The company is exploring several options for MoviePass including selling the company “in its entirety, a sale of substantially all of the Company’s assets including MoviePass, Moviefone, and MoviePass Films,” and a reorganization of the business. Furthermore, any sale of MoviePass comes with “the assumption or settlement” of MoviePass’s liabilities. You can watch our video on MoviePass’ demise below.
MoviePass was first released in 2014 where the service offered subscribers unlimited movie theater tickets for a monthly price. At its lowest, members could watch films in theaters for $7 a month.
MoviePass’ low subscription fee was unsustainable, and MoviePass began introducing surge pricing. There were also cases where MoviePass hid popular movies from appearing on the app, and even changing users’ passwords without their knowledge to prevent them from even using the app.
In the past year movie theater chains have offered their own MoviePass-like subscription services. AMC, Cinemark, and Alamo Drafthouse have rolled out their versions of MoviePass at different price points.
MoviePass helped usher in the movie theater subscription model to the mainstream, but it will not stick around as other competitors successfully roll out their own movie theater subscription services.
Matt Kim is a reporter for IGN. You can reach him on Twitter.