Comments on: Off Topic: Blockbuster Bids for Circuit City http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/ Tracking the Internet Evolution Sun, 07 Sep 2008 11:18:59 +0000 http://wordpress.org/?v=MU hourly 1 By: News Cast Live, formerly Mike Thinks News » NewsCast LIVE #188 Not only am I not intimidated by litigation, I rather miss it. http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871623 News Cast Live, formerly Mike Thinks News » NewsCast LIVE #188 Not only am I not intimidated by litigation, I rather miss it. Fri, 18 Apr 2008 00:37:03 +0000 http://gigaom.com/?p=12137#comment-871623 <p>[...] you rent videos from Circuit City….if Blockbuster bought [...]</p> [...] you rent videos from Circuit City….if Blockbuster bought [...]

]]> By: Nitin Badjatia http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871174 Nitin Badjatia Mon, 14 Apr 2008 20:44:37 +0000 http://gigaom.com/?p=12137#comment-871174 <p>Om,</p> <p>I didn't get the Icahn angle myself, since the whole thing just looks like a deadly embrace to me.</p> <p>Anyway, here's the link:</p> <p>http://www.cnbc.com/id/24112408</p> Om,

I didn’t get the Icahn angle myself, since the whole thing just looks like a deadly embrace to me.

Anyway, here’s the link:

(link)

]]> By: Om Malik http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871168 Om Malik Mon, 14 Apr 2008 19:33:08 +0000 http://gigaom.com/?p=12137#comment-871168 <p>@ Nitin</p> <p>I missed that bit about Icahn. Did he say why he was willing to bankroll the deal? Agreed he is a good poker player, but are the stakes big enough to play in this case?</p> @ Nitin

I missed that bit about Icahn. Did he say why he was willing to bankroll the deal? Agreed he is a good poker player, but are the stakes big enough to play in this case?

]]> By: Nitin Badjatia http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871157 Nitin Badjatia Mon, 14 Apr 2008 17:58:21 +0000 http://gigaom.com/?p=12137#comment-871157 <p>I doesn't really make sense just about anyway you look at it, however CNBC is reporting that Carl Ichan has agreed to bankroll -at least part- of the acquisition price.</p> <p>...and we know that Mr. Ichan is usually a good poker player...</p> I doesn’t really make sense just about anyway you look at it, however CNBC is reporting that Carl Ichan has agreed to bankroll -at least part- of the acquisition price.

…and we know that Mr. Ichan is usually a good poker player…

]]> By: Salim Ismail http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871155 Salim Ismail Mon, 14 Apr 2008 17:50:49 +0000 http://gigaom.com/?p=12137#comment-871155 <p>Very true. I'm amazed they took so long to get online and have essentially lost that race to NetFlix. It's one of those "stitching two corpses together doesn't make one live person".</p> Very true. I’m amazed they took so long to get online and have essentially lost that race to NetFlix. It’s one of those “stitching two corpses together doesn’t make one live person”.

]]> By: Om Malik http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871153 Om Malik Mon, 14 Apr 2008 17:31:32 +0000 http://gigaom.com/?p=12137#comment-871153 <p>Good point Salim, but the big issue, is how to maximize return per squarefoot. I think video rentals are clearly not the way to go. As netflix has shown, physical space can kill the margins. I think taking BBuster and rolling into CC sores and shutting down BB stores might make a lot of sense. But that's about it. I think such big box stores and the mergers never really work out properly.</p> Good point Salim, but the big issue, is how to maximize return per squarefoot. I think video rentals are clearly not the way to go. As netflix has shown, physical space can kill the margins. I think taking BBuster and rolling into CC sores and shutting down BB stores might make a lot of sense. But that’s about it. I think such big box stores and the mergers never really work out properly.

]]> By: Salim Ismail http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871152 Salim Ismail Mon, 14 Apr 2008 17:13:54 +0000 http://gigaom.com/?p=12137#comment-871152 <p>Om, I'd say there are two possible reasons:</p> <p>1 - Buying CC might get him retail outlets on the cheap which could be converted to Blockbusters or have video rental embedded inside the stores. Blockbuster superstores that offer much more than video rentals might provide excellent shopper metrics (time in store, $$ per purchase, etc)</p> <p>2 - The product lines in CC are complementary to BB and it could simply be a value play. (Which, to your point, could also be a distraction)</p> Om, I’d say there are two possible reasons:

1 - Buying CC might get him retail outlets on the cheap which could be converted to Blockbusters or have video rental embedded inside the stores. Blockbuster superstores that offer much more than video rentals might provide excellent shopper metrics (time in store, $$ per purchase, etc)

2 - The product lines in CC are complementary to BB and it could simply be a value play. (Which, to your point, could also be a distraction)

]]> By: Om Malik http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871151 Om Malik Mon, 14 Apr 2008 17:09:13 +0000 http://gigaom.com/?p=12137#comment-871151 <p>@ Gee,</p> <p>And what are the odds that this would actually work. <a href="http://www.paidcontent.org/entry/419-circuit-city-havent-we-seen-this-before/" rel="nofollow">Paidcontent puts</a> it best when it poses the question: haven't we seen this movie before. The CC+Napster deal didn't exactly set the world on fire.</p> @ Gee,

And what are the odds that this would actually work. Paidcontent puts it best when it poses the question: haven’t we seen this movie before. The CC+Napster deal didn’t exactly set the world on fire.

]]> By: Gee http://gigaom.com/2008/04/14/off-topic-blockbuster-bids-for-circuit-city/#comment-871149 Gee Mon, 14 Apr 2008 16:59:18 +0000 http://gigaom.com/?p=12137#comment-871149 <p>Maybe the grand idea is to obliterate CC as we know it, and transform the existing Blockbuster retail locations into GET YOUR MEDIA AND YOUR MEDIA PLAYER TOO shops...</p> Maybe the grand idea is to obliterate CC as we know it, and transform the existing Blockbuster retail locations into GET YOUR MEDIA AND YOUR MEDIA PLAYER TOO shops…

]]>