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MoviePass Issues Defiant Press Release: The Film Industry ‘Should Be Congratulating Us’

The company also compares itself to Uber and "other disruptive enterprises."

MoviePass Mitch Lowe and Ted Farnsworth

MoviePass CEOs Mitch Lowe and Ted Farnsworth

Drew Osumi

According to most observers, MoviePass isn’t long for this world. According to MoviePass itself, all is well. That’s the gist of a defiant press release issued today by the company, which recently took out an emergency loan in order to resume operations and has mulled drastic measures in order to stay afloat.

“Exhibitors know that without MoviePass they will be able to continue to charge exorbitant prices for theater tickets and gouge customers with overpriced concessions,” reads the release, which isn’t attributed to any one individual. “This is exactly the attitude the taxicab industry took when Uber entered their market.”

“Overall, we believe as much as 6% of the industry’s total box office receipts can be traced to our loyal subscribers,” it continues. “It’s clear that because of MoviePass, more people are seeing more movies at fair prices. Instead of wishing us away, the industry, particularly the independent film producers, should be congratulating and supporting us. Absent MoviePass, exhibitors are fighting to preserve profits in a declining box office environment. That’s the doomed strategy.”

The statement continues, “Yes, we’re going through a rough patch not unlike what other disruptive enterprises experienced in their early days. Much of our issues can be attributed to the unprecedented growth in a business that just 12 months ago did not exist.”

Among the changes coming to MoviePass are a price increase from $9.95 to $14.95 per month and preventing major studio releases for the first two weeks of release.

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