To understand exactly why the consortium that has been responsible for the development of the DVD format insisted that Region Codes had to be included as part of the DVD Video specification, we must go right back to the very early days of cinema. Over the course of this article, we will cover the distribution models of the past and present, as well as some possible examples for the future.
Using Gladiator as an example for the sake of argument, one has to bear in mind that at a cost of $2,500 US apiece ($4,500 Australian), 3,355 prints of this movie were needed to cover the screens it was showing on in the US and UK when it opened, much less the number of prints needed to cover the rest of the world. That's over $15,000,000 (Australian) tied up in film reels alone. This is before we've even begun to talk about the costs involved in putting each release print onto a truck to be shipped to each cinema, and the cost of making sure it gets to them in playable condition. When you consider the cost of making a release print for each cinema in the world, it simply adds up to too much money for the film studios to make any money at all, leave alone a serious profit. The solution to this problem is, of course, staggered release plans, where the studio releases a film in one country first, and then uses the same prints for cinemas in other parts of the world.
Of course, one of the problems with this kind of release scheduling is that countries that are further down on the distribution list tend to receive prints that are not in the best condition. While we are relatively unaffected by this in Australia, non-English speaking countries that generally figure last on the distribution lists get a lot more film artefacts with their picture by the time it is released there. At least now you know why the best time to see a film is on the day of its release, or as close thereto as is humanly possible.
Unfortunately, not even a corporation as large as Sony, the parent company of Columbia and Tristar Pictures, can be everywhere at once. The film studios need to set up a distribution system on both a national and international scale, allowing for an orderly dissemination of the film worldwide, with local censorship, dubbing, and subtitling requirements taken care of. This distribution system is comprised both of local subsidiaries of the parent company, such as Columbia Tristar Home Video, as well as some independent operators, such as Dendy Pictures and Siren Entertainment. As things currently stand, the system can only operate as fast as the slowest link in this distribution network, and this has resulted in a number of embarrassing situations where a film has been available on home video in America before getting a theatrical release in Australia.
When the battle between VHS and Betamax to become the standard home video format was all but over, another problem emerged from the home video world that drew the ire of film studios: piracy. Hooking up one VCR to another and making a recording from a VHS tape is a relatively simple process, as is making a recording from a television broadcast. While the average consumer was not about to start making mass production runs of illegal duplicates in their basement, the tendency of the average consumer, particularly in places like Australia, to want to get something as cheaply as possible ate a sizeable hole in the revenue of both the rental libraries and the film studios. It was quite a common practise in those times to rent a film on VHS from the local rental library, make a copy of it, and then watch the copy whenever entertainment was needed.
Of course, one advantage that the retailers had over the consumer was that VHS is a home video format with a very short shelf-life. Not only was it impossible to make a VHS tape over a certain length without the rising possibility of tape breakage through normal use, it was also impossible to play the VHS cassette repeatedly without progressive degradations in the video and sound quality. Of course, consumer anger over the short shelf-life of the VHS cassette was tempered by the fact that, Laserdisc notwithstanding, there simply wasn't a better alternative. Until recently.
Then, the greatest thing to happen to home theatre since the concept was even thought of took place: the DVD revolution. Suddenly, we were blessed with a home video format that could store an entire film on a single disc that was the size of the compact disc we were introduced to in the 1980s, but carried at least eight times as much information. Although some minor teething problems occurred when the format was introduced, the DVD Video format has been embraced by both the film studios and the consumer, with some qualifications on the part of the latter. At long last, there was a format that could display a film in its proper aspect ratio with decent image quality, with a cinema-like soundtrack. Unfortunately for the studios, the combined revolutions of the Internet and DVD Video made it possible for a consumer in Australia to order a film from America before it had begun its Australian theatrical run, e.g. Chicken Run. Suddenly, decades worth of distribution deals and billions of dollars were at stake.
The DVD Consortium, to which numerous film studios belong, panicked at this situation and adopted an attempt at a solution that was futile for reasons I will get into shortly. That solution was what we call Region Coding, a system in which players and discs are allocated codes according to the part of the world in which they were destined to be sold. For those who don't already know how it works, the basic principle is that the player checks the disc for what Regions the disc is allowed to play back in. If the allowable playback Regions encoded onto the disc do not match the player's region, then the player will refuse to play the disc. The primary reason why this solution to the distribution problems is futile is that modern-day consumers, and DVD enthusiasts in particular, are far more concerned with getting the best value for their dollar and are less likely to accept inferior products such as the Region 4 versions of Scream and The Thing. Subsequently, multizone DVD players are the norm rather than the exception in non-US countries.
The upshot of all these things is that the current film and home video distribution system has been overtaken by technology and is now grossly outdated. Not only is the current system a great deal more complex than it really needs to be, the demand for a single release date the world over could put numerous film studios and distributors out of business if it goes unheeded. This, naturally, brings me to speculations about the future of film and home video distribution.
Obviously, the middlemen are the first major hurdle that needs to be jumped in order to make this vision of the future a reality. If you look at the current release schedules for films on DVD Video, you will notice that the largest of the major film studios are completely ignoring the rental windows that were part and parcel of the VHS distribution system. There has been some rather serious noise about this already from the video rental libraries, with many of them grasping for reasons to put down the DVD Video format to consumers without openly admitting that their primary reason for doing so is that the format is a foretelling of the end for their business. Once digital cinema becomes a reality, it will necessitate the transfer of all existing films into high-resolution digital form, and a whole new world of film and home video distribution will evolve from there.
Another fly in the ointment is that film studios like Warner Brothers and Columbia Tristar do not want Jack and Jill Videophile to actually own movies, as such. Instead, they want us to pay every time we watch it, which is why many of them originally supported the older Circuit City DiVX format. Of course, consumers will never support this sort of business practise, which brings me to my own Utopian model of film distribution's future.
In my vision of the future, films will first be released to digital cinemas on a single worldwide release date for however long it takes them to wear out their welcome. Then, in store-fronts set up by the film studios, the films would be made available on a worldwide database from which the customer selects the film they want, pays their money, and then has the disc, case, and slick pressed on-site while they wait. Obviously, this model of the future is a very hopeful one, but I am sure you'll agree with me that both the consumers and the film studios would gain the most from it.
© Dean McIntosh (my
bio
sucks... read it anyway)
December 29, 2000