Hollywood Studios Inflame Theater Owners

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Kim and John discuss the controversial plan that four Hollywood studios -- Fox, Warner Bros., Sony and Universal -- announced today to create a premium video-on-demand service for audiences. The decision will affect the length of time that movies will be exclusively available in theaters and is a direct hit to the movie theater business. These studios have jointly decided to offer titles on Direct TV and Comcast for a fee of around $30 each a mere 60 days after a movie has been in theaters, 30 days earlier than that same film is available on DVD. This news came out during CinemaCon -- formerly Show West -- the annual convention put on by the National Association of Theater Owners in Las Vegas, where studios and theater owners are usually celebrating their partnership.

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