| | jmn1207Premium
join:2000-07-19
Ashburn, VA
kudos:1 | Re: Apps to the Rescue? You must have only looked into the crippled iTunes version. The app does much more than what you mention on Android devices. This could basically become the iTunes for Android devices with regards to movies and TV shows. It might have some potential with the right support. Although, it seems that Amazon is spinning their wheels already, as they are probably looking to enter this space and the Blockbuster app is not even available on Amazon's new Android Market, no doubt because they have conflicting plans of their own.
»market.android.com/details?id=co···h_result
Now you can download and watch the latest movies from Blockbuster® right on your Android phone with this free app! Choose from hundreds of movies, from cinema classics to the hottest new releases. Buy or rent with no monthly fees. Start watching on one Blockbuster On Demand device and finish on another!
| |
|
| | blockbuster is dead Next. | |
|
 DavidNow accepting new patientsPremium,VIP
join:2002-05-30
Granite City, IL
kudos:78 | Good luck to dish If they are smart enough to pull this off, this might give them a new cash cow they might need.
Develop an app that competes with Netflix, and they might have this for the win. | |
|
| tito79
join:2010-03-14
Brewster, NY | Re: Good luck to dish Charlie was always a gambler guess he took his skills to that auction. | |
|
jfmezeiPremium
join:2007-01-03
Pointe-Claire, QC
kudos:22 | There are many possible reasons Perhaps Dish spent all this money to prevent Blockbuster from falling into the hands of a competitor who would have a use for it.
What is not known to me is whethjer they are actually buying shares and inheriting all the debts, or whether this is a debtor in possession deal where Dish lends blockbuster 320 million to bail it out, and then Blockbuster issues 320 million worth of new shares to convert debt into equity.
In the second deal, current shareholders get no money and see their equity reduced to a very very tiny percentage of the re capitalised company. In some cases (such as GM) they don't just issue new shares that dilute the old ones to next to nothing, but fully recapitalise a new company from scratch, which voids the old shares completely.
Having all those retail outlets will benefit Dish since it will be able to sell its satellite receivers and subscriptions at all blockbuster stores. | |
|
| | | Re: There are many possible reasons This was a chapter 7 Liquidation. If you don't know what that means I can't help you. | |
|
PDXPLT
join:2003-12-04
Banks, OR | Bad news for Radio Shack The Shack used to be the major retail face for Dish. Now that they have their own B&M stores, they have less need to partner with Radio Shack.
In some ways I miss the B&M video store. With their big inventory, it was easy to find older movies that one hadn't seen in a while. Pick it up off the shefl, blow off the dust, and take it home. Most of the newer alternatives seem to focus mostly on new releases. | |
|
BF69Premium
join:2004-07-28
Camden, TN | Deal is actually $228 milliom DISH’s winning bid was valued at approximately $320 million, but after adjustments for available cash and inventory and others, the company expects to end up paying approximately $228 million in cash to acquire Blockbuster.
»techcrunch.com/2011/04/06/dish-w···in-cash/ | |
|
| jfmezeiPremium
join:2007-01-03
Pointe-Claire, QC
kudos:22 | Re: Deal is actually $228 milliom OM, the techcrunch article has an important keyword. They aren't buying Blockbuster, they are buying assets from it. This likely means that the corporation known as Blockbuster is being liquidated insrtead of finding a way out of bankrupcy. And this means that those buying assets don't get the liabilities/debts.
This makes for a far more interesting purchase then. | |
|
| | aaronwtPremium
join:2004-11-07
Woodbridge, VA | Re: Deal is actually $228 million Dish was the one bidder that planned on keeping retail locations and kiosks.
The other bidders had planned on either liquidating everything or liquidating the retail locations and keeping the kiosks. | |
|
| | | BF69Premium
join:2004-07-28
Camden, TN | Re: Deal is actually $228 million said by aaronwt:Dish was the one bidder that planned on keeping retail locations and kiosks. That won't last very long. | |
|
| | Only time will tell... Well I give Blockbuster credit for looking out for their stores. It is commendable but not a good business move. They were also late to the game with their VOD service and late to getting them on devices so they could be played on TVs and not just on the PC. Trying to view it on a PC made it difficult for families to watch cuz no one wants to be huddled around a computer. They should have also gave VOD movie tokens to DVD by mail customers as an alternative to free movie rental e-coupons for stores. I hate that the closest store to me has gone from 10 minutes away to 45 minutes away.
On the plus side...I think it is awesome they don't charge extra for blurays. I think it was a good thing for them to rent games by mail. It just sucks that they have a delay on the new games though.
All in all I don't think that Netflix is so much better like people make it out to be. Instant streaming of video is cool but the selection isn't all that great unless you want to check out old or foreign films. On top of which there isn't a whole lot in HD. They are expanding as much as they can but I think it is slow going. I can't wait to see how bad the selection gets after Showtime pulls their content off Netflix. I also think that those watch by dates are annoying as hell. If you don't watch it by that date then it is pulled off your instant cue and doesn't tell me if or when it will be back on. What I really hate though is they charge extra for blurays. I mean come on???
I have good turn around for DVDs by mail from both. Blockbuster takes 2-3 days and Netflix takes 3-4 days. I don't stress about that so much. I just want them to get here and get back. I am just happy they don't get lost. I have only ever had any problems with Netflix disks being unreadable. I only found 3 and they quickly shipped out a new disk for me.
I have both and neither one is all that great. | |
|
 GNHtolle causamPremium
join:1999-12-20
Arlington, TX | Sorry Charlie... Nothing like leaping headlong into the mid-80s. | |
|
|
|
