Warner warns retailers away from Divx.(Warner Home Video's policy on retail advertising)

Video Business, December, 1998 by Sporich, Brett

Warner Home Video is drawing a line in the sand over Divx. Last month, the supplier sent out a memo outlining a "modification" to its retail advertising policy. Under the modification, retailers will not receive advertising support from Warner if they promote any Warner products in conjunction with "any alternative or variant optical disc technology, including both video software and hardware (excepting only laserdisc technology)." Although the two-page memo doesn't specify Divx, it's clear that the DVD enhancement, which Warner strongly opposes, is the target.

The memo states that Warner has "expended enormous time, money and effort in developing, supporting and promoting 'Open DVD' optical disc technology." The policy modification is...

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