Rupert Murdoch controls both a major movie studio-- Twentieth Century Fox-- and the nation’s largest satellite broadcaster, DirecTV. DirecTV is in the process of providing most of its 14 million American subscribers with Tivo-type digital video recorders (DVRs) and is considering entering into a deal with Comcast to reach the cable audience.  According to Peter Chernin, Murdoch's second in command, Fox is proposing to release its new movies on pay-per-view even before they are released in the video stores, and, deal with the Wal-Mart problem by also providing every one who gets a movie on Pay-Per-View (which is a one-time rental_ a coupon for a free DVD of it, when it is released in video stores, which will be redeemable at any Wal-Mart store. Consumers, for their part, would get an early viewing of a movie (as well as a later DVD), while Wal-Mart would get a share of the pay-per-view money and, even more important, potential shoppers coming into its stores to redeem the DVD coupons.

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