Video: Blockbuster's Deal with Motorola

Earlier this week we saw a deal announced that would put Blockbuster's OnDemand video service on select Motorola phones:

Blockbuster Inc. today announced plans to feature the BLOCKBUSTER OnDemand movie download service in select Motorola phones, giving Motorola access to the BLOCKBUSTER OnDemand service and furthering Blockbuster's digital strategy by providing its library of premium digital entertainment to mobile devices for the first time.

Through the agreement select Motorola phones will feature an exclusive BLOCKBUSTER OnDemand application, providing on-the-go download access to Blockbuster's digital library of thousands of current BLOCKBUSTER OnDemand movies.

This may boost the OnDemand service slightly but it's not really going to help Motorola that much. Perhaps if there are two equally priced Android handsets side by side (Motorola vs. Samsung) this might be something of a tie-breaker. 

As a stand-alone offering people might pay a monthly subscription, but I'm guessing it's part of a larger subscription package that provides access to mobile as a part of the larger offering. 

Mobile video viewing continues to gain though subscription-based mobile TV will continue to struggle as an unnecessary product (unless or until the price becomes trivial or part of an upsell data package). 

Opus Research

Source: Opus Research 4/09 (n=611)