In 1997 Blockbuster decided that DVD would never replace VHS. With that decision he began to dig his grave
In 1997, Warner Bros. proposed blockbuster an exclusivity agreement to rent DVDs. The deal replicated the model that was already practiced with the VHS format, which gave 60% of income to the video store chain. Blockbuster declined because they were confident that magnetic tape would maintain its dominance for years. Warner responded by drastically cutting … Read more