Digital Downloads: Kaleidescape Plans to Offer Time Warner Movies

  • Kaleidescape Inc. originally looked to reduce the hassle of physical DVDs and Blu-ray discs by enabling consumers to copy the movies and save them to a hard drive. After being sued by the DVD Copy Control Association, the company has since revamped its business model to keep up in the digital age of downloads.
  • “The closely held company plans to let users of its hardware buy and download digital movies, while still being able to make and store copies of DVD and Blu-ray discs they own,” the Wall Street Journal writes. “Kaleidescape is initially stocking its first online store with movies licensed under a multiyear deal with Time Warner Inc.’s Warner Bros. movie studio.”
  • With numerous services that offer movies for rental, purchase or streaming, Kaleidescape is notably pricey.
  • “Kaleidescape’s systems, designed for people installing fancy home theaters, start at $14,490,” the article states. “But Kaleidescape hopes to build its audience among affluent customers who are willing to pay extra for the highest quality content, a sophisticated program guide and other features. Unlike most online video stores, the company says, its downloads will include all extra scenes and additional content found on DVD or Blu-ray discs.”
  • The deal with Time Warner provides the service with 3,000 feature films and more than 8,000 TV episodes, which will be priced between $6 to $20. Kaleidescape plans to enter licensing deals with other studios as well.
  • The company also supports the UltraViolet format. But downloading titles can take a while — up to five hours for a Blu-ray over a standard Internet connection.