Subscription-based movie ticketing service MoviePass has announced that it will be closing down for good on September 14.
Helios and Matheson Analytics, MoviePass’ parent company, announced in a statement on Friday that it would be ending the service for subscribers because its “efforts to recapitalize MoviePass have not been successful to date.”
MoviePass originally launched in 2011, but had been struggling for over a year due to financial issues.
Helios and Matheson Analytics, the parent company of MoviePass, said that it was interrupting service for all its subscribers because its efforts to seek financing have not been successful.
It says it's "unable to predict if or when" MoviePass will continue. The company says it's planning to study all options including the sale of the company in its entirety.
MoviePass drew in millions of subscribers, initially luring them with a $10 monthly rate. But that proved unsustainable. Because MoviePass typically pays theaters the full cost of tickets — $15 or more in big cities — a single movie can put the service in the red. The company was forced to make changes. Those efforts, however, never stopped the losses.