Amazon In A Tiff With Disney, Halts Some Movie Pre-Orders Like Captain America, Guardians, and Maleficent
According to a report in The Wall Street Journal, this is the same tactic Amazon used in a four-month long dispute with Hachette Book Group over e-book pricing. Amazon threw its weight around by halting pre-orders for physical copies of Hachette's books, while also lengthening ship times and reducing discounts for other titles.
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Amazon is position to bully its partners when it sees fit, though rarely do the tiffs become public. In this case, Amazon is feeling the heat from investors who are unhappy with the e-commerce giant's performance in the second quarter. The company posted a disappointing $126 million loss even though it bumped up revenue by 23 percent.
Halting pre-orders isn't a new tactic for Amazon, even in the movie space. Earlier this year, Amazon did the exact same thing to Warner Bros. before reaching a deal with parent company Time Warner Inc.
Disney can still lean on stores like Walmart and Best Buy to sell pre-order copies of its upcoming flicks, but when it comes to online sales, none are as big as Amazon.