The Streaming Era Has Finally Arrived

Talking Tech


Well if you don't have a big tv now. I think it's time to go get one 'cause you're gonna be spending even more time in front of the tv in twenty twenty one. We're still in the pandemic who knows if it will ever end in everything's going to streaming as you've heard me talk about a lot of first run films going to streaming from warner brothers. They're putting seventeen films on. Hbo max next year now disney has a hundred new projects eighty of them are going to streaming a new version of pinocchio with tom. Hanks and peter pan with jude law. Skipping theaters going straight to disney plus. There's ten new star wars tv series. I mean there's so much out there. A lot of filmmakers don't like theater owners or even more upset but what's going on well. The studio's really always wanted a way to release their films. One to one bypassing the middle person and they finally found it with a pandemic warner says. This is a short one. Time fixed due to the pandemic but one analyst. I spoke to peter. Chatty doesn't see things changing in two thousand twenty two quote. The reality is the genius out of the bottle. And it's not going back. He told me so. People have been going to movies in theaters since the days of chaplin and keaton so why the media companies want them moving the streaming very simple recurring revenue monthly subscriptions really add up. Let's take a film like the original wonder woman shot in two thousand seventeen. It grossed eight hundred and twenty one million dollars at the box office. Subtract the production. The marketing costs and the split with theaters in the studio was left with a profit of about two hundred and fifty million dollars according to deadline so. Hbo max debuted in may fifteen dollars. Monthly currently has just over twelve million subscribers. So what would happen. If hbo were able to bring in say ten million new subscribers to see wonder woman nineteen eighty-four the new film and most of them stuck around. I'm not great at math. But i can tell you that works out to one hundred and fifty million dollars. That's less than the theatrical box office prophets but we're looking at just one month in two months studio. C three hundred million and four fifty and six hundred and on and on it goes but perhaps ten million subscribers is way too generous. The reality is it will be way way less. Maybe a million. Maybe half a million. Maybe two million. The studio won't come close to making streaming. What would have in a huge theatrical release but another analysts rich greenfield told variety that the studio will make less money for the greater good of building. Hbo max this is putting the long term future of the company ahead of prophets. Disney has already hiked the price by a dollar to disney plus effective in march. Two

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