Two Online Movie Services Fold
Two online movie services, Vongo and ClickStar announced Tuesday that they are shutting down. Vongo, owned by the Starz movie channel, had allowed subscribers to download an unlimited amount of recent movies for $9.99 per month. It said it would develop a similar service that would be offered via the online sites of its cable distributors. ClickStar said in effect that it could not compete with better-funded movie download sites like Amazon, Blockbuster, and Wal-Mart. Chief Technical Officer Sam Edge said in a statement, "With the entry of these well-funded players into our space ... it has become increasingly clear that ClickStar needs to align itself with a key partner to operate within the larger ecosystem. ...We have decided to partner or sell ClickStar."