Carrefour Get Into Movie Download Business

For those who don’t know Carrefour, it’s huge retailer, much like a WalMart (except that they sell all kinds of food as well). They started out in France but Carrefour retail stores can be found in many countries. For example, there are around 10 Carrefour stores in Beijing. Anyhow, when you see a company like that going into the Movie Download business, it means a few things:

• The technology behind the business is a commodity. Sure, it can be improved, but it is no an edge anymore.
• Margins are going to get thin. I doubt that Carrefour will compete on user-interface or user-experience. They will compete on price. It’s their DNA.
• Expect more companies to jump in, as the technology behind it can probably be “bought” as a white label service.

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