In a move to compete more aggressively in the digital age, Best Buy is launching its own on-demand video service through a strategic partnership with Sonic Solutions. As part of the multi-year agreement, Best Buy will license and deploy Sonic’s Roxio CinemaNow technology platform. The deal opens the door to on-demand digital content delivery as a standard feature on the electronics devices consumers purchase at Best Buy.
“Our relationship with Sonic Solutions allows Best Buy to quickly establish a strong position in the digital delivery of video entertainment,” said Brian Dunn, CEO of Best Buy. “It also enables us to make deeper and more meaningful connections with our customers and expand our relationships with content owners and hardware vendors to create compelling new home-entertainment solutions.”
Best Buy On Demand
Best Buy plans to embed the Roxio CinemaNow technology on many different devices it sells, from Web-connected TVs to portable media players, from PCs to Blu-ray Disc players, and from set-top boxes to mobile phones. Using the service, consumers can buy or rent premium content, including movies, TV shows, independent films, and older catalog movies, and access them on the devices.
Best Buy expects new titles to often be available on the same day they launch on DVDs at retail. Together with their studio partners, Best Buy and Sonic also plan to collaborate on new service and content offerings, including leveraging digital copies to bridge physical disc sales and electronic sell-throughs.
“With Best Buy’s ability to drive in-store promotion and education, consumers will come to quickly understand and appreciate the convenience, flexibility and control that digitally delivered video entertainment affords them,” said Dave Habiger, president and CEO of Sonic Solutions. “With Best Buy’s focus, we expect on-demand entertainment to quickly grow into a mass-market activity, with digital sell-through and rental becoming a significant new revenue…