Blockbuster Going Bankrupt?
All the signs point to Blockbuster going bankrupt. The once strong competitor just cannot compete with emerging companies like Netflix and Redbox any longer. Back in 1985, Blockbuster was unstoppable. There was very little competition, therefor they were able to grow to a massive business. Their business model was flawless. That was 1985. In the new era of fast online video streaming and portable DVD rental boxes, Blockbuster has no chance unless they come up with an entirely new business model. They attempted to compete with Netflix with Blockbuster Online, but it was a bit late to jump into that market. Netflix has a strong grasp on the online video rental market. Even too strong for a massive company like Blockbuster.
Blockbuster agreed to a new forbearance agreement with their debt holders that will give it more time as it attempts to recapitalize. However, on Friday, Blockbuster failed to meet their $42 million debt payment, disappointing shareholders. The $42 million debt payment is just a small chunk of the $1 billion they owe. During the quarter, Blockbuster lost $69 million which equals to .32 cents per share. We believe this could be signs that Blockbuster will be claiming bankruptcy very soon.
Contributing to their huge debt is the loss of in-store customers and Blockbuster Online cancellations. With the closing of stores, Blockbuster has fewer customers. Online subscribers have been canceling their subscriptions as well. There has been a 30% drop in Blockbuster Online customers. Will this decline be a trend? We think so. Managers from stores think so as well. Back in August, Blockbuster partnered up with Comcast, and started a service called DVDs by Mail. As part of the partnership, Blockbuster has installed kiosks in some of their stores, allowing customers to sign up for Comcast services through the kiosk. Also in early August, Blockbuster announced the incorporation of video games into it’s online rental service. These available video game titles contained approximately 90 % of all game titles released since the year 2000 for Microsoft Xbox, Microsoft Xbox 360, Sony PlayStation 2, Sony PlayStation 3 and Nintendo Wii. With these additions, sales still steadily declined.
With the new forbearance agreement, Blockbuster has until September 30, 2010 to make their payment. This is the second extension creditors have allowed. Blockbuster continues to engage in discussions with their creditors and are doing everything they can to avoid bankruptcy.
Panasonic VIERA TC-P50VT25 Plasma 3D HDTV
The 50 inch Panasonic TC-P50VT25 HDTV is the smallest of the four sets in the VT25 series. The TC-P50VT25 has individually adjustable menus for 2D and 3D operation. This Panasonic Plasma television is THX certified in 2D in it’s THX picture mode, but not THX certified for 3D. The Cinema Picture mode replaces the THX option in the 3D picture settings. Since the company feels that only the true 3D experience can make the format a long-term success rather than a short-term gimmick, this set does not offer a 2D to 3D conversion feature. The 2D to 3D conversion feature would simulate a 3D movie from a 2D source. Just like most home theater reviews sites have stated, we have to also agree that leaving the conversion feature out is a good choice that saves the buyers a few dollars.
Since most of your viewing will be of 2D source, we recommend you not concern yourself with the 3D specs so much on any 3D television available right now. However, with that being said, the Panasonic TC-P50VT25 does have impressive 3D specs.
The Frame Sequential technology of Full HD 3D requires the images to be displayed at 1/120 of a second, which is twice as fast as ordinary full-HD images. If the luminescence time for each frame were simply shortened, the screen brightness would be lowered. To solve this problem, the luminescence time was shortened and the luminescence intensity was raised, which made it possible to produce bright, crisp 3D images.
Strengths
- Near-perfect picture quality with perfect black levels, outstanding color and details
- THX Certification for perfect out-of-the-box picture quality
- Neo Plasma display panel technology enables true 1080 lines of moving resolution for video content
- Anti glare technology for the most comfortable viewing
- Industry leading 3D display performance. Smooth and flicker free 3D viewing without any motion blur or ghosting
- Ability to play 1080p 24fps 2D content (Blu-ray and some satellite programming) at 96Hz via 4:4 pull down.
- Provides excellent value for money. Cheaper than most high-end LED TVs while retaining a better Picture quality and 3D display.
Weaknesses
- Display is about 3 1/2 inches thick. Not as slim as Samsung’s LED 3D TVs.
- The set only includes one Panasonic 3D glasses with purchase. Additional 3D glasses are around $150 a set.
- Since 3D is still a new technology, improvements will have to be made. It is still in it’s infancy.
When it comes to 3D performance and video quality, the Panasonic VT25 series holds the lead over all of its other competitors. Since this set is a Plasma, it will be significantly cheaper than most LED 3D TVs being released by other manufacturers. Even when not using the 3D features, the Panasonic TC-P50VT25 is an outstanding set. Panasonic knows how to make a solid Plasma and 3D set as well.
Retail Price: $2600