*By: Madison Alworth* AMC Theaters rolled out its MoviePass competitor Tuesday, dealing another blow to a company that's been hemorrhaging money and trying one strategy after another to stay afloat. "MoviePass's business model is fundamentally an unprofitable one," said Rob Marvin, associate features editor of PCMag.com, in an interview with Cheddar last week. "They are subsidizing movie tickets for millions of people." [The company, owned by data firm Helios & Matheson, charges customers $10 a month and allows them to see, essentially, a movie a day.](https://cheddar.com/videos/amcs-latest-blow-to-moviepass-goes-live) AMC's Stubs A-List, by contrast, charges twice as much per month and lets users see up to 3 movies a week. MoviePass's model has been criticized as unsustainable and the business lost $150 million last year. To reverse those fortunes, the service has made various changes. Earlier this year it faced backlash for seeming to end its unlimited movie offer and last week announced that it will introduce a kind of surge pricing, charging users more to see popular movies at high-demand times. In an attempt to sweeten the bad news, MoviePass said members will be able to "Bring-A-Guest" and buy one extra ticket directly on the MoviePass app. And members will be able to see IMAX and 3D movies for an additional fee. The struggles highlight the fear among many users that MoviePass's offer may be too good to be true. "As a MoviePass user myself, it's been great," Marvin said. "I hope I'm wrong, but I don't think this is going to last forever. We're just riding this out for as long as we can go." For the full segment, [click here.](https://cheddar.com/videos/moviepass-will-cost-you-more)

Share:
More In Culture
Is it Better to Rent or Buy?
First American Deputy Chief Economist Odeta Kushi joins Closing Bell to discuss the pros and cons of renting vs. owning your home in the current market. Owning can involve extra costs -- but compared to renting, it's better to own in order to build equity.
'Evernow' Looks at Other Factors Impacting Mental Health Post-Pandemic
It's hard to believe that 2020 will soon be something we went through two years ago. Although we are making progress as a society, it's clear that looming mental health problems continue to be reported for people nationwide. A new study by the telehealth company Evernow, found that women are largely being impacted by the tolls of the pandemic. Dr. Alicia Jackson, CEO and founder of Evernow joins us to discuss those factors.
Next Week on the Street: August 16 to August 20
In stories sure to move markets next week, Robinhood and several retail giants report earnings, Jerome Powell takes the podium, New York City's mask mandate goes into effect, and Tesla hosts its 'AI Day.'
Load More