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Hollywood's Digital Dilemma
Source: THR
The times they are a-changin'. It's no secret that video-on-demand and online streaming video sites are the new big thing. Maybe it's due to skyrocketing ticket prices (thanks again 3D!), maybe it's just because we humans tend to be almost magpie-ish about new technology, snapping it up like crack fiends when something new comes out (*coughApplecough*). Maybe it's because people prefer to watch films in the comfort of their own home, on their own time, without having to cram into a fold-down seat next to a hideous-smelling fat guy and eat their stale $14 popcorn while a frayed single mother yells at her wailing human worm spawn throughout the entire film. Whatever the reasons for it's growth and sustained popularity, streaming video is going to stick around for the forseeable future, and it's causing a bit of a rift among Hollywood studios and celebrities.
In a recent announcement, Lionsgate CEO John Feltheimer has decided to embrace the new trend: "We view Google, Netflix, iTunes, Amazon and other new digital media players as partners, not adversaries”. Citing increased growth in Asia, Latin America, and Europe, as well as increasing demands for VOD and digital content delivery, Lionsgate films has signed a deal with Netflix to distribute their hit AMC series 'Mad Men' through the service, paving the way for future releases through the company or through other companies in foreign markets.
In another massive move, Miramax just unveiled a joint venture with online streaming site Hulu to showcase films from their vast library of titles, such as 'Pulp Fiction', 'Trainspotting', and 'The English Patient'. The deal will bring hundreds of classic films to Hulu's premium service (Hulu Plus), as well as rotate up to 15 of their titles a month through Hulu's ad-supported free site. CEO Mike Lang also recently spearheaded a similar deal with Netflix saying, "From day one, we’ve been very clear about the importance of digital and our desire to respond to the significant pent-up demand for our films - delivering to consumers whenever and wherever they want".
However, the new move towards digital content seems to be rubbing a lot of people the wrong way. While few would argue that allowing old films to be immediately available via digital streaming is a bad idea, the current trend may be extending out into actual theatrical releases, which has upset a large population of creative professionals. Christopher Nolan ('Inception') and Jon Favreau ('Iron Man') are the latest directors to openly oppose a new DirectTV VOD service that would allow people to download and view brand new movies only two months after their theatrical release for only $29.95. Joining forces with other Hollywood directors like James Cameron and Quentin Tarantino, they are arguing that shortening the theatrical lifespan of a film can be detrimental to the "moviegoing experience". Even theater chains are getting in on the argument - Regal Entertainment and AMC Entertainment have struck back by cutting down the number of trailers from companies who support DirectTV's new service including Disney, Fox, Universal, and Warner Bros.
It's not an argument that will be won, or even partially settled any time soon. As long as there's money to be made and a demographic to be taken advantage of, studios will continue to pursue new forms of revenue and promotion for their films. Likewise, Hollywood professionals and theater chains will not willingly choose to cannibalize their theatrical runs to chase a new digital market. Weigh in, Spillios! Would you rather see companies move away from theatrical releases towards a strictly digital market? Do you like the way things are now, where a movie is released in theaters, and then is released on Blu-ray at the same time as it's available on demand? Would you like it to be released earlier on one form of media or the other? Let us know!
Comment
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Comment by Michael T Mosley JR on June 5, 2011 at 7:23pm -
Theaters are to much of a hassle most of the time. I only go when there's a movie I really want to see.
I love NETFLIX, I understand where these guys are coming from but face it, people are sick of spending more than $10 to see a movie that might suck.
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Comment by Richard Dempsey on June 5, 2011 at 12:21pm -
As George Carlin would say
"Where's Joe Pesci? We need him to save us!"
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Comment by Zanjarath on June 3, 2011 at 11:48am -
I think that the streaming and VOD would be good for forgein and indie films. I want to see trollhunters and Tucker and Dale vs Evil and many others. But they aren't getting picked up. I still love going to the theater and seeing some movies with crowds. but a lot of lesser known films could benefit with being online
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Comment by John Lemus on June 3, 2011 at 11:31am -
Digital Streaming and movies on Demand are the present and future. Not even T.V. can keep up with it. When Comcast raised the price of regular cable T.V. I dropped my script and just started seeing more shows online. I don't even watch T.V. anymore. Also at the rate DVD and Streaming versions of movies are coming out who needs to go to the Theater.
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Comment by toast3rov3n on June 2, 2011 at 9:17pm -
Cinema experience is a thing of the past. Unless it has a gimmick (Alamo) the chains will go the way of the dinosaur. I have a great set up at the house and would love to view first run movies without distractions (texting). Theater chains can push back but in the end you can't fight progress. Plus, (IMO) going out to the theater and paying top dollar to be annoyed, just isn't going to cut it anymore.
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Comment by Richard Watson on June 2, 2011 at 3:52pm -
One Idea I have that may bring people back to the cinemas is that;
All those Filmmakers who support the idea of going to the cinema to see their films should finace their own film release at certian venues chains and avoid releasing their films on home mediums. Sure it would cost money, but the films in thoery would be 1 stronger and more passionate and 2 it would bring back people to the cinema.
This idea is very simular to early Hollywood where Studios would own there own venues where they would only show the films they made. Also like early Hollywood, devices like the streaming downloads, or video didn't exsist which meant, people would visit the cinema more often if they wanted to see the film again
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Comment by lexloco on June 2, 2011 at 3:47pm -
Also to the people whose gist is 'how will filmmakers make money if their films aren't getting put in theaters', you've got to understand how these movies are getting to VOD. They're not getting pirated, they're being licensed from big distributors. These distributors are only licensing VOD these movies because they think they'll make lots of money through VOD. It would take time, and worst case scenario if VOD kills theaters as we know them, that's only because consumers like VOD better and distributors are keeping it going because they're making more money than they used to.
If distributors make a lot of money distributing movies, regardless of whether its by theater or VOD, they are happy and continue to purchase films to distribute. The money keeps on flowing, and without the distribution costs small films will only be more accessible. I don't think this can do anything but help filmmakers. The only way it hurts them is by crimping on their nostalgia, which is exactly what the article says: Nolan and co argue it's hurting the "moviegoing experience."
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Comment by Richard Watson on June 2, 2011 at 3:43pm
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Well VOD, Hulu, DVD rips, or bluray/dvd release, all lack the quality (picture and audio) the cinema provides. Unless the formers quality meets on par or better than cinema, I will make the switch, but until then, cinema all the way.
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Comment by Happy Birthday Roboto on June 2, 2011 at 3:36pm -
@Cthulhu
Sorry mate, I should have been a little more clear, the cinemas here in England are great, clean, affordable and the people behave themselves, even british kids aren't really a problem, I was sitting next to two teenagers yesterday during X-Men, on the way out they held the doors open for me politely. What I meant was, I hear non-stop complaining about the cinemas in America. They need to start warning people to shut up during the film, if they don't they need to eject them from the premises, they need to provide better fresher food at more reasonable prices, charge one price for the ticket regardless of whether or not it's in 3D and sell you glasses seperately that can be reused and of course, physically clean up the cinemas. That's basically what British cinemas are. Once they do that they'll be the cleaner, slicker and reasonably priced option no matter how cheap digital streaming gets!
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Comment by BattleAngelAlchemist on June 2, 2011 at 3:15pm -
That's an idea. I would go for the strike if there's one around my neighborhood
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