Blockbuster faces facts, finally files chapter 11 bankruptcy

Blockbuster faces facts, finally files chapter 11 bankruptcy.

[newsimage][/newsimage]It certainly has been a painful struggle to watch. After months of delaying the seemingly inevitable, Blockbuster filed paperwork in the Southern District of New York Court Thursday morning to declare Chapter 11 bankruptcy.

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Goog riddance. This could easily have been avoided if only someone with half a brain was running the place. Everyone but Blockbuster executives saw this coming. They could have cut underperforming stores, made stores smaller, lowered their rental fees, etc. If rental fees were $1.99 then I would rent a movie instead of downloading it.

I called it! Should’ve placed a wager.

Considering the fact they late charge people and never faced the reality that they had a antiquated and outdated model that punished users whom returned on time and outrageous surcharges. No wonder they are where they are now. They are a model for outdated thinking and thinking people will pay whatever price they charge…yeah right… ie Netflix has the right business model and the more consumers they bring in and keep with them the more money in the long term they make…that is a FACT…the longer they stay with you the more money you make in the long term… Something BB has long forgotten since it first started… That is the sad part they forgot who they were when they first started and have no one but their own GREED to blame for…

PS Forgot to mention hey let’s all go and get those liquidated DVDs … whoopee but wait they might be surcharging those as well… I will take a look but I won’t be that stupid BB…

I seriously doubt that the movie producers are working real hard hoping for Blockbuster to recover. With darn near everything available o the “on demand” formats from cable providers and the recent nationwide digital cable conversions the best buddy of Hollywood is going to be the cable providers. Consumers are going to be less likely to deal with mail in or driving to the video store when they can set at home with the remote control and order up movies before they are even released on DVD without ever worrying about late fees When cable providers are able to handle on demand audio playlists and online gaming (and at some point they will) the whole business is going to change.

Apparently Blockbuster doesn’t own the kiosk operation. On another forum, sombody posted email they had received from Blockbuster Express concerning the bankruptcy saying that NCR actually owns the Blockbuster Express business and it would continue as normal regardless of the outcome of Blockbuster’s bankruptcy.

At Any rate, I just signed up for the free 1 month trial of Blockbuster by mail (3 out unlimited instore exchange) and NetFlix (1 out, unlimited streaming) so hopefully at least they’ll be around for a month…

It’s only Chapter 11
Blockbuster will be around for quite a bit longer, they will probably be out of chapter 11 in 2 months, it was a mutual agreed upon arrangement with there creditors.

They will be pushing there kiosk rentals as the filling is going on, I believe I read they borrowed 20 million just for publicity.