MovieBeam Re-launches with HD Movies, $48.5 Million in VC Funding

Authored by Mark Hefflinger on February 14, 2006 - 10:39am.

Menlo Park, Calif. - MovieBeam, a video-on-demand service originally launched by Disney in 2003 but later discontinued, on Tuesday announced the re-launch of its service in 29 U.S. markets, and a new round of venture capital financing totaling $48.5 million. Mayfield Fund led the investment round; Cisco Systems, Intel and Disney also participated. The MovieBeam service uses over-the-air "datacasting" technology to deliver a weekly-updated library of 100 movies to TV set-top boxes. The required set-top box costs $199, while new releases rent for $3.99 each for a 24-hour rental period. Disney initially launched MovieBeam in three markets, but discontinued the service in April 2005 with plans to upgrade technology. With its re-launch, MovieBeam becomes the first video-on-demand service to deliver high-definition versions of some movies, which will cost $1 extra to rent.
http://biz.yahoo.com/bw/060214/20060214005306.html?.v=1
http://tinyurl.com/9srwn (CNET)
http://www.moviebeam.com