DirecTV Chief Executive Michael White said demand for at-home rentals of movies recently released in theaters has been "small" and the reason is obvious: The $29.99 price tag, he said, is "awfully high," reports Bloomberg.
DirecTV started offering some Hollywood films on an on-demand basis for $29.99 just 60 days after they were released in theaters, the story notes. Traditionally, pay-TV services have waited 90 to 120 days to air films on TV.
“They’re priced too high for consumers,” White said. “We didn’t choose that price, but that’s where the studios forced us to be.”
He said more customers won’t buy premium rentals until the price comes down and the quality of the movies improves, the article adds.