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Downloading movies? That's you and one quarter of surfers…

"You're killing the cinema," says film body

By Stefanie Olsen

Published: 9 July 2004 08:55 GMT

One in four people online has illegally downloaded a feature film - and it's cutting into box-office and DVD sales, the Motion Picture Association of America (MPAA) said in a study.

A survey of 3,600 internet users in eight countries showed that as many as 50 per cent had downloaded copyrighted content in the last year. Of those people who have downloaded films, 17 per cent said they are going to the movies less often, and 26 per cent said they bought fewer DVDs, according to online researcher OTX, which conducted the study in partnership with the MPAA.

The trade group did not have box-office sales figures for 2004. But global movie admissions were down by four per cent in 2003 to about 1.57 billion, compared with 1.64 billion in 2002, according to research provided by the MPAA.

Still, from 1993 to 2004, admissions have gone up 27 per cent, by 330 million, and DVD sales and rentals have shot up by 50 per cent from 2002 to 2003, the research showed.

The primary concern, the MPAA said, is as broadband internet connections spread faster to countries around the world, more people will take to illegal downloading. For example, an estimated 98 per cent of South Korea's population uses broadband. Nearly 60 per cent of the population has reportedly downloaded movies, and one in three say they go to the box office less often, according to the survey.

Matthew Grossman, a spokesman for the MPAA, said: "It's not hard to imagine as other countries become increasingly broadband based we'll see more of this happen."

There are approximately 29.2 million broadband households in the US, according to market researcher The Yankee Group.

Also of concern is consumers' attitudes. The study found that 69 per cent of those surveyed don't believe downloading movies is a major concern in today's society. Little more than half of people who have already downloaded films online expect to continue to do so, and 17 per cent who don't already do it, plan to. Also, 38 per cent of those surveyed said it was OK to download a film before it's released in theatres.

For this reason, the MPAA has launched a worldwide campaign to monitor online film-downloading more closely and educate people on the implications of pirating movies. It has created movie trailers to warn people against illegal downloading and making pirated copies of films, among other tactics.

The study was conducted with residents of Australia, France, Germany, Italy, Korea, Japan, the UK and the US.

Stefanie Olsen writes for CNET News.com

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