A new web service live streams brand new DVD movies, working around the delay structure used by services like Netflix.
Zediva is an online movie viewing site with a difference:
With Zediva, users remotely watch an actual DVD playing on an physical player in the company’s data center in Silicon Valley
The site could surreptiously undercut existing online streaming service providers. For instance Netflix has agreements in place to delay streaming their digital copies of movies.
The business model allows Zediva to make DVDs available to users as soon as the films come out, since the company is literally buying physical DVDs to rent over the Internet.
As bookofjoe notes it’s perhaps unlikley that this model will persist unchallenged by competitors for much longer.