This is Big: Microsoft Unveils the Video Marketplace

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IGN
Microsoft Unveils the Video Marketplace
Television shows, HD movies and more are coming to Xbox 360.
by Erik Brudvig
November 6, 2006 - Not ready to pick sides in the upcoming HD format war? Maybe you don't have to just yet. On November 22nd, Microsoft is launching the video marketplace for Xbox Live. This new service will allow Xbox 360 owners with access to a high speed internet connection to download a variety of HD and standard definition video content to their consoles and view it on their television. That means all Xbox 360 owners with an HDTV will have access to HD movies, regardless of whether they own an HD-DVD or Blu-Ray player. It doesn't end with movies, though. The video marketplace will also feature television shows, music videos and game videos to purchase with Microsoft points. The service will be available to both Xbox Live Silver and Gold members and promises over 1,000 hours of unique content by the end of the year, with at least 200 of that available in both standard and hi-definition. Sound interesting? Read on for the gritty details.

The big question on everybody's mind at this point is surely cost. Unfortunately, Microsoft wasn't very forthcoming with answers to this question saying only that the digitally distributed videos would be "competitively priced." However, a tutorial video put up on Xbox.com shows the HD movies priced at 480 Microsoft points ($6 USD) with the standard definition price of 320 points ($4 USD) while both versions of television shows clocked in at 240 Microsoft points ($3 USD) Television shows will be sold in much the same way that Live Arcade games are. After purchasing them with Microsoft points, owners will begin downloading them and will own the show. That means they can delete it off of their hard drive and download it at a later date without having to pay for it again. Movies will be output in a rental format. This is necessary in part due to the limited space on an Xbox 360 hard drive and the massive size of an HD movie. The standard definition movie we were shown clocked in at 1.2 GB while the HD version of the same movie was nearly four times as big at 4.7 GB. Once you download a movie, you'll have 14 days to begin watching it. After you start watching it, you'll have 24 hours before the rental expires and the movie is "returned."

These HD downloads can get huge and we all know how slow Xbox Live can be when we're trying to download the newest demo or trailer. To help solve that problem, Microsoft is launching a new service to handle the video marketplace that is outside of the one currently used for the old marketplace. Also, you'll be able to begin watching videos before they are fully downloaded, something you can't do right now with trailers on Xbox 360. Still, no guarantees were made about speed. We were told that downloading an HD movie would be more of an "overnight type of thing" or something to be done in the background while playing a game.



Master Shake is coming to Xbox 360.

Accessing the video marketplace and finding the content you want appears to be a simple enough task. The video marketplace will be accessible through the media blade on the Xbox 360 dashboard. When you click on it, you'll find categories for movies, tv shows, music videos, game videos, and clips. Each category is broken up into subgroups when you click on them. For example, the tv shows category expands to have sorting options for new arrivals, network, clips, genres, and all. From there you can customize the search even further with the ability to sort by title, episode number or download rank. You'll also notice a difference in the appearance when you access a particular show as Microsoft is providing networks the ability to customize their store's look. When customers go to a particular show's library, the background and colors will change to match it. Controlling what is watched will follow the same parental controls already present on Xbox 360. All video will be content rated and can be restricted according to those ratings through the dashboard.

Microsoft feels this service is a powerful one in that it provides choice. Rather than being forced into buying an entire season of a show, consumers will be able to pick which shows they want to purchase. Just to make sure you're not purchasing anything you don't want to, each video clip will have a preview button that will stream a small clip of the show on the right side of the screen. They're also providing choice in how you get your HD content. Those who want to go out and purchase the HD-DVD add-on are free to do so, but Xbox 360 owners can also get their HD movies and shows through a digital distribution format. Going further, they also presented the hypothetical, though currently just a thought, situation where content providers would like to make just a fraction of their show available for download at a very small cost. Perhaps NBC would want to put a single skit from SNL on the marketplace and charge a microtransaction fee. With this service they would be able to.

How inclusive will the service be? We already gave the figure of 1,000 hours of unique content by the end of the year, but exactly where that content is coming from is important.. Obviously, you won't be seeing any Sony Pictures movie releases on the video marketplace. The networks we were told would be providing content initially, with more to come, are CBS, Turner, Warner Brothers, Paramount, UFC, and MTV Networks (including VH1 and Cartoon Network). It's up to the content providers to determine which shows or movies will be up on the new-look Marketplace and what formats they will arrive. In general, if the content is available in widescreen or HD, then it will appear that way on the service alongside their standard definition cousin. Some shows we were demoed, such as Aqua Teen Hunger Force, are only available in standard definition by default so no HD versions will be available. Others, such as CSI, will be made available for the first time in a digital distribution HD format through the video marketplace. The availability of the content will be determined by the providers. Some television shows will be available the next day for download, while other videos, such as movies, will obviously take longer to reach the marketplace.

Here is a list of the examples of content available by the end of the year from the official press release:

Robot Chicken" and "Aqua Teen Hunger Force" from Adult Swim.
"CSI," "Survivor" and "Star Trek" from CBS.
Emmy and Peabody award-winning "South Park." and "Chappelle's Show" from Comedy Central.
"The Real World" and "Pimp My Ride" from MTV.
"Avatar: The Last Airbender" and "SpongeBob SquarePants" from Nickelodeon.
"Skyland" and "The Nicktoons Network Animation Festival" from Nicktoons Network.
"M:i:III," Nacho Libre" and "Jackass: The Movie" from Paramount Pictures.
"Carpocalypse" and "Raising the Roofs" from Spike TV.
"Race Rewind" from by NASCAR.COM.
Select episodes of the original season of "The Ultimate Fighter" reality series and the "UFC: All Access" shows from the UFC.
"Breaking Bonaduce" and "Hogan Knows Best" from VH1.
"The Matrix," "Superman Returns" and "Batman Forever" from Warner Bros. Home Entertainment.

The issue of taking your videos off of the Xbox 360 might make the service a little less appealing to some. Although you can take your Live account to a friend's and watch the videos you have purchased, there won't be any way to move the videos from the Xbox 360 to another piece of equipment. We asked about any interconnectivity with the upcoming Zune and were told that there won't be any initially although there may be some in the future.

Another downside: The plans for adult content will likely fall in line with Microsoft's policy for games which is to not allow adult only games on to the system. It looks like downloading HD porn to your Xbox 360 isn't going to happen. Sad, we know.
This is HUGE. MS better release some bigger HDDs.
 
And they better drop the core system. It isn't selling anyways, an this is the final nail in the coffin for it.
Also, I think this might be seen as a back-up in if (more like when) the HD-DVD drive fails so the 360 can still play HD movies.
And not bothering with connectivity with the Zue is probably a good thing. Connectivity of such a nature is overrated in every application and as I'm still sure the Zune will sell like crap it's probably a good thing to not promise anything until after they manage to sell a few.
 
First of all, the Zune has so many problems (releasing it in a fecal color doesn't help), it's broken by design. The biggest problem is that it's saddled with Microsoft's archaic and overly-heavy interpretation of DRM. You're lucky you can listen to anything on it at all.

Distributing video (let alone HD video) as something you "want to watch tomorrow" seems idiotic. The most significant factor in the VoD and PPV market is the impulse buy. Microsoft's approach effectively changes your purchasing from impulse to planned. While having it downloaded will help eliminate lag & dropouts, what happens to your home network while this video is being downloaded? Ever tried to access the internet while someone is just playing Halo online? Now picture a constant 1.2GB download. Either their download times are vastly underestimated (if they've even considered bandwith-throttling), or they're going to cook routers on a daily basis.

And don't forget that you're viewing options will be influenced by the whole HD-DVD/Blu-Ray divide (although, Sony's PS3 will obviously suffer the same problem...if they ever offer such an option).
 
Obviously, you won't be seeing any Sony Pictures movie releases on the video marketplace.

Odd. For curiosity, I downloaded an "Artist of the Month" video a few days ago, and it happened to say "2006 Sony BMG Entertainment" at the end.

:dunce:
 
$6 for a HD movie? Sounds cheap to me.

That's rental only, you missed this bit.

"Once you download a movie, you'll have 14 days to begin watching it. After you start watching it, you'll have 24 hours before the rental expires and the movie is "returned."

Regards

Scaff
 
That's rental only, you missed this bit.

"Once you download a movie, you'll have 14 days to begin watching it. After you start watching it, you'll have 24 hours before the rental expires and the movie is "returned."

Regards

Scaff

I still think it's quite a good deal. It's no more expensive than Blockbuster video, plus it's HD and I don't have to worry about taking it back to shop.

I would definitely use the service.
 
I still think it's quite a good deal. It's no more expensive than Blockbuster video, plus it's HD and I don't have to worry about taking it back to shop.

I would definitely use the service.

I believe the standard definition movies are free.

xbox_vod_10.jpg


xbox_vod_17.jpg


And here's a preview of the video marketplace.
 
Microsoft better bring some extra servers out to handle just the HD movie rentals, with more bandwidth.
 
This crap is why I prefer Nintendo's approach to video game consoles over Sony's and Microsoft's. But I must admit. This would be a nice alternative to renting movies or catching that episode you missed of your favorite TV show. *cough*Lost*cough*

Pricing sounds fair enough. $6 for HD is a bit high though. Has anyone rented high def DVDs yet? On Blockbuster Online, it seem to count as a regular DVD, but I'm not sure.

First of all, the Zune has so many problems (releasing it in a fecal color doesn't help), it's broken by design. The biggest problem is that it's saddled with Microsoft's archaic and overly-heavy interpretation of DRM. You're lucky you can listen to anything on it at all.

Distributing video (let alone HD video) as something you "want to watch tomorrow" seems idiotic. The most significant factor in the VoD and PPV market is the impulse buy. Microsoft's approach effectively changes your purchasing from impulse to planned. While having it downloaded will help eliminate lag & dropouts, what happens to your home network while this video is being downloaded? Ever tried to access the internet while someone is just playing Halo online? Now picture a constant 1.2GB download. Either their download times are vastly underestimated (if they've even considered bandwith-throttling), or they're going to cook routers on a daily basis.

And don't forget that you're viewing options will be influenced by the whole HD-DVD/Blu-Ray divide (although, Sony's PS3 will obviously suffer the same problem...if they ever offer such an option).
I'd give you rep points, if I could..... Great point on download time. I don't get the HD DVD/Blu-ray divide thing though. How does that matter, if you are just downloading them onto the hard drive?
 
I'd give you rep points, if I could..... Great point on download time. I don't get the HD DVD/Blu-ray divide thing though. How does that matter, if you are just downloading them onto the hard drive?
Perhaps as to what studios throw full support behind it.
 
Pricing sounds fair enough. $6 for HD is a bit high though. Has anyone rented high def DVDs yet? On Blockbuster Online, it seem to count as a regular DVD, but I'm not sure.

I didn't even know Blockbuster had HD movies. But even still, I find it a great deal when you can rent movies in SD for free (when it'd cost $6 at my Blockbuster). And you have the choice to pay $6 for a version with quality the same as Blu-ray/HD-DVD, without paying a huge amount of money for a standalone player to do the same thing.
 
I'd give you rep points, if I could..... Great point on download time. I don't get the HD DVD/Blu-ray divide thing though. How does that matter, if you are just downloading them onto the hard drive?

What? :confused: Why not? I'm sure I could use it. ;)

I've already been proven wrong about the Sony/MS divide, but I guess I can explain why I thought that way: Sony is a very vertically integrated company. They have a piece of just about every point in the chain, from studios to production to distribution, and of course electronics. Normally in such a near-monopoly situation the company would keep their content exclusive to their hardware & distribution chain. The same would happen with the XBOX and the studios in the HD-DVD camp.

But like I said, someone's already viewed Sony/BMG content on XBOX Live, so I would hope that Sony acts accordingly. I'd hate to be tied into a situation as described above. It would also have been detrimental to the "all-new, all-different" high-def format war. :indiff:
 
Duċk;2477124
I didn't even know Blockbuster had HD movies. But even still, I find it a great deal when you can rent movies in SD for free (when it'd cost $6 at my Blockbuster). And you have the choice to pay $6 for a version with quality the same as Blu-ray/HD-DVD, without paying a huge amount of money for a standalone player to do the same thing.
$6 for SD, like as in standard definition DVDs? :eek: You should look into "Preferred Membership", or just join Blockbuster Online. With the "Preferred", they'd give you one non-new release rental for every paid rental(Sun-Thurs, I think). It's only like $3.99. Plus a free rental for every 4 or 5 rented.

With the Blockbuster Online, I currently pay $16, $17/month(promotinal for few months). They give you a free in-store rental per week on top of the three rentals you can check out at a time. Supposedly, they have a new feature that let you return a movie at your local Blockbuster, then rent the next one for free from the store! Now, that's flexibility.

I do agree with you on your post though. It would be a good deal to be able to watch HD movies without paying for a whole new HD DVD player. It will hurt the sales of their own add-on HD DVD player for the console though.
What? :confused: Why not? I'm sure I could use it. ;)
:lol: That means I've already given you some somewhere else, silly goose!

I've already been proven wrong about the Sony/MS divide, but I guess I can explain why I thought that way: Sony is a very vertically integrated company. They have a piece of just about every point in the chain, from studios to production to distribution, and of course electronics. Normally in such a near-monopoly situation the company would keep their content exclusive to their hardware & distribution chain. The same would happen with the XBOX and the studios in the HD-DVD camp.

But like I said, someone's already viewed Sony/BMG content on XBOX Live, so I would hope that Sony acts accordingly. I'd hate to be tied into a situation as described above. It would also have been detrimental to the "all-new, all-different" high-def format war. :indiff:
So, what Toronado was saying then, eh?

Edit:
so when's all this suposed to happen?
IGN
On November 22nd, Microsoft is launching the video marketplace for Xbox Live.

;)
 
With the Blockbuster Online, I currently pay $16, $17/month(promotinal for few months). They give you a free in-store rental per week on top of the three rentals you can check out at a time. Supposedly, they have a new feature that let you return a movie at your local Blockbuster, then rent the next one for free from the store! Now, that's flexibility.

There's a lot of rental and VoD iterations out there, and for the most part they all work. Some more than others, but even little niche players like MovieBeam are still around. NetFlix didn't put Blockbuster out of business, nor vice-versa, and pay-per-view is still incredibly popular. I think VoD is the way things will end up, though, and with the increasing speed of home broadband (Verizon's FiOS) it may soon be feasible to do real VoD via the internet. That is, if by "soon" we mean "5+ years" and by "feasible" we mean "tolerable".

a6m5
:lol: That means I've already given you some somewhere else, silly goose!

:dunce: Not up on this rep thing. I'll have to read the FAQs more.


a6m5
So, what Toronado was saying then, eh?

Yeah, but in the style made popular by the New York Times, I just filled in the blank spaces with more words to say essentially the same thing. ;)
 
Doesn't sound too interesting to me. It would be much less of a pain in the ass for me to drive the 4 blocks to the nearest video store than sit around for hours and hours waiting for a download and hoping it's ready when you want to watch it.
 
:dunce: Not up on this rep thing. I'll have to read the FAQs more.
I think you have to give rep points to 10 more people, before you can rep the same user again.


CFM
Doesn't sound too interesting to me. It would be much less of a pain in the ass for me to drive the 4 blocks to the nearest video store than sit around for hours and hours waiting for a download and hoping it's ready when you want to watch it.
Even if I had X360, I doubt I'll be jumping all over this feature. IMO, it's a nice optional, alternative thing, at best. Might work well in emergencies, like you want to watch some paticular movie/dvd, but they are rented out, or video store's closed.

Edit: I almost forgot. What Duck said was important, also. Many people have HDTV, but not the high definition DVD player. You can download and watch high def movie without shelling out hundreds for a high def DVD player. That is the nicest thing about it, I think.
 
Are you all sure that SD movies are free? I think that may not be the entire truth...I find it hard to believe that Paramount and Universal, or even Warner would let their movies grace for free. MS would have to pay them in order to offer it at a rental for free.
 
Are you all sure that SD movies are free? I think that may not be the entire truth...I find it hard to believe that Paramount and Universal, or even Warner would let their movies grace for free. MS would have to pay them in order to offer it at a rental for free.
While I heavily doubt it, it may come out of your XBox Live fee (perhaps when coupled to limited movie rental).
 
Yea, I just don't see the word "free" going with property that doesn't belong to MS. And I don't see MS giving money to these companies for them to use their movies...for nothing.
 
The article says 320 points, or about $4, but is a speculation at this point. And if I understand it correctly, you have 2 weeks to start watching it. After activating it, you have 24 hours to actually watch it.
 
Okay, so they aren't free.

Well, while it's cool, I certainly don't think it's "big". Seeing as how only half of the 360 user base can use it, and the files ARE rather big on the already limited 20GB HDD space, I see this being more of a feature than something big. Sure, it's neat, but I really really really doubt anyone is going to use it, it's just not convenient. 6GB movies? And they're only 720P? And you only get to watch it once? So, that's a lot of time invested in a download, only watch it a once (unless you watch it a few times in one day) and then it's gone. Even if you can have the option to keep them, you can't keep many. I see more people opting out to rent movies still, and since the HD-DVD add on won't be huge, I think this download service further hurts the HD-DVD sales...ouch.
 
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