TIME FOR INDEPENDENTS?
As Hollywood is prepping for recession, cuts will come.
NBC Universal sent a clear signal last week, dropping $500 million from its 2009 budget and Paramount sharply realigned its release schedule. Many other companies will surely follow suit. As jobs are lost and paydays cut, the coming months could plunge the industry into a recession resulting in less production and less content for all outlets crying for programming.
We've all lived through recessions before, but this one is somehow more ominous. For one thing, it's global. Even tiny countries like Iceland have run out of money.
In addition, there's no one at the controls. Historians will probably award the final days of the Bush Era an "A" for Anarchy. The economy is being run by a fraternity of dorks from Goldman Sachs who have spent their careers padding their own bonuses and constructing golden parachutes rather than pondering monetary policy.
The CEOs of the major congloms in the entertainment industry are themselves insecure about their business models as the Internet and digital projection promise great change. Is this a moment to steady the course or, conversely, should some basic -- indeed cosmic -- changes be added to the agenda?
READ MORE - "Final results of recession not necessarily bad" by PETER BART - http://www.variety.com/article/VR1117994607.html?categoryid=1&cs=1
© 2008, Stanley Lozowski, All Rights Reserved. and
© 2008, Reed Business Information, a division of Reed Elsevier Inc. All rights reserved.
Labels: bonuses, business models, cutting budgets, digital projection, entertainment industry, golden parachutes, Goldman Sach, Hollywood, Independents, Internet, monetary policy, NBC Universal, Paramount
