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Curious Constance

Curious Constance

Well-Known Member
Hhhhhhheeeeeeee’ssssss bbbbbbaaaaaacccccckkkkk!!!!!!

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captveg

Well-Known Member
CaptinEO said:
Everything I've read, be it Netflix, HBO,
Hulu, Peacock, Disney +, just shows these companies getting in debt. With the technology of course its just a high start up cost then regular maintenance budget, but the big cost is the content.

All the networks make bigger and better shows and movies to compete with eachother all for a potential consumer base that will never exist because there is so much competition.
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People also fail to realize that there are royalty fees for content that is available on the service. One of the reasons HBO Max pulled some content recently was that they were paying royalties on content that had, over the course of the prior year, received *single digit* viewership. No company is gonna want to pay talent back end royalties on content that .0000001% of viewers ever bother to actually watch. This is why these streaming services will never be a true entire library of any company's Film/TV archive.
 
CaptinEO

CaptinEO

Well-Known Member
captveg said:
People also fail to realize that there are royalty fees for content that is available on the service. One of the reasons HBO Max pulled some content recently was that they were paying royalties on content that had, over the course of the prior year, received *single digit* viewership. No company is gonna want to pay talent back end royalties on content that .0000001% of viewers ever bother to actually watch. This is why these streaming services will never be a true entire library of any company's Film/TV archive.
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This is most likely the case for newer products.

I think it gets murky, especially when it comes to older archival material. For example, what do you do for actors in a 1960s Disney TV Show that had contracts drafted before streaming was even a thing?

I know Dave Chapelle was vocal that he didn't even get paid a cent when his show went on streaming.
 
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shambolicdefending

Well-Known Member
To me, the bottom line is that streaming simply isn't capable of supporting the business model upon which all of these media companies have built their empires.

It's going to be a painful process to change and rebuild models accordingly, and not everybody who starts that process will be there when it's finished.

The music industry had to go through it when file sharing started to break everything in the late 90s. It wasn't pretty, and record companies and musicians never truly recovered.
 
Phroobar

Phroobar

Well-Known Member
How did companies make money when they would show a movie on tv? They had licensing agreements with the broadcaster. HBO would have a license agreement to show the movie. They would pay for it via cable subscription fees. Now there is no cable provider and everyone is the broadcaster. Shouldn't they be happy with the subscription fees? The other problem now is they have killed the first run movie theater where most of the money is made. There is no way to increase subscription fees to make up for that money. Maybe DVDs need to cost $80-$100 like VHS tapes used to cost?
 
lazyboy97o

lazyboy97o

Well-Known Member
Phroobar said:
How did companies make money when they would show a movie on tv? They had licensing agreements with the broadcaster. HBO would have a license agreement to show the movie. They would pay for it via cable subscription fees. Now there is no cable provider and everyone is the broadcaster. Shouldn't they be happy with the subscription fees? The other problem now is they have killed the first run movie theater where most of the money is made. There is no way to increase subscription fees to make up for that money. Maybe DVDs need to cost $80-$100 like VHS tapes used to cost?
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The difference though is that when HBO aired a movie, they were doing it at that one singular instance. Even as they built out with multiple channels and time zone feeds, it was happening during those set, controlled instances. They also curated the catalogue of what was shown, so they were buying the rights to movies on an individual basis.

A streaming service has a huge, far less curated library and any title can be accessed at any time. They're having to provide a lot more content that can be called upon at any instant, multiple times. There's also cost associated with the different type of infrastructure you need to provide all of that. There's a pretty good reason Disney has paid so much for BAMtech.
 

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