I am at a bit of a loss as to why DVD/PPV distribution still lags the cinema release date by 60-180 days.
I think its because a theatre run actally boosts sales on home video. The "direct to home video" route is reserved for most (not all) films that got poor reviews in front of test audiences. In the eyes of most people, films that go straight to DVD/PPV are seen as average at best, and more likely than not "crap".
Where as a national theatre run will pre-hype a film before it goes into the video stores.
RE: Is the blockbuster the end of cinema?