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Sony Movies Television The Internet

Sony Warns It Will Take $1 Billion Writedown, Blames Slowing DVD Sales (reuters.com) 157

Sony has warned investors that it will take roughly $978m writedown on its film business, blaming a goodwill impairment charge that dates back to an acquisition of a Hollywood studio almost three decades ago. From a report on Reuters: The impairment charge came as Sony cut its outlook for profits from DVD, blu-ray discs and other home entertainment operations in line with a broader market decline, the company said in statement on Monday. Sony has been working to revive its movie business. In November, the Japanese conglomerate's chief financial officer, Kenichiro Yoshida, said a turnaround was "progressing, but it takes time for the benefit to be realized."
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Sony Warns It Will Take $1 Billion Writedown, Blames Slowing DVD Sales

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  • QUICK (Score:5, Insightful)

    by Billly Gates ( 198444 ) on Monday January 30, 2017 @01:19PM (#53767481) Journal

    Let's ban the internet and lobby congress for more DRM. Thats IT MORE DRM! It has to be piracy. Let's work to make hardware not work with Linux and I am sure everyone will be happy to cancel their netflix accountants and open their wallets.

    That's the ticket

    • Let's ban the internet and lobby congress for more DRM.

      And that would have worked under Hillary with her cozy Hollywood relationships.

      Under Trump, Hollywood can go pound sand.

      One fun thing Trump could do to get back at the screeching entertainment industry going after him; halve the current copyright expiration period.

      • One fun thing Trump could do to get back at the screeching entertainment industry going after him; halve the current copyright expiration period.

        Switching from life of grandchildren back to the 56-year term of the 1909 Act would require leaving not only the WTO but also several bilateral treaties already in force. Good luck getting that passed without angering constituents in districts with a strong export manufacturing sector. And watch entertainment industry lawyers argue in court that shortening the term of subsisting copyrights qualifies as a "taking" that requires "just compensation" pursuant to the Fifth Amendment.

        • by suutar ( 1860506 )

          He can push for that, and I would like to see it, but that's Congress, not the Presidency.

        • Switching from life of grandchildren back to the 56-year term of the 1909 Act would require leaving not only the WTO but also several bilateral treaties already in force.

          And? Get ready to see a lot of sacred cows fall.

          Good luck getting that passed without angering constituents in districts with a strong export manufacturing sector.

          Not sure why China would care exactly or have any influence here?

          And watch entertainment industry lawyers argue in court that shortening the term of subsisting copyrights qualif

          • by tepples ( 727027 )

            Good luck getting [US exit from WTO] passed without angering constituents in districts with a strong export manufacturing sector.

            Not sure why China would care exactly or have any influence here?

            I didn't mention China. I was more referring to exporting to the European market and the post-Brexit British market, which would more than likely impose "yuge" import duties on products made in the United States if the United States were to leave the WTO.

            Taking is what the government does best.

            The framers of the US Constitution recognized this, which is why compensation for takings got written into the Fifth Amendment in the first place.

            • I didn't mention China

              Says the man who said:

              without angering constituents in districts with a strong export manufacturing sector.

              Get it? No? Sigh.

              which is why compensation for takings got written into the Fifth Amendment in the first place.

              My joke was just OK, yours is hilarious.

            • by ebyrob ( 165903 )

              > I was more referring to exporting to the European market and the post-Brexit British market,

              Ya, um. Considering both sides of the Atlantic have been ping-ponging the extensions back and forth every 20 or so years to keep Steam Boat Willie in chains. I really don't think that's as big a problem as it sounds assuming we're careful to abide by the letter of the treaties *except* where they are copyright foo-barred.

              As to the fifth amendment. We just need to legally establish that copyrighted content is

              • Considering both sides of the Atlantic have been ping-ponging the extensions back and forth every 20 or so years to keep Steam Boat Willie in chains.

                A copyright term that approximates the life of the author's grandchildren [copyrightalliance.org] has been standard in Europe for well over a century. The 1990s term extensions didn't change this rationale; they merely amended its implementation to account for health care improvements during the twentieth century. Barring some drastic change to this rationale or a dramatic improvement to human life span within the next seven years, Gershwin and Disney won't be able to use this excuse again before Rhapsody in Blue, The House at Poo

        • And watch entertainment industry lawyers argue in court that shortening the term of subsisting copyrights qualifies as a "taking" that requires "just compensation" pursuant to the Fifth Amendment.

          The counter-argument would be that the government isn't "taking" anything by eliminating anything beyond the copyright protections in place at the time of ratification.

          LK

      • Wait,, you actually believe the ENTERTAINER will tell Hollywood to pound sand?
        BWHAAHAHAHAHAAH!
        What are you SMOKING?
      • Re: (Score:2, Offtopic)

        Oh please!]

        Trump is a racist and only cares about the redneck voters who put him in place. It's not going away

      • by k6mfw ( 1182893 )

        One fun thing Trump could do to get back at the screeching entertainment industry going after him; halve the current copyright expiration period.

        well that would be interesting. I wonder what other "fun" stuff will come about in this new administration? i.e. for every one new movie, two old movies have to be eliminated? (quick! save those VHS and DVDs!)

  • Subject line smells (Score:4, Interesting)

    by theendlessnow ( 516149 ) * on Monday January 30, 2017 @01:29PM (#53767573)
    DVD sales are "ok", because the media and platform doesn't suck like Blu-ray. Sony needs to pay big time for the death sentence they gave Blu-ray. Very very bad business decision. The paid their way in, and then locked it down to make it unusable.

    Subject line should read: "Sony Warns It Will Take $1 Billion Writedown as their Vision of the Future Sucked"
    • Re: (Score:2, Insightful)

      DVD sales are "ok", because the media and platform doesn't suck like Blu-ray

      What're you talking about? My six-year-old puts in the Cars 2 Blu-Ray, presses play and starts eating Cheerios and watching his movie.

      Nothing 'sucks.'

      • Re: (Score:3, Informative)

        by Anonymous Coward

        I tried playing a blu-ray and it fucking paused to download an ad from the internet before serving me the movie I bought. That is defective. Never buying one again.

        • I won't let a bd player on my network. I own 1 bd disc and I bought it before I knew how bad bd was. package never even got unwrapped.

          downloading is the only way to go. no ads, no bs and it plays everywhere.

        • Don't they let you disable BD-LIVE?
          • On the PS3, at least, Sony only gives you an Allow/Prompt setting. Since I don't want it, I have to select NO every time I start a BluRay. It's a minor thing, but it's such a petty, arrogant thing to do to customers, it just really annoys me. If it was a standalone player, I'd just disconnect it from my network.

        • by rtb61 ( 674572 )

          Didn't know that. When it asked to connect to my router, I just said no and that was that. I'll do wired to do upgrades and than disconnect but not wireless. Optical drives are so last millennium, either download or USB stick (that format is dropping in price really fast).

          Buying new content, been at it a while, not much I an interested in buying any more. Once you have enough content to last a whole year watching every waking hour, your are pretty much done. My home TV station is full and commercial free.

    • by SeaFox ( 739806 ) on Monday January 30, 2017 @02:05PM (#53767899)

      DVD sales are "ok", because the media and platform doesn't suck like Blu-ray. Sony needs to pay big time for the death sentence they gave Blu-ray. Very very bad business decision. The paid their way in, and then locked it down to make it unusable.

      Don't know what you're talking about. I can rip DVDs and Blu-Rays both on my computer with the same level of ease.

      • Don't know what you're talking about. I can rip DVDs and Blu-Rays both on my computer with the same level of ease.

        What are you using to rip Blu-Rays? Hardware and software, if you don't mind.

        • by PhotoJim ( 813785 ) <jim@pTOKYOhotojim.ca minus city> on Monday January 30, 2017 @03:41PM (#53768665) Homepage

          MakeMKV + HandBrake (HandBrake can do almost all DVDs and some BluRays without MakeMKV, but MakeMKV is needed for some encrypted discs). MakeMKV is shareware (free beta period but reasonable to pay for if you don't want the hassle); HandBrake is open source. Both run on Linux, OS X and Windows.

        • by Rakarra ( 112805 )

          Another +1 for makemkv. It was well worth the price. I use it under Fedora Linux, along with an a href="https://www.cnet.com/products/lg-gbw-h20l-super-multi-bd-re-drive-serial-ata/specs/">LG GWB-H20L blu-ray writer which is starting to show its age (as are my dvds, so I get many a rip failure now).

        • by SeaFox ( 739806 )

          MakeMKV does direct rips (full original quality). It's shareware, but in what seems to be a perpetual beta period. There's a serial code given on the forums by the developer that you can use, and you just have to re-do it occasionally with the a new code (I think it's once a month).

          Hardware is just a normal home-built Win 8.1 Pro PC with a BD-RW drive. I don't think the brand matters. I picked the Pioneer I did [newegg.com] because it has no branding and all the logos on the front are embossed but not painted, so the dr

    • by Anonymous Coward

      Blu ray is fine. To the end user it's just a DVD with better picture quality. You stick a disc in and movie plays.

      Sony is losing money because their studio turns out 98% pure shit. Seriously just go look at their own page.

      http://www.sonypictures.com/movies/

      They're behind most of the true cinematic garbage being published today. Look at their back catalog and you'll think "What the fuck? That steaming pile was Sony? And that one? That too?"

      • by zifn4b ( 1040588 )

        Sony is losing money because their studio turns out 98% pure shit. Seriously just go look at their own page.

        http://www.sonypictures.com/movies/

        Not exactly. It probably is a component but the real competitor that's eating into the market is streaming services. When you can watch a lot of good shows/movies with on demand services like Netflix and HBO Now for a much smaller monthly cost (~$30/month) than full blown cable with movie channels, a lot of people are going to opt just to watch movies over the internet. You also watch movies on things like Sling TV and Playstation Vue further compounding the problem. We have a lot of choice now. That p

      • " You stick a disc in and movie plays."

        Uhh. No. They do not work that way.

        Have you actually used a DVD or Blu-Ray disc? You stick the disc in, watch several minutes of ads and warnings, and eventually get to a menu that allows the movie to play. It is annoying and it is one of the reasons I quit buying them.

  • Editorial (Score:1, Troll)

    by MAXOMENOS ( 9802 )

    <div class="pedantic">"DVD Sales" is plural. The proper conjugation for the verb is "Decline."</div>

  • by JoeyRox ( 2711699 ) on Monday January 30, 2017 @01:31PM (#53767589)
    Most households have realized their unwatched DVD collections are worthless and have written their value down to $0.
  • That's funny [slashdot.org]! Somebody should tell Disney

    • by cdrudge ( 68377 )

      That's an apples to oranges comparison. Disney has record box office revenue. Sony takes a $1b loss allegedly due to disc sales. Box office sales are still relevant. Disc sales get cannibalized by streaming services, digital sales, and rental markets.

      • Disc sales get cannibalized by streaming services, digital sales, and rental markets.

        Well, I hope Sony knows what to do then. But if they want to make physical discs relevant again, they might want to remove some or all of the licensing restrictions that plague them.

  • Or Blu-Ray disks? The formats are obsolete - they do not hold so much data, they are fragile, they become unreadable in a few years. Forget that junk. We want to stream movies, all the movies, all the time, to all devices. We can already do that, to a large extent, thanks to BitTorrent. If you, Sony, wants to see a dime, get on board; otherwise, people will carry on using unofficial BitTorrents, and you won't get a single penny. The choice is yours.
    • by tepples ( 727027 )

      We want to stream movies, all the movies, all the time, to all devices.

      And run up a big cellular data overage bill?

      • by jedidiah ( 1196 )

        Why stream it when you can just store it locally?

        Just think of all the resources you're wasting with that. It's like you hate the planet or something.

        • by tepples ( 727027 )

          Why stream it when you can just store it locally?

          Because a motion picture's copyright owner prohibits long-term local storage other than through purchase of DVD or BD.

      • Both Netflix and Bittorrent allow you to download the movie on an unmetered network for later viewing. Netflix because they graciously allow you to do so, bittorrent because that's just how it works when you have a drm free file.

        • Both Netflix and Bittorrent allow you to download the movie on an unmetered network

          What unmetered network? In many areas, even home Internet is metered. This includes home satellite Internet, home terrestrial microwave Internet (which uses cell towers), and reportedly even home DSL in parts of Iowa [slashdot.org]. I imagine many find it easier to order DVDs from a web shop than to drive into town to make a multi-gigabyte download over restaurant Wi-Fi.

          Netflix because they graciously allow you to do so

          I was told this was available only on select devices and only for select titles in its dwindling selection of third-party feature films and TV series.

          bittorrent because that's just how it works when you have a drm free file.

          Whic

          • by Karlt1 ( 231423 )

            This includes home satellite Internet, home terrestrial microwave Internet (which uses cell towers), and reportedly even home DSL in parts of Iowa [slashdot.org]. I imagine many find it easier to order DVDs from a web shop than to drive into town to make a multi-gigabyte download over restaurant Wi-Fi.

            There is always your favorite neighborhood RedBox for popular movies and free ripping tools.

    • Or Blu-Ray disks? The formats are obsolete - they do not hold so much data

      Data speeds are faster today to be sure (well actually not wholly true, but lets pretend they are) - but 50GB is still a lot of data even today.

      Mostly I don't keep physical media around anymore for movies I just kind of like, streaming is close enough. But there are a number of movies I enjoy watching from time to time, and using a physical disc ensures I can do so any time, regardless of interest connection - or I can easily loan th

      • This is exactly my sentiment. I'll happily watch something like "Why Him?" or "Sausage Party" via streaming, but movies like "Star Wars Ep. 7," "Fury," or "The Hobbit(s)," It's Blu Ray or bust. You don't even need an expensive setup to notice the difference in quality. Even with my old mid-range 1080p set and low-end 5.1 component system it was noticeable.
    • Re: (Score:2, Insightful)

      by Luthair ( 847766 )
      Bluerays are still quality superior to streaming, the 'not much data' is an order of magnitude more than what you'd use streaming. Also, ironically you do have marginally more freedom with disks than streaming, plus you could always break the copy protection and have complete freedom.
      • by ebyrob ( 165903 )

        > Bluerays are still quality superior to streaming,

        What are you talking about? The guy at Best Buy who wanted to sell me a 4k TV, since that's all they had anymore, said "internet streaming" was a good source of 4k video. (I get the feeling they didn't have many "ultra" blue-rays yet...)

        I almost laughed at the thought of who could be that selfish with their bandwidth... Then got a little scared inside.

        • by sims 2 ( 994794 )

          What? Netflix only requires 25Mbps for 4k.

          • Greater lossy compression than you find for the video on Blu-Ray, and lossy compression on the audio (Blu-Rays generally have lossless audio).

    • Or Blu-Ray disks? The formats are obsolete - they do not hold so much data, they are fragile, they become unreadable in a few years. Forget that junk.

      Only if you use the disks as coasters or let toddlers play with them. I have DVD's that are 20 years old that still work just fine. Hell, I have CD's that are just as old and still work. My PS1 and Saturn still work like new.

    • We want to stream movies, all the movies, all the time, to all devices.

      I'd love to, but I'm not willing to pay for it. I wouldn't be willing to pay for it even if I didn't live in the boonies. I'm willing to pay to stream some of the movies some of the time to some of my devices, but that's about it.

      If you, Sony, wants to see a dime, get on board; otherwise, people will carry on using unofficial BitTorrents, and you won't get a single penny. The choice is yours.

      I am not against paying for things. I do not imagine that I can just download everything I want to watch via torrent and never get in trouble for it. I do not, however, want to give money to Sony. They are assholes.

    • Re:Who wants DVDs? (Score:5, Insightful)

      by Anubis IV ( 1279820 ) on Monday January 30, 2017 @03:46PM (#53768695)

      Who wants DVDs? [...] Or Blu-Ray disks?

      I do. Discs are the only means I'm aware of by which I can legally obtain content to watch on any device, at the highest quality, online or offline, at home or away, without previews, without affecting my data cap, and without having to worry about it going away after a licensing deal expires. Nothing else available today can provide all of that with certainty.

      Going into specifics:
      1) There's media worth owning. I sometimes want to support companies with my wallet. Other times, I want to ensure that I'll have perpetual access to a show or film. Netflix et al. can't guarantee that, so for media I want to be able to re-watch in perpetuity, it's oftentimes worth it to me to purchase a copy.

      2) Media that's worth owning is typically worth owning in high quality. While Netflix is great, I can still get a higher quality image and sound from a blu-ray (e.g. lossless surround audio) than I can via streaming. For media worth owning, it's nice to know that it's in the highest quality, that way it'll still look and sound good in the future.

      3) I can bring discs with me anywhere. Unlike streaming services, which are a mixed bag when it comes to the content that's available for offline viewing, physical copies can be watched offline in cars, on airplanes, or away from civilization.

      4) It isn't an either/or between discs and streaming. I rip all of my discs, encode them using Don Melton's transcoding scripts [github.com], and load them onto my Plex [www.plex.tv] server. Plex lets me do everything I could with a disc, plus provide the benefits of streaming.

      5) I don't run afoul of the legal and moral concerns. While companies need to be doing a much better job of making their content more accessible (e.g. less locked down, no forced ads, etc.), it's nonsensical, immature (il)logic to suggest that we're magically entitled to free copies of their content if they don't give it to us on our terms. Especially so since it's possible to watch it on our terms legally already.

      Piracy's only additional benefits are that it's free and that it's oftentimes available before an official release is available, but neither of those are benefits I'm entitled to, so, as per #5, they don't factor into my thinking. Moreover, DVDs are apparently still relevant today, despite hitting peak sales about a decade back. Given that blu-ray sales only hit their peak about 2-3 years back, I expect they'll remain relevant for at least a decade or more.

      Which is to say, the reports of disc-based media's death have been greatly exaggerated.

    • Pressed media far outlasts cheap write-once or rewritable discs. Early CD-Rs had a serious longevity problem. That's mostly solved. You can easily get 20 years out of a burned disc with moderately careful storage.

      A pressed disc in a good storage environment will easily last 50+ years.

    • I disagree a bit. While I agree that streaming will replace disks - Bluray still offers higher quality picture. Apple Streaming is very good - but I have several "Ultraviolet" Blurays (buy the disk and get a coupon to stream same movie from Apple or Amazon) - and the picture quality is different. I'm sure the reason is compression and streaming quality choices vs network throughput. But I have several movies that I watch because of the picture quality. Plus streaming seems to have problems with Pann

  • Installing root kits on computers that play their CD, DVD etc and pissing off the customer base. That was A-OK.
  • A dwindling second hand market for 8 tracks. It's all the market's fault! *sob* *whine* *sob* *whine*
  • Funny they don't mention a few high profile bombs that lost money as well, which would cost money on both ends as DVD sales for said bombs would also eat into profits.
  • Whenever I read statements like "blaming a goodwill impairment", I figure some company is trying to manufacture a paper loss. They'll write an asset down to zero (taking the income hit on their tax return) and transfer it to a new jurisdiction (like Ireland) where it will magically start making money again.

  • Most of the posters here look at this article from a first world perspective. Think about other countries where CRT TV's are commonly still in use. Why get a BluRay player?

    Back in the first world: Which would you have your darling little child destroy: a $30 DVD player with a $10 DVD or a $90+ BluRay player and ROKU device with a $35 disc? Plus with upscaling technologies DVD's don't look bad on modern TV's, Assuming you're looking for entertainment and not hi res.

    Sony has been going the 'internationali

    • Most of the posters here look at this article from a first world perspective. Think about other countries where CRT TV's are commonly still in use. Why get a BluRay player?

      More to the point, they're not buying legal discs to play on CRTs. DVDs dominate the illegal disc landscape...

    • Finally Sony has been putting out a lot of just stinkers lately:

      The two worst movies I saw in 2016 were Sony releases. The latest Fantastic 4, and Looper, which has Bruce Willis in the title credits playing a bit part who's barely ever on screen. It was a 2012 release I saw on a plane, a time travel movie. Hollywood in general and Sony in particular need to just stop with the time travel movies. They all have a permanent case of Terminator 2 envy, but none of them have access to James Cameron, or another writer/director of his caliber.

      Fantastic Four has a metacritic

  • by QuietLagoon ( 813062 ) on Monday January 30, 2017 @02:51PM (#53768269)
    ... the "forced to view" unskippable advertisements were not present at the beginning of a lot of the DVD's I had purchased in the past. It is amazing how a content provider can intentionally piss off its potential customers, then wonder why sales are down.
    • Here here!! "Coming in the summer of 2003 - " oh how I hate those ads.

      I popped in the 75th anniversary edition of Wizard of Oz ... and it just started playing the movie!! OMG! No ads, No menus, no "press play to watch." The lion roared and there was Dorothy and Toto skipping down the road. That is the way all Movies should start !!!! When the movie was over - only then did the Extras and what-not menus come up.

      Gosh - it's like vinyl and CD music. They just play when you put them.

  • Meanwhile - vinyl hits a 25 year high in sales. https://www.theguardian.com/mu... [theguardian.com]
    I'm sure music cartels would LOVE a model you can only listen to ONCE and never share with anyone, similar to the direction digital books were going - with only a pittance going back to the content creators.
    I think people are wising up and actually want to own something and do with it what WE as consumers choose.
  • I've been actively boycotting Sony for about a decade now. Not that I buy many DVDs, but I have put a few back on the shelf (and downloaded it instead) after realizing they were from Sony Pictures.
  • We never hardly the DVDs we own, and we got a blue ray player two years ago that we never used but 2 times. We gave the blue ray player to grandma to replace her player that got fried in a power hit.
    Everything thing we watch is streaming. If we need to watch a DVD, we play it on the PC through the TV.

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