CHICAS PRODUCTIONS: Distribution

Venezuela has the largest proven oil reserves in the world. It was once so rich that Concorde used to fly from Caracas to Paris. But in the last three years its economy has collapsed. Hunger has gripped the nation for years. Now, it’s killing people and animals that are dying of starvation. The Venezuelan government knows, but won’t admit it!!! Four in five Venezuelans live in poverty. People queue for hours to buy food. Much of the time they go without. People are also dying from a lack of medicines. Inflation is at 82,766% and there are warnings it could exceed one million per cent by the end of this year. Venezuelans are trying to get out. The UN says 2.3 million people have fled the country - 7% of the population.

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Sunday, November 17, 2013

AFM: Hype, Hope and Business as Usual with China as Part of the New Normal...

Deals steady, rather than spectacular. Money flowing into co-prods and property too
AFM Adjusts to Life After Focus Features Int'lThe Great Wall of Chinese money has not exactly washed away the American Film Market this week. Rather, it has seeped into every conversation and every deal permutation.

Chinese companies are attending the AFM in record numbers, according to market organizers. Certainly every restaurant and every Loews elevator seems to be 50% occupied by mainland Chinese.
But instead of making a quick grab for any title that moved, the Chinese are becoming more discerning and more multi-faceted.

"Everyone is here, that's certainly true. A lot of top producers have been in town with all the U.S.-China events this week, but so far the buying action has been nothing unusual," said Leslie Chen, IM Global China executive.

Trade may pick up by Monday, when more deals are expected to close. The deal of reference for several players may be the expected sale of Lionsgate's Johnny Depp project "Mortdecai."

Not only is Depp a big draw for Chinese audiences, Lionsgate has strong China connections and has the option to co-distribute in China if it does not get the price and terms it seeks. However, Lionsgate sources say they expect to complete a "Mortdecai" sales deal by the end of the market.

"Chinese buyers are now talking more about the quality of the project than the number of distribution slots," said Gary Hamilton, CEO of production-sales group Arclight Films. "It is really important to them that this is a global project, rather than something niche. The first three questions they ask are: `Who is in it?' `Who is distributing in the States' and `What's the budget?'"

David U. Lee of independent Chinese distributor Leeding Media says that the boost to the market that some sellers anticipated from last year's change to the import quotas — from 20 to 34 — has now peaked.

"The last market was overhyped. Prices are now flat or up only slightly, the big acceleration may be over," said Lee. "Actually the increase in quotas has made our (independently sourced) films less competitive. That's because we now have 14 more studio-level pictures per year coming into the country against us."

A slowdown or reality check may be a welcome change as the Chinese distribution scene is still very far from being a free market — there's the quota restrictions on the number of revenue-sharing films that can be imported, censorship that is liberalizing only slowly and direct government intervention in the releasing calendar designed to favor local films.

Still, the Chinese theatrical market has become simply too big to ignore. By the end of September, box office had equalled last year's 12-month total of $2.7 billion, putting it on course for a full year total worth $3.2 billion.

"In one significant way things are changing. Many of the Chinese firms here at AFM seem as interested in co-production as they do in outright acquisition," said Ying Ye, Hamilton's partner in Arclight's specialty Asian label, Easternlight. "We have licensed our John Cusack movie `Reclaim' but we will do `Priority Run' as a co-production. It is in pre-production with Donnie Yen set and a U.S. actor yet to be cast."

The Chinese partner is likely to have a say in who gets cast. Arclight/Easternlight already have Nicolas Cage actioner "Outcast" and thriller "The Nest 3D," which is in development, structured as Chinese co-ventures.

Still other insiders point out that filmmaking and buying is only part of the reason the Chinese are in L.A. "It's the money business, not the movie business," says one. "Many Chinese still have strong reasons to want to get money offshore and out of China."
Michael J. Werner, chairman of Fortissimo Films, said, "What are the Chinese buying? Properties in Beverly Hills."

After the show-stopping announcements by Chinese property and film group Wanda — last year it paid $2.3 billion for North American theater chain AMC, and in September this year called up a dozen Hollywood A-listers to celebrate its new studio facility-cum-yacht brokerage — China has become a more frequent port of call for U.S. movie companies.

"Actually we don't expect much buying here at AFM, all the big sales companies now will travel to China and speak directly to the distributors," said another source.

That's true of Lionsgate, Arclight and IM Global, which now all have China offices. They will be joined by Universal Pictures, which this week also announced it would set up permanently in Beijing.

Thank you Variety

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Australian Screen Industries Must Get More Engaged in Asia, Study...

A report commissioned by the country's film and TV agency says growth hinges on greater collaboration in Asia, and industry exports to the region should be doubled within five years.

The future growth of Australia's screen industries hinges on greater engagement with the booming markets of Asia.

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That's the takeaway of an industry-wide report commissioned by the country's film and TV agency, Screen Australia, and produced in partnership with PricewaterhouseCoopers.
STORY: Angelina Jolie Arrives in Australia to Shoot 'Unbroken'
"Now is the time for the Australian screen industries to strengthen ties, formalize co-production arrangements and develop sound knowledge of working with our partners in Asia," said Screen Australia CEO Ruth Harley.
The research report, "Common Ground: Opportunities for Australian Screen Partnerships in Asia," is based on a survey of 51 Australian production companies that have taken part in projects involving Asian partners over the past five years, along with interviews with 31 Australian producers, agencies and screen organizations, and 27 Asian producers and agencies.
"An overwhelming theme that emerged in the research was the importance of genuine collaboration that will underpin all success," said Harley.
"The good news is that our counterparts across Asia consider Australians to be good at collaborating," she added.
The study estimates the value of Australia's audio-visual exports to Asian at about $50 million for each of the past three years – roughly 25-35 percent of Australia's total audio-visual exports abroad for each of those years. It targeted doubling the Asia export figure within the next five years.
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The report identifies China, South Korea, Malaysia and Singapore as offering the most significant opportunity to Australian screen producers, and says India, Indonesia, Japan and Thailand also hold potential.
To facilitate closer ties, the researchers suggest the creation of an Australia-hosted market event, where Asian and Australian producers and broadcasters can meet, do business and showcase their capacities.
Closer government-led collaboration with Australia's regional neighbors is also advocated. Australia has co-production treaties or accords with 11 countries globally, but just two in Asia: China for film and TV movies, and Singapore for feature film and television. The lack of a co-production treaty with Japan, the world's third-largest movie market, is seen as an ongoing obstacle to greater collaboration with the Japanese screen industry.
Next month Screen Australia will lead a delegation of 25 Australian producers and commissioning editors to the Beijing and Sichuan TV Festival, where they will meet with Chinese Government agencies, broadcasters and producers at networking events and business matching sessions.

Thank you Hollywood Reporter

Malaysian Police Crack Down on Movie Piracy Site...

A 27-year-old man behind a popular local file-sharing service was arrested for hosting downloads of "Sky Fall," "Life of Pi," "Jack Reacher," "Argo" and more.

Officers from the cyber crime unit of the Royal Malaysian Police arrested a 27-year-old man on Wednesday for hosting links to illegal downloads on the popular local message board and file-sharing site, SYOK.org.
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According to the police, the suspect, who is from the city of Kulim, is believed to be the operator of SYOK.org, which counts registered users in the hundreds of thousands (according to the website's own Facebook page). In order to participate on the forum, users must register a username and password.
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Among the downloads the suspect allegedly hosted are recent high-profile Hollywood titles including, Sky Fall, Life of Pi, Jack Reacher, Argo, and more – some of which are still on release in the region.
"This successful action puts other websites on due notice that the authorities will take every measure to investigate and prosecute those involved with the illegal uploading and sharing of films and television shows," said Norman Abdul Halim, honorary secretary of the Malaysian Film Producers' Association, after the arrest. "I know that many colleagues throughout the screen community will be pleased with this outcome, as it represents an important step to further protecting their creative work from being shared online without their permission."
If convicted, the suspect faces fines of $650 to $6,500 for each illegal copy he uploaded, or imprisonment for a term not exceeding five years -- or both.
In May 2012, Malaysia was removed from the U.S. government's "priority" watch list of countries committing egregious violations of intellectual property rights. Mayalsia is now on the government's so-called "lower level" watch list, which comprises country's that could be included among those considered to have a clean record, should they make further efforts in preventing copyright violations and intellectual property theft.
STORY: Hollywood Targeted by Chinese Hackers
"Rogue websites present a major threat to the ability of filmmakers to conduct a sustainable film business, employ people in production, distribution and exhibition, and deliver quality films and television shows to audiences," said Mike Ellis, president of the Motion Picture Association in Asia-Pacific. "This action by the Royal Malaysian Police sends a clear message to operators of such websites and we look forward to working with them to crackdown on more such cases."
The Malaysia arrest comes after a similar crackdown in Japan on Sunday, where officers from the Saitama Prefecture police department's cyber crime division arrested a 45-year-old man in Tokyo for uploading copyrighted movies to video hosting website FC2 Video.
FC2 Video ranks behind just Yahoo Japan and Google in the rankings of Japan's most popular websites, according to Alexa, an Internet analytics company that provides commercial web traffic data (Alexa calculates popularity by combining the number of unique daily visitors with page views over the preceding three months). FC2 Video is also the 37th most popular website in the world, by Alexa's rankings.

GUEST COLUMN: Warning to Hollywood: Chinese Hackers Want Your Secrets
According to Tokyo police, the suspect uploaded several feature-length movies, including The Girl with the Dragon Tattoo and The Descendants. Police say he has admitted to the charges and faces up to 10 years in prison or a fine of up to $109,000 (10 million yen) under Japan's Copyright Act.

Thank you Hollywood Reporter

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Five Studios Sign on for Satellite Movie Delivery...

DCDC's digital cinema distribution platform could begin rollout by midsummer.

Digital Cinema Distribution Coalition has reached agreements with Lionsgate, Universal, Disney, Warner Bros. and Paramount Pictures to provide each with theatrical digital-delivery services across North America.

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DCDC -- formed by AMC Theatres, Regal Entertainment Group, Cinemark Theatres, Universal Pictures and Warner Bros. -- has created a satellite and terrestrial digital-distribution network capable of delivering feature, promotional, preshow and live digital-cinema content to theaters.
The studio agreements mark another step toward realizing the promise of digital cinema, including the belief that when d-cinema reached critical mass it could significantly reduce the cost of distribution, which at the start of the transition involved shipping film prints and today often has involved shipping hard drives.

"Our goal is to drive the cost of distribution as low as we can get it," DCDC spokesman Randolph Blotky tells The Hollywood Reporter. "We'd like to drive it to zero over the course of time."
Blotky expects the DCDC service to begin operation "when we have about 300 sites deployed, which should be midsummer." This involves installations of a theater appliance from supplier KenCast. Deluxe/EchoStar will provide satellite operations. Said Cinemark president and CEO Tim Warner, "It's one-port access to thousands of screens, for both movies and alternative content, from all content providers."

Said Darcy Antonellis, president of technical operations and CTO at Warner Bros. Entertainment, "The vision of creating a cross-industry distribution service to benefit distributors, exhibitors, service providers and consumers is becoming a reality,"

Added Dan Fellman, president of domestic distribution at Warners: "The service ensures that audiences have the most high-quality entertainment experience while exhibitors and content providers achieve a strategic, secure and cost-effective new business model."

The majority of the domestic theatrical market is now digital. Some insiders predict that this could be the last year that film prints are distributed to North American theaters.'

Thank you Hollywood Reporter

Mobile TV searches for breakthrough...

Enticing devices and services can't shake lingering concerns
By CHRIS MORRIS

The history of mobile television has been rocky at best. While the allure of streaming live network programming to viewers over their handheld devices is undeniable, delivering that content in ways that don't abrogate rights agreements and can somehow be monetized has proven mercurial. Loudly trumpeted efforts have fallen short, victims of poor design decisions, overpriced services and/or confusion about the target audience.

While the idea of watching television on a 3.5" screen might not make sense to anyone in their mid-30s or older, mobile TV is a logical extension of how Generation Me has grown up with entertainment. It's also a way for broadcasters to reclaim some of the younger viewers who increasingly spend free time multitasking with their handheld devices and may be staying away from TV sets entirely.

The backers of mobile TV are, if nothing else, persistent. They're also diverse, ranging from media mogul Barry Diller and Cox Television to the Scripps Television Station Group and PBS. At this year's Consumer Electronics Show, the topic of mobile TV might not have been front and center, but it was certainly being buzzed about among attendees. Now, recent advances in the field have some wondering if it is finally ready to come of age -- and just as important, if it will clear the legal obstacles it's bound to face.

The initiative got a big push recently with the commercial launch of Mobile TV, a Web and mobile service that lets viewers watch live programming from ABC, CBS and NBC, as well as 25 cable channels including CNN, ESPN, MTV, USA and AMC.

Currently live in 50 markets, Mobile TV offers some 130 stations to viewers, depending on their location. The free service is available on many Android smartphones and tablets, but notably does not work on iOS devices such as the iPhone. (The programs are livestreamed via a Website, which uses a Flash media player -- something Apple products do not support. The site asks the viewer's zip code, so as to provide local network channels.)

Competing service Dyle mobile TV has a slightly smaller offering (90 stations in 35 markets), but is run by a partnership that includes Fox, NBC, Cox Media Group, E.W. Scripps Co., Gannett Broadcasting and Hearst Television. The free service is built into the Samsung Galaxy S Lightray. However, TV antenna attachments for iOS devices are expected to go on sale this fall, which will make the service available to iPhone and iPad users. Pricing for those attachments has not yet been announced, but it not expected to exceed $150.

Dyle's service runs on a separate broadcast network spectrum, so it doesn't take a bite out of cellular data allowances. Many of the other new services are following this pattern as well to bypass data caps.

"New opportunities to extend video watching beyond the living room … point out the unique benefits for broadcast spectrum, and resolve challenges in our wireless 'data-cap' world," read a statement from Salil Dalvi and Erik Moreno, co-general managers of Mobile Content Venture.

The idea might be consumer-friendly, but not every mobile TV company is being embraced so warmly. Aereo, which broadcasts exclusively in New York City and is backed by Diller, has been tied up in legal fights since it was first announced, with the networks arguing that the newbie had failed to acquire licenses to deliver their broadcasts over the air. They're particularly upset with Aereo's option to save or record programs for later viewing.

The service charges users $80 per year -- or up to $12 per month for usage and access to the DVR functionality. Technologically, the company has taken a different path than its competitors: Several large antenna arrays are set up in Brooklyn, each filled with thousands of mini-TV antennas (which fit on the tip of your finger). Each of those arrays can receive local over-the-air TV broadcasts. Each Aereo user is assigned his or her own individual mini-antenna.

In July, Aereo scored a key victory when a federal judge refused to block the service at the request of NBC, ABC, CBS, PBS, Fox and other content providers. The decision is being appealed.

Cable and satellite companies are still largely opposed to mobile TV broadcasts, as they circumvent traditional outlets among a growing segment of the population. These traditional distributors -- mostly cable and satellite companies -- remain largely opposed to mobile TV broadcasts, which they feel can carve away a growing, younger, segment of the population.

"Anyone under 30 gets (the idea of mobile TV) immediately," says P.J. McNealy, CEO and founder of Digital World Research. "They're used to consumer content on smaller screens. They discover content -- like music, movies and TV shows -- via YouTube. They're very familiar with the (miniscreen) experience."

The under-30s are the audience being chased by the Mobile500 Alliance, a consortium of station owners who believe in the mobile television vision.

"We are keenly focused on delivering broadcast television to mobile devices so consumers have television when they want it, and where they want it," says Colleen Brown, who chairs the Mobile500 Alliance board of directors, and is also president and CEO of Fisher Communications.

Mobile TV faces challenges beyond the networks and wooing an audience, though. There are several technological hurdles in its way as well.

Bandwidth, an early challenge, is one that's quickly being overcome, thanks to the rapid spread of LTE/4G networks. But smartphones and tablets must also be upgraded, with faster processors, among other things, before mobile TV becomes commonplace. Memory capacity isn't a big concern, since the industry is a long way from DVRing shows on mobile devices, and cloud-based storage is the likely route for that anyway. But streaming media quickly devours the life of batteries that run today's mobile devices.

While the future might seem promising for mobile TV, it's important to note the industry has seemingly been on the cusp before. Qualcomm launched FLO TV in 2009, with big plans that included a mobile personal viewing device as well as a presence in cars -- all this with the support of CBS, NBC, ESPN and CNN, among others.

Consumers weren't interested in a $250 dedicated viewing device, though, especially one that came with a $9 monthly fee (and a three-year contract). A year later, Qualcomm pulled the plug on the system.

"It's a fit and start because consumers want entertainment. They (also) want sports and they want local," McNealy says. "The infrastructure for delivering all that technically is already out there, but we're not (yet) at a point where people are streaming (onto) their iPhones."

Thank you Los Angeles Times

Abu Dhabi: Sales Agents To Become Global Distributors...

International sales banners will reinvent themselves as video-on-demand global distributors, Abu Dhabi festival goers are told.

Abu Dhabi – Movie industry attendees at this year's Abu Dhabi Film Festival heard that producers and sales agents will work much more closely together as the internet revolutionises the movie business.

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And representatives from the two business strands of the international film business will also share revenues as a result.

Production Finance Market chief Angus Finney told Abu Dhabi Film Festival goers that the internet will play a part in the evolution of the two businesses.

Right now, sales agents charge a fee for each territory sold then often walk away. In the future sales agents and filmmakers will work together throughout a film's lifespan, "especially with video-on-demand," Finney said.

Speaking at a masterclass, Finney said: "Sales agents will be aligned with producers ... the market is changing so fast that sales agents could take control of all rights. The right sales agent will become increasingly able to control internet release."

The internet has destroyed Hollywood's "push economy" -- studios dictating when and where customers can see films – in favour of a "pull economy."

Catch-up TV and on-demand streaming have put the customer in the driving seat, something which Hollywood has been slow to accept, Finney noted.

Studios have not helped themselves by erecting "walled-gardens around their content, making movies harder to access."

Such a move, Finney said, goes against the grain of the internet.
"They are also terrified about plummeting DVD revenue, which has accounted for 60% of a movie's earnings. The user is the new king," Finney said.

The British born film consultant, author and one time film financier, quoted Amazon founder Jeff Bezos, who said the question is not what is going to change in the next 10 years, but what's going to be left standing by the end of the decade?

Disney, he noted, has reacted to the new horizontal world we all live by getting rid of its silo mentality, tearing down walls between theatrical and home entertainment.

But Finney remains upbeat about prospects for theatrical. Exhibition will become even more important, he claimed.

"Watching films in a cinema is a unique experience that will not be completely replaced by watching films on cellphones or tablets," Finney said.

This is despite the growing importance of handheld devices, which, Finney said previously, will take over as the dominant screen "within months, not years". He said: "Exhibition rights will continue to be sold territory-by-territory, while internet rights could be sold as a single block."

Finney was sceptical about independent producers handling the release of their own films pouring cold water on evangelists for self-distribution, pointing out how hard the sales business is.

Finney was managing director of sales agent Renaissance Films, which went bust in 2005. Movies that Finney handled sales on included The Mother and The Luzhin Defence.

"As a producer you may think you're in control of your film's release, but you have to deal with the same battle for eyeballs which everybody else is dealing with. Distribution is a full-time job," Finney said.

This year's Production Finance Market runs October 17 and18 during the BFI London Film Festival in the British capital.

Thank you Hollywood Reporter.

YouTube Mulls Allowing Original Content Partners to Charge for Subscriptions...

Robert Kyncl, global head of content at the Google-owned video site, tells the Abu Dhabi Media Summit that a majority of channels would likely remain ad-supported.

ABU DHABI - YouTube is looking at giving its original content channel partners the option to charge users for subscriptions, Robert Kyncl, global head of content at the Google-owned online video site said here Wednesday at the Abu Dhabi Media Summit.

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If the site does go ahead with this approach, "the majority will be ad-supported, and there will be some that will be paid," he predicted.
He later told THR that there are no set plans though and that it was too early to say when such subscriptions could be offered or at what prices.
Industry observers have previously wondered if and when YouTube could offer the subscription option as a potential revenue stream besides advertising.
Kyncl said YouTube's goal for now continues to be "taking the friction out" of the ad process to maximize ad revenue for the site and its partners. Promising advertisers that they only pay when ads are actually viewed draws higher ad rates and benefits all sides, he said.
YouTube typically sells ads against the channels and keeps all revenue up until it recoups its original investment. After that, YouTube and the content partner split ad revenue roughly 50:50.
Kyncl also said that when offering content in a branded and popular context, it draws higher ad rates. For example, he said videos of dogs on skateboards may draw minimal costs per thousand advertisers of $2 or less, but that goes up to $20 when the dogs on skateboard appear on a branded Tony Hawk channel.
Earlier this week, YouTube added more than 60 new original content channels to its lineup, including some from international content partners. The news took the company's original programming push to a more global audience.
In a session entitled "The War for the Living Room: The Internet Takes on Television," Kyncl also predicted that mobile usage by YouTube users will continue to rise. About 50 percent of consumption in parts of the Arabic-speaking world already happens on mobiles, he said.
Asked about the increasing usage of mobile devices during TV viewing, known in the industry as the rise of the "second screen," he quipped that for him, television rather than iPads or smartphones are the second screen.

Thank you Hollywood Reporter

Cable prices not out of whack, a la carte won't work, analyst says...

If you want to save money, you might be better off getting rid of your dog before you cancel your pay-TV service, a prominent media analyst says.

In a report issued Friday, Sanford C. Bernstein analyst Todd Juenger takes a contrarian approach to all the talk about skyrocketing cable bills and the calls to let consumers pick the channels they want instead of having to pay for dozens they never look at.

With regard to cost, Juenger notes that while pay-TV prices are rising faster than inflation, the growth is slower than a lot of other products and services including pet food, public transportation, gas and even coffee.

Currently, the typical cable bill is $72 a month, compared to $55 in 2005. This is just for video services, not broadband or phone or other offerings from pay-TV distributors. That is a compound annual growth rate of about 4.7%. Juenger checked with the American Pet Product Manufacturing Assn., which said in 2005 the average cost of caring for a dog was $131 a month and has grown by 4.8% on a compound annual basis since then.

Juenger isn't really suggesting people should stark kicking their dogs to the curb to save a few bucks. After all, who will we pet while watching "Here Comes Honey Boo Boo"?

But he does note that even that 4.7% compound annual growth rate for pay TV can be challenged. TV viewership, Juenger said, has risen over the past five years, as have the number of channels and (arguably) quality of programming. "The real unit price of pay-TV has been growing even slower than 4.7%," Juenger said.

Despite that, there are still many who want to be able to choose their own channels in the hopes that this would keep prices low. It's a nice idea, but, as Juenger points out, one that wouldn't work. That's because the dozen channels one subscriber might want would not be the same that his neighbor would want. ESPN charges about $5 per-subscriber, per-month to be in every home. If ESPN were suddenly in one-third of those homes, that price would triple in order for ESPN to pay for all the sports it carries.

The same is true for entertainment channels. Nickelodeon goes for 55 cents per subscriber, but if it were suddenly in far fewer homes, the channel would have to raise its prices or say goodbye to "SpongeBob SquarePants" and "Dora the Explorer."

"The fact that the current bundled model is filled with cross-subsidies works both ways for every household," Juenger said. "On one hand they are forced to pay for channels they don't want. On the other hand, other people are helping subsidize channels they do want."

Juenger said he is not unsympathetic to those concerned about the rising cost of pay-TV but does feel that the industry has become an easy target for academics and consumer advocates.

"The proportionality has been overblown, at least to those of us who make a living studying the economics of the industry, because the focus of the discussion has been centered on the rising cost of sports rights and affiliate fees, as opposed to the rising price to consumers of pay TV," he concluded.

Thank you Los Angeles Times

FCC lets program access rules expire...

The Federal Communications Commission has decided not to extend its regulations requiring cable operators that own programming to make that content available to rival pay-TV distributors such as satellite broadcasters.

Known as the program access rules, the regulations were a key part of the 1992 Cable Act and credited with driving the growth of the satellite broadcasting industry. At that time, there was far more vertical integration between cable operators and programmers. Lawmakers were worried that cable operators that owned programming would refuse to sell that content to competitors.

However, now that DirecTV and Dish are viable competitors to cable, and phone companies such as Verizon and AT&T are also going head-to-head against cable providers, the commission decided to let the rules expire.

Also, fewer cable operators own content. Comcast, the nation's largest cable operator does own a lot of cable channels including USA Network and CNBC but it will continue to abide by the program access rules for the next several years as part of the government's approval of its merger with NBCUniversal.

If a non-cable pay-TV distributor believes it is being treated unfairly in trying to buy programming from a cable operator, it can file a complaint with the FCC, which will review it and decide whether any action needs to be taken.

The FCC's decision was not a surprise. The rules were initially meant to last only 10 years but were extended twice. In 2007, the U.S. Court of Appeals for the D.C. Circuit indicated that the rules had outlived their usefulness.
"We anticipate that cable's dominance in the MVPD [multichannel video program distributor] market will have diminished still more by the time the Commission next reviews the prohibition, and expect that at that time the Commission will weigh heavily Congress's intention that the exclusive contract prohibition will eventually sunset," the court said.

Still, DirecTV, Verizon and smaller cable operators fought to keep the rules intact. Google, which is launching its own programming service in the Midwest, also tried to make the case to the FCC that the rules were still important.

"While we prefer the proven, well-established rule to a case-by-case approach and merger conditions, we are hopeful the FCC is correct in concluding that its new regime will provide adequate safeguards," a DirecTV spokesman said. "If this approach is to be effective, the FCC must be vigilant in its oversight and be ready to act immediately should the cable industry re-engage in anti-competitive conduct."

FCC Chairman Julius Genachowski said the agency's decision will allow it to "continue preventing anti-competitive video distribution arrangements through a legally sustainable, expeditious, case-by-case review."

"The exclusivity ban served its purpose, but now the facts justifying its existence have changed in favor of consumers," FCC Commissioner Robert McDowell added. "Accordingly, this creaky relic must be shown the door."

Thank you Los Angeles Times

Netflix to Launch Streaming Service in Nordic Countries by Year's End...

Norway, Denmark, Sweden and Finland will follow the company's launch in Latin America in 2011 and the U.K. and Ireland earlier this year.

LONDON -- Netflix will launch its streaming video service in Norway, Denmark, Sweden and Finland before the end of the year.

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The company said it would offer streaming of TV shows and movies for one monthly price late in 2012. "Further details about the service, including pricing, content and supported devices, will be announced closer to launch," it said.

About the content the service will offer, Netflix also said it will be "a wide array of Hollywood, local and global TV shows and movies, many with high-definition video and Dolby Digital Plus surround sound."

Amazon-owned video streaming provider LoveFilm, a big Netflix competitor in the U.K., is already a player in Scandinavia.

Netflix, led by CEO Reed Hastings, launched its streaming service in the U.S. in 2007 before adding Canada in 2010. It continued its rollout with a launch in Latin America in 2011 and the U.K. and Ireland in early 2012.

Some observers had predicted that Spain or the Nordic countries could be next for the company, which has cited the cost of international rollouts as a factor hurting its profitability

Thank you Hollywood Reporter

Nearly 40 films sold at Toronto...

Nearly 40 films sold at Toronto
Robust tally, announced day before fest ends, includes 29 sales to U.S. distribs

Nearly 40 films have been sold at the Toronto International Film Festival, including 29 to U.S. distributors.
The festival made the announcement Saturday, the day before the event closes.

"We're pleased that the Festival continues to provide opportunities for buyers to see films in a strong environment which facilitates film sales," said Justin Cutler, senior manager of TIFF's sales and industry office. "It had been a particularly robust year for sales and we're happy that the Festival's official selection will reach film lovers across the world."

Focus Features' acquisition of cop thriller "The Place Beyond the Pines" on Sept. 8 has been the largest deal so far at an estimated $3 million for U.S. distribution rights. That deal appeared to lead to other acquisitions closing in the subsequent week.

Lionsgate and its partner Roadside Attractions have been the biggest buyers, snapping up U.S. right to historical drama "Emperor" on Friday night to go along with four other acquistions -- Sarah Polley's doc ''Stories We Tell,'' Joss Whedon's ''Much Ado About Nothing,'' Stuart Blumberg's ''Thanks for Sharing,'' and Robert Pulcini and Shari Springer Berman's ''Imogene.''

IFC picked up a quartet of projects -- Neil Jordan's vampire thriller "Byzantium," Mira Nair's "The Reluctant Fundamentalist" and Noah Baumbach's "Frances Ha" and Jamie Babbit's thriller "Breaking the Girls."

Millennium Entertainment acquired U.S. rights on two high-profile films: Josh Boone's comedy-drama "Writers" and Julianne Moore-Alexander Skarsgard starrer "What Maisie Knew." Buyers for significant titles have included Anchor Bay ("Jayne Mansfield's Car"), newly launched Outsource Media Group ("Great Expectations") and 108 Media/Paladin ("The We and I").

HBO Films also snapped up the U.S. television rights on a pair of feature docs -- Liz Garbus' Marilyn Monroe vehicle "Love, Marilyn," beating out bids from Sony Pictures Classics, IFC Films and Magnolia Pictures; and Tom Donahue's casting directors project "Casting By."

Late acquistions closing Friday included Samuel Goldwyn Films' buying Michael McGowan's romancer "Still," starring James Cromwell and Genevieve Bujold; Magnolia Pictures' snagging North American rights to Ramaa Mosley's fantasy-satire "The Brass Teapot"; and Cinedigm buying horror project "Come Out and Play."

Strand, which specializes in foreign titles, bought three films for U.S. distribution -- Pablo Trapero's "White Elephant," "In the Fog" and the "Paradise" trilogy.

Tribeca Films acquired "How to Make Money Selling Drugs" and "Fitzgerald Family Christmas," and MPI Pictures bought U.S. rights to "Therese Desqueyroux," the final film of French director Claude Miller and the closing night film at Cannes this year.

Two days before Toronto started, one of the more intriguing purchases went through, when Annapurna Pictures bought the U.S. distribution rights to Harmony Korine's "Spring Breakers," starring James Franco - even though Annapurna does not yet have a distribution arm.

Some of the unsold titles include Terrence Malick's "To the Wonder," Rola Nashef's "Detroit Unleaded," Deepa Mehta's "Midnight's Children," Sally Potter's "Ginger & Rosa" and Ariel Vromen's "The Iceman."

The festival accredited 4,280 industry delegates, up 9% growth over 2011 and representing 2,563 companies from 81 countries (up from 77 in 2011). TIFF said attendance from Asia increased by 40% from Japan, China, India and South Korea.

"With the Festival's inaugural Asian Film Summit and Mumbai as the focus of the City to City programme, our goal was to attract more interest from delegates in Asia this year and we're very happy with the results," said TIFF artistic director Cameron Bailey.

Sales to international markets included "7 Boxes," "Come Out and Play," "The Deep," "The Deflowering of Eva Van End," "The Fifth Season," "A Hijacking," "Lore," "Out of the Dark," "Reality," "Something in the Air" and "Stories We Tell."

Thank you Hollywood Reporter

Toronto 2012: FilmDistrict's Peter Schlessel on the Fest -- 'It's My Favorite Ac

The movie vet talks to THR about nabbing "Looper," leaving Sony and the future for upstart film labels.

This story first appeared in the Sept. 14 issue of The Hollywood Reporter magazine.

Known in the film world as a sharp and savvy consigliere, Peter Schlessel spent 21 years at Sony -- including a stint as president of Columbia Pictures -- before leaving in 2010 to launch FilmDistrict, the domestic distribution company backed by financier-producer Graham King and oil billionaire Tim Headington. Schlessel, who discovered and acquired rights to a string of hits including District 9 while at Sony, continued his winning streak with the low-budget horror pic Insidious, the inspirational Soul Surfer and the Ryan Gosling vehicle Drive. But FilmDistrict hit a speed bump in fall 2011, when experienced execs Bob and Jeanne Berney exited. In an Aug. 27 interview in his Santa Monica office -- bursting with sports, movie and music memorabilia, along with pictures of daughters Stevie, 18, and Sammy, 16 -- the energetic executive discussed how the company has bounced back, growing from a staff of seven to more than 40, including newly installed marketing president Christine Birch. A key milestone for FilmDistrict comes Sept. 6 when Looper, a sci-fi thriller starring Joseph Gordon-Levitt and Bruce Willis, opens the Toronto International Film Festival.

The Hollywood Reporter: How did you acquire distribution rights to Looper, which you are releasing with TriStar/Sony?

Peter Schlessel: I'd started chasing the script during the early days of FilmDistrict. I love sci-fi movies, and this one had so many layers and the story had such great characters, but what really sold it was meeting with [director] Rian Johnson (Brick) and hearing his vision. I told Jim Stern, a friend who produced and financed the movie through his Endgame Entertainment, that he had to sell me this movie, and I slipped the script to Marc Weinstock [Sony's president of worldwide marketing].

THR: How important has Toronto become in terms of launching a fall film?

Schlessel: It's more important than both Telluride and Venice in terms of the North American market. That's not to take away from either, but more people pay attention to what happens in Toronto, both for awards movies and for films opening in September and October. Look at what happened last year with The Descendants. The drumbeat started at Toronto.

THR: Will you bid on any movies during the festival?

Schlessel: We have no space the rest of this year, but we have room next year. Toronto is my favorite acquisitions market for different reasons. It has bigger available movies -- our focus. We found Insidious there in 2010, when it played in the Midnight Madness section. We made our offer at 2 a.m. after the screening and closed the deal at 4:30 a.m.

THR: What does the near future look like for companies like yours as the major studios cut back on the number of films they make?

Schlessel: I don't know if studios have ceded any ground, but clearly they are concentrating on bigger tentpoles. It was clear to me watching what was happening in the marketplace that theater owners wanted more movies. And with all the new equity money coming into Hollywood, I realized you could run a smart business and figure out how to get these movies to the marketplace in a cost-effective way.

STORY: Toronto 2012: The A-List With Films For Sale

THR: Why did you decide to pick up MGM's Red Dawn remake after many of your competitors passed?

Schlessel: I wrote a memo to myself two years ago after I saw an early version saying the movie was good but the cast wasn't known. Then I saw the movie six or seven months later, and all of a sudden the cast was great, between Chris Hemsworth of Thor and Josh Hutcherson of The Hunger Games. It was like buying a good bottle of cabernet and letting it sit on the shelf.
THR: Will there be some heat because MGM changed the villains from the Chinese to the North Koreans?

Schlessel: No, but I think people will talk about it. It's a villain who people won't disagree is a villain.
THR: Why did you decide to leave the protection of a Hollywood studio for a more risky upstart?
Schlessel: I didn't look at it that way. It was time to take the next step. There wasn't room to create my own label, and my personal satisfaction had plateaued. I thought long and hard and had a lot of dinners with Amy [Pascal]. If ever I was going to leave, this was the time. To stay would have felt like a capitulation.

STORY: Toronto 2012: The New Hotspots In Town

IN THE OFFICE

While still heading Sony Pictures Worldwide Acquisitions, the exec snapped up U.S. rights to District 9, a tiny South African film that went on to gross north of $115 million in North America, one of the most profitable movies of 2009.

The piece hanging behind Schlessel's desk in his Santa Monica office is from pop illustrator Burton Morris, who designed the poster for the 76th annual Academy Awards.

Thank you Hollywood Reporter

More info: www.hollywoodreporter.com
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VOD grows fast in Latin America..

VOD grows fast in Latin America
New video-on-demand services are sprouting across the region
By JOHN HOPEWELL

MADRID -- Latin America's VOD landscape is rapidly gaining definition.
In September, Netflix launched a streaming-only service throughout the region. Argentina's two big telcos, Telefonica de Argentina and Telecom Argentina, also have rolled out VOD services.

In Brazil, VOD is offered by satcaster Sky and cabler Net. Also in Brazil, NetMovies, Latin America's biggest local Internet VOD operator, streams 4,000 films and series, having cut its first major U.S. studio deal, with Disney, in September.

For independent films, worldwide online VOD player Mubi operates throughout Latin America; Mexico has Canana OnDemand, Argentina has website Comunidad Zoom.

At last month's Ventana Sur, Spain's Filmin, an Internet film/TV VOD company, inked a deal with Colombia distrib Cineplex to develop a service for Spanish-speaking Latin America; Cineplex will contribute content and technology to the Colombia Filmin service, says Filmin CEO Juan Carlos Tous.

Cineplex's big 2012 releases -- "Tree of Life," "Drive," "A Dangerous Method" and "Elena" -- will be among pics available on the online service, says Cineplex prexy Elba McAllister. The Colombia launch will take place in the first half 2012 with 1,000 titles, 300 from Colombia and other Latin American countries, the rest international, mostly Europe-sourced.

Working with local territory partners, Filmin aims to expand throughout Spanish-speaking Latin America.

The Filmin-Cineplex alliance highlights opportunities for VOD in the region. Currently, Latin American online TV/video subscription revenues are minimal: 2010 saw just $1 million from Argentina, $4 million from Brazil and $3 million from Mexico, according to Digital TV Research.

Indie VOD in Latin America "is still at a diaper stage of growth, but it is growing," says Canana partner Pablo Cruz, who adds that Canana's VOD release of its TV series "Soy tu fan" solicited more buys than a normal studio release.

But Canana OnDemand is carried on Cablevision, Mexico City's dominant cabler. Online, straight-to-PC services could face a tougher battle. In Mexico, for instance, people don't want to give away credit card details on the Web, Cruz says.

For Latin America in general, Filmin's challenges are little different from those of Netflix: Piracy is high, broadband penetration is low -- at 36% for Argentina, 24% for Brazil and 35% for Mexico in 2011, according to Screen Digest.

Yet pay TV reaches less than 25% of Latin American households vs. 90% in the U.S., so VOD is far better positioned to give pay TV a run for its money in the region, analysts say.

VOD is also essential in a highly concentrated Latin American cinema exhibition market stuffed with multiplexes that, even more so than in Europe, is dominated by Hollywood blockbusters.

"VOD," McAllister says, "offers huge opportunities for the distribution of Latin American and independent films."

Thank you Variety.
More: www.variety.com

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The country's three main Dutch-language networks have begun testing the catch-up portal called Rumble.

The country's three main Dutch-language networks have begun testing the catch-up portal called Rumble.

COLOGNE, Germany - The three largest Dutch-language networks in Belgium: VRT, VMMa and SBS Belgium, have joined forces to launch a local catch-up TV portal similar to Hulu.

Netflix Touts 1 Million Subscriber Milestone in U.K., Ireland
Called Rumble, the service would make the networks' programs available online and to tablets and smartphones for up to three days after their initial television broadcast. According to an article in Belgium's De Standard newspaper, the three channels are currently testing the service. VRT is a public broadcaster while VMMa and SBS are both commercial channels.
A similar attempt to launch a Hulu-style platform in Germany, Europe's largest television market, failed when the courts rejected plans by leading commercial broadcast groups RTL and ProSiebenSat.1. The regulatory watchdogs argued the service would extend the two companies' near-duopoly in the German TV ad market. Germany's public broadcasters have proposed their own independent catch-up service, called Gold.
The market in online TV services is heating up in Europe. Netflix this week announced that its new service in the U.K. and Ireland crossed the 1 million subscriber milestone within seven months of launch, the fastest growth for Netflix in any territory it operates in. Netflix also recently announced plans to launch its service across Scandinavia.

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Senate hearing on digital platforms hears calls for new laws...

If new digital platforms are to survive and thrive, laws and regulations governing the media and telecommunications industries need to be overhauled, executives from Microsoft, Amazon and IAC told the Senate Committee on Commerce, Science and Transportation.

"Incumbents have the means and incentive to engage in economic and/or technical discrimination against online video distributors," IAC Chairman Barry Diller testified Tuesday morning at the hearing looking at the potential of online video. IAC is a digital content company.

Diller, a former television executive who became head of Paramount Pictures and was an architect of the Fox network, said during questioning that the Communications Act of 1996 should be revisited.

"The rules need to reflect that there is a potential positive competitor to what has become a very closed system ... dominated by relatively few companies," Diller said.

There was some agreement from the committee. Jim DeMint (R-S.C.) said, "Our video laws simply no longer reflect the current realities of the marketplace." Those laws, "should not promote or protect one technology over another or one competitor over another."

Much of the hearing focused on whether online video will emerge as a serious competitor to cable and satellite television. Besides Diller, others testifying were Blair Westlake, corporate vice president of Microsoft Corp.'s media and entertainment group; Paul Misener, Amazon's vice president for global public policy, and Susan Whiting, vice chairman of Nielsen Co.

"The TV landscape will likely experience more change in the next 18 months than in past five years," Westlake predicted.

At the same time though, there was a general consensus that online video is not in a position to overtake current multichannel video program delivery systems. Diller said online video will be a supplement but not a replacement for pay television.

Diller and others expressed concern that traditional media companies that control content and distribution will have little incentive to see online video emerge as a serious competitor. Asked about net neutrality -- a principle that requires a broadband distributor to treat all Web traffic equally -- Diller said that without it, "You will see the absolute crushing of any competitive force."

Amazon's Misener added that his company had seen indications that traditional media companies "may wish to restrict the availability of competing content," and said the situation needs to be "monitored vigorously" by Congress and the Federal Communications Commission.

As is often the case in a hearing about content distribution, the subject of how channels are packaged and sold by cable companies was also a topic. Sen. Jay Rockefeller (D-W.V.), who chairs the committee, complained about having to pay for 500 channels when he only watches 10. Sen. John Thune (R-S.D.) asked why ESPN doesn't just sell itself directly to consumers, seemingly suggesting that this is something that programmers want but that distributors are against.

Diller made it clear that ESPN and other programmers have little interest in changing the current system.

"It would be insane for ESPN to sell itself directly to consumers," Diller said, noting that he doesn't watch ESPN yet is paying for it. "Selling it individually is something they would avoid."

There was an interesting dust-up at the start of the hearing between Diller and DeMint. Diller is a backer in Aereo, a company that sells tiny antennas to consumers and thus allows them to access broadcast TV signals over the Internet. The company launched in New York this year and broadcasters are suing to shut the service down, claiming Aereo does not have the permission or the legal right to retransmit their content via the Internet and is in violation of copyright laws.

DeMint asked Diller what his reaction to Aereo would be if he still had his broadcasting hat on. Diller acknowledged he'd be protecting his turf.

But Diller also said that Aereo, which charges consumers $12 a month, is not reselling broadcast content but is rather a technological platform.

"We charge a consumer for an infrastructure we put together," Diller said. "We don't charge for programming that is broadcast on this free direct-to-consumer system."

DeMint indicated that is a distinction without a difference, and when he was done questioning Diller turned to Amazon's Misener and sarcastically asked, "Do you plan to intercept broadcast signals and sell them over your network?"

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Sunday, November 17, 2013

AFM: Hype, Hope and Business as Usual with China as Part of the New Normal...

Wednesday, November 6, 2013

Australian Screen Industries Must Get More Engaged in Asia, Study...

Saturday, March 9, 2013

Malaysian Police Crack Down on Movie Piracy Site...

Thursday, March 7, 2013

Five Studios Sign on for Satellite Movie Delivery...

Monday, October 15, 2012

Mobile TV searches for breakthrough...

Abu Dhabi: Sales Agents To Become Global Distributors...

YouTube Mulls Allowing Original Content Partners to Charge for Subscriptions...

Friday, October 12, 2012

Cable prices not out of whack, a la carte won't work, analyst says...

FCC lets program access rules expire...

Netflix to Launch Streaming Service in Nordic Countries by Year's End...

Sunday, September 30, 2012

Nearly 40 films sold at Toronto...

Saturday, September 8, 2012

Toronto 2012: FilmDistrict's Peter Schlessel on the Fest -- 'It's My Favorite Ac

Thursday, August 23, 2012

VOD grows fast in Latin America..

Wednesday, August 22, 2012

The country's three main Dutch-language networks have begun testing the catch-up portal called Rumble.

Wednesday, April 25, 2012

Senate hearing on digital platforms hears calls for new laws...