Blockbuster Closings Latest Result of Move to Online Video
Not all that long ago it was not uncommon to get up out your chair, leave the house and visit Blockbuster to get the latest videos or games.
Now Blockbuster is becoming a real live look into the death of a segment of the video rental industry. We’ve been watching newspapers on the decline for years now (in their print form that is) and according to reports things are simply not getting any better for Blockbuster even after they were bought by the Dish Network (I missed that one) in 2010 in a bankruptcy auction. Now it’s possibly that more jobs going away as a result of store closings. Reuters reports
Dish Network Corp plans to close 300 Blockbuster stores in the United States in the coming weeks and could lay off as many as 3,000 employees, a move that comes days after the DVD rental firm’s UK unit went into administration.
Dish is trying to shed unprofitable Blockbuster outlets as online retailers like Amazon.Com Inc and download sites like Apple Inc’s iTunes eat away at Blockbuster’s business model. The potential job cuts represent about 40 percent of Blockbuster’s U.S. workforce of 7,300 people.
While this seems like just more inevitable news that is part of the shift to online video via Netflix, Amazon, Google, iTunes and more, it’s still hard to watch because people are losing jobs. Dish contends that the move is simply to make the brand more profitable. Business Insider reported
“We continue to see value in the Blockbuster brand and we will continue to analyze store level profitability and — as we have in the past — close unprofitable stores,” the spokesperson told the Los Angeles Times.
Can you imagine seeing any Blockbuster brick and mortars a few years from now? I can’t. If you are a Blockbuster employee it might be a good time to check out our job board.