With a lack of success in the UMD movie business, Sony is looking to movie downloads through the PC to reinvigorate the PSP. Amazon.com, Movielink and CinemaNow are all in talks with Sony to support PSP-sized movie downloads.
While iTunes currently holds the crown for TV and music downloads, they only offer Disney movies to users looking for feature films on the go. Sony looks to take their 20 million PSP install base and shoulder into the market, hoping users are interested in downloading movies to their PCs and then onto their PSP memory sticks.
Expecting to launch the service in 2007, it’s unclear which studios will allow PSP movie downloads. This is probably thanks in part to the industry’s lack of experience with the new medium, making publishers cautious about entering the market due to piracy. Strategic Analytics believe online movie sales will reach $298 million this year, with growth of up to $1.5 billion in 2007.
Source: Financial Times