MoviePass, the beleaguered movie ticket subscription service, has suspended its service for a few weeks, saying it needs time to revamp its app, Variety reported. New subscribers will be unable to join MoviePass while the service is paused, and existing subscribers won’t be charged, which suggests the shutdown is costing MoviePass significantly. In a statement, CEO Mitch Lowe suggested that the company, owned by data analytics firm Helios and Matheson Analytics, will try to raise more funding, saying that MoviePass would use this time to “recapitalize.”
MoviePass’s problems have been well chronicled. It has seen its subscriber numbers drop to a few hundred thousand from the millions in the past year, after mounting losses forced it to limit the number of movies subscribers could see a month. A similar service, Sinemia, abruptly shut down this April. Movie theater chains, in contrast, have been more successful at subscription plans: AMC’s Stubs A-List has garnered more than 800,000 members within a year of its launch, while chains like Regal and Alamo Drafthouse are planning their own services.