Chapter 1059 The Beginning of Turbulence
Compared with live-action movies, the profitability of animated feature films is more amazing, especially "Cars".
The animated feature film was removed from North American theaters in mid-September, and the North American box office ended up at a figure of $285.97 million.
But as of the time of the film's downgrade and before the launch of DVD, the total offline revenue of "Car Mobilization" has reached nearly US$500 million.
In the global market, there is still a huge gap in revenues between online and offline.
"Car Mobilization", which is currently being screened overseas, has a global cumulative box office of US$489.52 million, while its total offline revenue exceeds US$1 billion.
"Car Mobilization" has also become the most profitable film project in 2007.
If nothing unexpected happens, there will be no surpassing movies in the future this year.
Of course, to have such box office revenue, Relativity Entertainment has also invested heavily in "Car Mobilization".
In contrast, the investment in publicity and distribution of "Rat King" and "Robot Walli" released by Pixar Studios on holiday is much lower than that of the publication and distribution of Theory Entertainment.
Especially the latter, the relatively cool plot content and lack of roles in the design of derivatives that have become the hot spots in the market, excessive investment is undoubtedly a very stupid behavior.
In the film market, classics are often unable to equate with commercial returns.
To be honest, Ronan likes the movie "Robot Wali". If he chooses based on his personal wishes, he would rather watch "Robot Wali" ten times than watch "Car Mobilization" more.
From the perspective of movie fans, if "Robot Wall" is worth 9 points, "Car Mobilization" is at most 7 points.
The problem is that such large-scale commercial projects with hundreds of millions of dollars cannot be selected by personal hobbies.
If it weren't for taking over Pixar Studios, "Robot Walli" had already been established and had invested considerable funds; if it wasn't for taking care of the management of Pixar Studios...
Ronan might directly cancel the project "Robot Walli".
Fortunately, he focused on controlling the scale of investment and there will be no sequel to this film.
Shahai Entertainment Animation Studio, led by Chris Renard, has developed smoothly. With the success of the "Miniel" series and "Kung Fu Panda", the scale of the animation studio has also expanded in an orderly manner. Now it has the ability to produce three or even four animated feature films at the same time.
"Despicable Me 2", "Crazy Primitive Man" and "How to Tame Your Dragon" are animated feature film projects officially produced by Shahai Entertainment Animation Studio. "Kung Fu Panda 2" and "Miniel 2" are also starting their preliminary work.
In addition, an animated feature film project about singing talent shows and a pet world inspired by Toy Story's toy world are also underway.
As for "Peppa Pig", one is never late every year, and the pink piglet will never grow up.
Compared with the mature Pixar Studios and Shahai Entertainment Animation Studios, Princess Animation Studios has developed much slower, and is still suffering from the first animated feature film.
In mid-September, Ronan participated in a joint meeting between Princess Animation Studio and the publisher Embassy Film Company, focusing on the production and distribution of the animated feature "Frozen", which is being produced.
Princess Animation Studio took out a sample, as well as multiple looks of the two heroines, Anna and Elsa.
Ronan rejected several styles, because the style was not beautiful enough, especially the skirt.
In addition, he also asked the Embassy Film Company to do a targeted job of distribution of the films, and mentioned "Frozen" to the same level as "Alice in Wonderland" and "Beauty and the Beast".
After receiving strong support from Pixar Studio, Princess Studio's production speed on "Frozen" was very fast, and the theme framework of the film has been built, but the remaining work like rendering is extremely time-consuming.
Through previous animation short films, these professionals from Disney Animation Studios basically reversed their minds and made the most complete transformation while producing "Frozen" - the princess not only did not be with the prince, but the prince may also be a bad person.
This setting is quite critical, involving the promotion and distribution of Embassy Films.
The setting of "Frozen" caters to a certain extent to the current American female equality movement, giving a simple fairy tale a seemingly serious core.
To a certain extent, this is very likely to open up the adult women's market for relativity entertainment and directly expand the consumer group of IP.
In fact, Elsa is not like a princess from the old era, with a distinctly calm, brave, and alone beautiful modern feminine style.
All of these have invisibly got rid of the label of "Frozen" series as a child, and naturally they have more purchasing power and derivative possibilities.
Currently, this is the only project for Princess Animation Studio. Ronan is already doing some writing preparations for "Zootopia", "Princess Princess of the Sea", as well as "Six Heroes", that is, "Super Marines".
This will not be put on the planning schedule until "Frozen" is completed.
In the next few years, the animation feature films alone will usher in an explosion period. Although we cannot expect every animated feature film to be "Cars Mobilization", the total value of these projects can at least reach the level of tens of billions of dollars.
A huge entertainment media empire is thriving.
In September, the movies of Relativity Entertainment were launched according to the plan. Today's movies produced by Shahai Entertainment are mainly sequels and adaptations, and the proportion of original genres has always been very low.
This time is no exception. It is not only a sequel, but also an adaptation of other popular films.
"Death is gone" similar to the "Shocking Scream" series, which has come to the second part. With "Death is here" as the guarantee and basis, this spoof series still has no shortage of market. The second part, North America earned nearly $25 million in the first week. Compared with the production investment of similar scale, it has been considered a very successful commercial return.
As time goes by, the trend of Hollywood's impending turmoil has become increasingly obvious.
The first is that companies that have close business dealings with financial institutions such as Lehman Brothers have begun to become more difficult in raising funds through Lehman Brothers and others.
For example, several Hollywood companies such as Twentieth Century Fox.
As early as a few years ago, Lehman Brothers had cooperated with Hollywood and once visited Relativity Entertainment, but Ronan politely rejected Lehman Brothers' seemingly sincere and kind-hearted investment.
On the one hand, Relativity Entertainment was busy dealing with Paramount Pictures' aggressiveness and operating Netflix online listing with Goldman Sachs Group, so it didn't have the time and energy to get involved with Lehman Brothers.
On the other hand, Ronan remembered that the Lehman Brothers had a bad end, so he naturally would not plunge into this quagmire.
However, Lehman Brothers also adopted the strategy of casting a wide net at that time. While contacting Relativity Entertainment, they also discussed cooperation with some companies including Twentieth Century Fox.
Lehman Brothers first provided 20th Century Fox with a loan to establish Fox Online, with a quota of up to one billion US dollars.
With the beginning of success, Twentieth Century Fox later cooperated with Lehman Brothers to provide huge financial support for Twentieth Century Fox. Not only did it become a creditor of many companies in Hollywood, including Twentieth Century Fox, like many large financial institutions, but it also gradually changed its identity and became a real investor.
Hollywood has long had various cooperations with Wall Street, and Wall Street's funds have also entered Hollywood through various channels.
Just like Walt Disney at the time, many investment institutions on Wall Street also hold the shares of 20th Century Fox. Among them, Lehman Brothers has the largest number of shares on Wall Street because of its close cooperation with 20th Century Fox.
In addition, with the general operating method of Wall Street, loans released can not only be profitable through interest.
Like one of the many inducing factors of the upcoming brokerage crisis, Wall Street can play with loans and bonds.
Lehman Brothers encountered some financial troubles, and it was more troublesome to withdraw loans, and it took time. Some companies could not afford to pay off their loans for the time being, and they had to go through the path of auction cash, which was time-consuming and labor-intensive.
Inspired by real estate loan bonds and insurance launched by the financial industry, they plan to package their own loan claims into bonds and sell them to third parties to raise the huge cash flow necessary.
Of course, close partners like Twentieth Century Fox are placed at the end of the plan.
Through multiple channels, Relativity Entertainment has also received relevant news, and Robert Iger has also maintained close attention.
In the past, Wall Street funds changed Hollywood.
Today, the changes in Wall Street are also profoundly affecting Hollywood.
As it seems normal, if there is an unexpected outbreak in Wall Street, Hollywood will inevitably change accordingly.
In addition to the impact of finance, another turbulent trend in Hollywood is the initial negotiations between the producers' league and the industry's union organizations led by the director's union, the actors' union and the screenwriter's union, which ended in a breakdown.
The trade union organization put forward conditions that the producers' alliance could not accept at all, and generally required to share nearly half of the proceeds from channels such as DVDs and online new media.
For investors, this condition is simply crazy.
Even Ronan, who was preparing to make appropriate concessions at the right time, didn't know what to say when he received this news.
The news that the initial negotiations between the Producers Alliance and the three major trade unions were immediately disclosed by the media, and the conflict between labor and capital was made public.
The three major trade unions hugged each other tightly, and their respective chairman claimed in an interview that if the rights and interests cannot be protected, the possibility of strikes will not be ruled out.
This is putting pressure on the producers league.
The conflict between labor and capital seems to be on the rise.
It is in this context that the producers alliance convenes a meeting of core members to discuss specific strategies.
Chapter completed!