Hollywood
Paramount shows the way for digital distribution
MUMBAI: Being one of the oldest and largest Hollywood distribution studios, which has relied on 35-millimeter film to capture motion pictures, has taken a huge step for the industry. Paramount Pictures has become the first big studio to stop releasing its major movies on film in the US.
The studio’s Oscar-nominated film The Wolf of Wall Street is its first movie in wide release to be distributed entirely in digital format. The studio also notified theater owners that Will Ferrell’s comedy Anchorman 2: The Legend Continues, which opened in December, was the last movie released on 35-mm film, reports revealed.
The decision is likely to encourage other studios to take a leap of faith and follow suit, pushing for a complete phase-out of film in a year or two. Closer home, we already have movies releasing on the digital format and this historic move will only fuel more distribution studios to think of migrating to the digital format seriously.
The major factor for film studios to still remain hesitant of going completely digital is the factor of missing out on revenues and box-office collections from theatres which are still not equipped to show digital movies and are still on film. Internationally, Paramount is still expected to ship film prints to Latin America and other foreign markets where most theaters still show movies on film.
So how will Paramount benefit from this move? Well here are a few facts to ponder over: Studios prefer digital distribution because it is much cheaper. Eventually, these movies could be beamed into cinemas by satellite, saving even more on production and shipping costs. Digital technology also enables theaters to screen higher-priced 3-D films and makes it easier for them to book and program entertainment.
But then what about the theatre owners, they are at a risk of going out of business if they can no longer obtain film prints of movies.
The future is certainly looking bleak for distribution of movies on film to continue…
Hollywood
WBD sets April 23 vote on $110bn Paramount Skydance merger
Investor approval key step, but regulators loom over mega media deal
NEW YORK: Warner Bros. Discovery has set April 23 as the date for shareholders to vote on its proposed $110 billion merger with Paramount Skydance, marking a crucial step in one of the biggest media deals in recent years.
The all-cash transaction offers WBD shareholders $31 per share, a hefty 147 per cent premium to its unaffected stock price, signalling strong intent to push the deal across the finish line. The company’s board has unanimously backed the merger and is urging investors to vote in favour.
Even if shareholders give the green light, the deal is far from done. Regulators in the United States and Europe are expected to scrutinise the merger closely, weighing concerns around competition and potential price impacts for consumers.
To keep investors on side, WBD has built in a safety net. If the deal is not completed by September 30, shareholders will receive a quarterly “ticking fee” of $0.25 per share until closure.
The proposed merger would significantly reshape the media landscape, combining the assets of Warner Bros. Discovery with those linked to Paramount Global and Skydance Media. It would also cement the growing influence of David Ellison, who has been steering Skydance’s aggressive expansion strategy.
“The WBD Board has been guided by the singular principle of securing a transaction that maximises the value of our iconic assets and delivers as much certainty as possible to our shareholders,” said Warner Bros. Discovery board chair Samuel A. Di Piazza Jr.. “This historic transaction will expand consumer choice and create new opportunities for creative talent.”
Warner Bros. Discovery chief executive officer David Zaslav added that the company is working closely with its counterpart to close the deal and unlock value for stakeholders.
With investor backing likely but regulatory hurdles ahead, the proposed merger is shaping up to be a defining moment for the global entertainment industry, where scale, content and competition are increasingly intertwined.
