Tuesday, August 6, 2013

Speculations on the Hollywood Implosion

Kickstarter, Indie Go-Go, I-Tunes, Netflix, Hulu, Google, Roku, Piracy, VOD, You Tube, Mobile Phones, Tablets

This is a list of factors Hollywood executives use to blame for the collapse of traditional economic systems in producer-run studios. Since the spring of 2012, we have reported on inventive ways young filmmakers (and old) have been using the power of the democratic internet to fund, produce, distribute, and market their projects. Our coverage has noticed a trend of critically respected filmmakers voicing their opinions on the issue. In general, directors are disappointed in the investments of Hollywood studios. The year 2015 will see 29 $100 + financed films as sequels and remakes. Predictions assume if a handful of these films do not earn back their budget, a major Hollywood studio will financially collapse. In reality, the US government will NOT label this business as "too big to fail".

Auteurs and independent artists agree the current system of film finance is an unfortunate result of the economy and expansion of inexpensive distribution outlets. Producers are regurgitating a formula, created by the Star Wars franchise, to bet on big audiences during the summer months. In my opinion, film producers and executives are not being attentive to content distribution and audience participation. Why did we see big budget movies in the summer? Because school is out, our favorite TV stations are recycling reruns. There was nothing else to see. Remember fifteen years ago when there was that one big film that everyone had to see that summer? Now there are 13 big films. Soon to be 29. Our pockets are not that big to accommodate so much expensive content. Our viewing habits are changing. The finance model of studios are not adjusting. 

Cracked.com has published an opinion editorial that lists the major consequences of this speculation and how it will happen. Please click on the link below and read the article. From my observations, I don't think this satirical article is far from the truth. We'll keep covering this issue as it develops on our laptops and desktops. 

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