For subscribers of MoviePass, life has not been an easy one. They initially offered a service that allowed anyone to see as many movies as they wanted a month for $10. It was really a too-good-to-be-true deal. Also, an unsustainable model for MoviePass. After that, shit went downhill in a crazy way. People could no longer see the same movie multiple times. Then, they couldn’t see any movie they wished. Then it was certain movies on certain days. Now, on the eve of the Fourth of July holiday weekend, MoviePass suspended business for the time being.
On July 3rd, MoviePass revealed that due to “maintenance related issues”, they would be forced to “hold” the service. They claim that it will “take several weeks” for them to get back up and running. MoviePass claims they will credit subscribers for the number of days the service is down, and no new subscribers will be added.
“There’s never a good time to have to do this,” said CEO Mitch Lowe. “But to complete the improved version of our app, one that we believe will provide a much better experience for our subscribers, it has to be done.”
Timing of the shutdown is conspicuous. When MoviePass made other changes, it was during the summer movie season. When Disney release Avengers: Infinity War, they announced that subscribers would be unable to see the same movie more than once. Last summer, MoviePass promoted a new plan that would allow people to see certain movies on certain day. Another issue is that reports of supported movies were being removed from the app when subscribers arrived at the theater.
There is speculation that it seemed to be more of a cash flow problem. In April, BusinessInsider reported subscriptions had dropped from 3 million to 225,000 in just under a year. Which isn’t a surprise to former subscribers. MoviePass suspended business claiming “technical issues” but it would be a major surprise if they actually come back.