New Deal Means Big Step Forward in Digital Distribution
For long, Hollywood has touted the promise of digital delivery of movies to theaters as a way to dramatically cut costs — a promise that has largely gone unfulfilled. But an agreement between two major players is likely to give digital delivery the major boost many have waited for. Lab giant Deluxe and satellite company EchoStar have formed a joint venture to deliver digital content to theaters in the U.S. and Canada. One of the lures of digital projection has been digital delivery — the ability to send movies to theaters as data, rather than as physical objects that must be sent as freight. Most theaters still receive movies on hard disks. The combination of EchoStar’s robust satellite network and Deluxe’s deep ties to studios is likely to be a major step forward in digitizing the exhibition business.
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