End of an Era: Playboy Abandons DVD Market in Favor of Double Ds (Digital Distribution)
Posted 10/16/08 at 02:55:53 PM | by Paul Lilly
Forget about the fight between DVD and Blu-ray, Playboy has decided to leave physical media behind altogether. Instead, the company best known for its articles (you do read Playboy for the articles, right?) will focus solely on digital distribution, according to the company's regulatory filing. The move is expected to save Playboy about $12 million a year in expenses.
Shedding its DVD operation will result in the loss of 80 jobs an $2 million in restructuring charges. Combined with an additional $4 million taken against archival materials and a receivable, Playboy expects to take a total of $6 million in charges against operating income resulting in a net loss for the third quarter.
Despite the initial net loss, Christie Hefner, the company's chairman and chief executive, wrote in a memo to all Playboy employees that the goal is to return the company to profitability in 2009. In addition to migrating to digital distribution, savings will come from cutting overtime, travel, and entertainment.
Almost makes you not want to work at Playboy. Almost.
It's annoying that everytime
Submitted by atomaweapon on Thu, 2008-10-16 21:43
It's annoying that everytime a publication mentions playboy in the history of the world, they do the wink and the "YOU READ PLAYBOY FOR THE ARTICLES RIGHT, LOL".
Actually no. I stopped subscribing to playboy way back in '04, because it seemed in every single issue they found a reason to crap on the current president, everyone in his administration, and every single policy he's put forth. There was never any counterpoint, never any kind of real insightfulness to them. I wrote a letter here and there saying how annoying it was that they'd puke their political opinions down my throat, without the least bit of balance. I can stand a liberal publication if it's main focus isn't politics, as long as they put some sort of counterpoint.
Going a little off topic, but a publication needs to realize that a full 50% of their audience can be on either side of the political aisle, and unless you are a true political publication, steer clear of politics. I've cancelled many a subscription because they didn't adhere to that rule. It seems silly in this day and age where information is literally at your fingertips for a magazine to piss off HALF their user base with some left wing bull crap that's not backed up with any sort of rationality or provide a counter view for balance.
Needless to say I canceled playboy for that very reason, putting my reasons why in the subscription enevelope so they could pay for my letter to them. After all it really was just a more sex up, annoying version of maxim. I then let me Maxim subscription run out too, for those reasons and many more.
Sucks for the jobs lost, but
Submitted by brainwins on Thu, 2008-10-16 14:55
Sucks for the jobs lost, but I imagine they will hire a few more web people. Porn web people.
Edit: I wonder if all that people working on porn sites get somehow desensitized by porn. Mmmh,what about a Maximum PC Lab experiment.
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