Monday, April 21, 2008

The Future of Pay-TV: Opportunity for Indies?

The announcement of a new pay-TV/ VOD/ Web 2.0/ Super-futuristic-total-entertainment-experience service from Viacom, Lionsgate, MGM, and Paramount is big news, but what’s giving industry analysts pause is the idea that the lifespan of a Hollywood movie is going to get a whole lot more compressed.  Channels like Showtime and HBO aren’t make the money they used to off TV premieres--they argue that new movies aren’t worth much anymore on TV, so they don’t want to pay the high licensing fees. So studios are taking back control over the twilight years of their films (before they become catalogue titles), as well as their delivery windows.  The fact is, nobody cares about the HBO premiere of a six month old movie.  Why not put the film on TV in two months?

So what does this mean for indies?  Well, for one thing, Showtime, HBO, STARZ, and their ilk are going to be looking for content.  That’s one opportunity. But another might be with the studios themselves.  If studios get the idea that the TV roll-out is part of their overall marketing campaign (the same way that a theatrical release becomes a loss leader), studios might become a lot more flexible in their ideas about how a film can reach an audience.  More stops on the studio tour mean more places for indies to get on.  Times are changing.