‘How Movie Studios Exploit Video on Demand Services’
This system works for cinema distribution and was exported for home entertainment, where it affects our business. For a video on demand (VOD) operator to distribute any given catalog, it must pay “Minimum Guarantees (MG’s)” to the studio. This allows one to exploit the catalog. Mind you, you don’t get to choose what you pay for. That would be too simple. Output deals are the norm and in essence they mean you need to take every licensed film as part of a single deal. If you want the latest blockbuster, you must also take the latest winner of the Golden Raspberry awards, and take our word for it, there are some pretty unworthy films in there. – Anonymous via Ernesto, TorrentFreak
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