Two Entertainment Giants Reverse Course
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This week Netflix dropped plans to split off its DVD-by-mail service into a separate company, Qwikster, following a major customer drop-off and a stock decline. Plus, Universal Studios scrapped plans to release the upcoming Eddie Murphy- Ben Stiller movie, Tower Heist, on premium VOD a mere three weeks after coming out in theaters. The film was going to be available only in two markets and was going to come at a high price -- $59.99. But theater chains, including Cinemark, threatened to not release the film in theaters if Universal went ahead with this plan. So it was scrapped.