When MoviePass started, it cost around $50/month to see a movie in theaters every day. Now, the service has been whittled down to a staggering $6.95/month for new subscribers (plus an annual $6.55 service fee). Considering the average movie ticket in the United States is valued at around $9 (and much, much higher in cities like New York), this is a pretty bonkers deal.
Though MoviePass pays each theater the full price of the ticket that it subsidizes for the pass holder, the company has not yet revealed its financial standings. Many speculate it's operating at a substantial loss. A few weeks ago, CEO Mike Lowe faced backlash for an interview where he expanded on the company's business model of selling users data, telling CBS "we watch how you drive from home to the movies. We watch where you go afterwards....We know all about you."