Paramount/DreamWorks are HD DVD exclusive

[CptGreedle]

This is a classic Micro$oft move. They start to get desperate toward something and fear loosing money (like they don't have enough)... so what do they do? They use their plethora of dollars to buy out the competition, or at least buy exclusive rights from 3rd parties.
I mean look at the XBOX and the 360...

It is a desperate move and I pray that I see all the Shrek movies on BD. I do NOT want BD to be overtaken by the inferior HD-DVD format.

[DrinkMore]

The old moto has changed..

"If you can't beat'em, BUY'EM!"

Very sad. If M$ causes the demise of BD for the sheer fact of greed and because they are stupid, I will officially NEVER support or buy their products again. I will buy a MAC and that is saying alot.

[radagast]

Let those hd-dvd idiots throw their money away. Sony and other Blu-blood companies can spend their money developing cheaper and more powerful Blu players.

[dialog_gvf]

I have to say that there seem to be some nervous nellies around if they think that even the worst case reading of this story will allow HD DVD to come back much.

"Boo"

"Boo?!! Oh no, HD DVD could win"

[w_tanoto]

toshiba is just wasting their money and so paramount if they have agreement with HD DUD side. Consumer would mostly only buy BD version. Look at 300's sale number. LOOK AT IT!

[scatcher]

Why exactly is it that people think Microsoft is ponying up the dough?

Go on. Convince me.

[Woody]

Relax guys, the sky isn't falling.

1. This is a blogger
2. If this turns out to be true, did you read it? They are paying so that Para DOESN'T go BR exclusive, and to get a couple titles POSSIBLY released on HD DVD first.
3. If this did happen to be the case, it changes nothing.
4. That is ALOT of money to be throwing around that could be better spent elsewhere (as a poster above posted)
5. I have a news flash for you guys, do you think Disney and Fox are BR exclusive because they like us? No. The BDA has paid them plenty of cash for them to be BR exclusive along with other agreements (royalties, lower production costs, etc.) If this happens to be true (which I doubt) we cannot be mad at these companies for paying Para, that is how this type of thing works.

[Penton-Man]

Originally Posted by scatcher

Why exactly is it that people think Microsoft is ponying up the dough?

http://www.avsforum.com/avs-vb/showt...1#post11353541

[scatcher]

That link doesn't talk about Microsoft.

[Shrek]

Originally Posted by scott87

i dont think this is a big deal that everyone is making it out to be!There has been no official annoucements just chinease whispers its a load of bs really! there is no actual sources named! i aslo dont think paramount are that stupid! Have they not started to favour the blu camp more now! I also dont see losing DWA a big deal so what we loose Shrek 3!What would you rather have shrek or transformers? but as i say this is nonense and i dont think the bda would let this happen they would counteract it somehow!

I would want BOTH!!

[dialog_gvf]

Originally Posted by Woody

5. I have a news flash for you guys, do you think Disney and Fox are BR exclusive because they like us? No. The BDA has paid them plenty of cash for them to be BR exclusive along with other agreements (royalties, lower production costs, etc.) If this happens to be true (which I doubt) we cannot be mad at these companies for paying Para, that is how this type of thing works.

While I agree with the first part, I disagree with the second. Disney and Fox are BD exclusive because of simple greed. They think it is the best avenue to protect their content, and add a new revenue stream.

If the BDA paid for exclusivity, that is doomed to anti-trust action in at least the EU. So, you better hope it is not true.

Gary

[dialog_gvf]

Originally Posted by Penton-Man

http://www.avsforum.com/avs-vb/showt...1#post11353541

Statement: This is a pure speculation based article.

Originally Posted by Penton-Man

It’s not Lee.
What’s true is that Paramount has been, and is now being actively courted with soft red suitcases filled full of monopoly money.

What’s speculation is whether or not there is a done deal of some sort and the exact *figures* involved, as to the former, I fear the worst.
I hinted as much as I could about this “development” in a post early yesterday morning, hours before this reporter posted his article.

Originally Posted by Penton-Man

I agree. Let’s hope that Paramount stays “scientific” and does not let “politics” influence them in any way and continues their current course of action.

No further comment.

The war is truelly on?

Anti-trust?

[Blue]

Haven't we heard this (FUD) before. At this point in time why would a studio make such a deal? A studio may have made a deal when the power of Blu-ray was an unknown force - but now!

Disney made a press release to contradict FUD that they were going HD-DUD
Samsung a similar press release

Until official treat it rumours like this with the respect it deserves, which is about as many of those cheap 2 million HD-DUD players that Wal-mart have sold.

[dialog_gvf]

At this point, it is sounds like it could be TRUE.

New releases: Neutral
Some percentage of catalog: HD DVD exclusive

This would be a fairly major event if it is true. And it would show that any hope of Universal going neutral any time soon can be completely tossed out the window.

Gary

[Alex Pallas]

to say that microsoft is a monopoly that promotes unethical business practices isn't bias, its common knowledge to anyone who is educated about their corporation and the software market in general.

[WriteSimply]

US$50 million for Paramount? US$100 million for Dreamworks Animation?

US$160 million was the budget for Shrek The Third. US$150 million was pumped into Transformers. US$10-50 million is good for marketing and promotion for ONE big budget movie. US$10 and below are indie movies' budgets.

The money that MS is waving at Paramount can't be for HD-DVD exclusivity because that's just chump change. Dreamworks Animation can milk more money from the proceeds off the Shrek movies even though they are still struggling.

Here is what I wrote at AVS three days ago.

We know that general consumers who know about the war are waiting for the format war to conclude before buying players. So for the war to conclude, the CEs or studios of either camp have to give up. The likelihood of the CEs to change their minds are tiny. The likelihood of the exclusive studios to change their minds are also unlikely. So it falls to format neutral studios to look for the long term gains of the HD formats.

Warner is getting the benefit of being format neutral, even though the sales ratio have told their executives time and again that BDs have been outselling HD-DVDs. However, is it unlikely for Warner to give up because they earn the royalties from HD-DVD.

That leaves Paramount. It has no IP stakes for either format. Its executives also know about the sales ratio and the consumer trepidation about the format war. Therefore for the long term financial gain, Paramount's going BD exclusive is going to benefit themselves and the other Hollywood studios. The move will signal a change in the format war which will lead to increasing consumer confidence. That will lead to an increase in the sales ratio for BD as more consumer buying BD players and titles.

Even if the war continues past Paramount going BD-exclusive, the ONLY studio that is going to benefit from the war is not Universal. It is Warner. So the dominoes to fall in favor of BD, the effect will start with Paramount, then Universal then Warner & Toshiba.

Toshiba does not have the financial means to "persuade" Paramount. Microsoft, whatever its intention for HD-DVD or downloadable HD-lite movies, do. So the target studio for them and the BDA is Paramount.

And no, I'm not in Hollywood nor an insider. (Get me a work permit to the US and a good pay, and I'll gladly mousey on over)

Regardless, this really is a wake-up call to HD-DVD supporters and to the Sony haters. If they really want the underdog to win, then it HAS TO BE the BDA.


fuad

[WriteSimply]

Originally Posted by scatcher

That link doesn't talk about Microsoft.

From the article:

After all, the consumer is already making a decision between formats: even though Toshiba-backed and Microsoft-backed HD-DVD players are far cheaper right now, Sony-backed Blu-ray prices are rapidly coming down.

From Video Business

JULY 11 2006 | LAS VEGAS—HD DVD backers unveiled an ambitious $150 million marketing plan, highlighted by a roving 18-wheeler home theater truck parked in the Venetial exhibit area, to help boost awareness of the high-definition format.

Hardware and software executives jointly trumpeted HD DVD during a Tuesday press event. To oversee the blitz, officials from Universal Studios Home Entertainment, Paramount Home Entertainment, Warner Home Video, Intel, Hewlett-Packard, Toshiba and Microsoft have formed the North American HD DVD Promotional Group.

Like I said, the amount of money discussed in the blogger's article just seems too small especially when you're betting your future earnings on a potential cash cow (BD). If Paramount and Dreamworks Animation make an exclusive deal with HD-DVD and slip, they are going to bear the brunt of it.

Coming back to your "the link doesn't talk about Microsoft" post, the US$150 million extra (or whatever the value of this deal is) from the HD-DVD Promotion Group (on top of their earlier marketing efforts) for Paramount and Dreamworks Animation has to come from somewhere. Which is more likely to you?

a) Universal
b) Toshiba
c) Warner
d) Microsoft


fuad

[dialog_gvf]

Assuming this is true:

New releases are the key to format adoption, and nothing changes there. But, if Godfather, Star Trek, and Indiana Jones are now solely destined for HD DVD, that would be a major insult.

It wouldn't change the outcome of the war much. But, it would be a smack in the face to Blu-ray owners.

And, it would a sure starting point for a Blu-ray bootleg market. Someone will see the market for transcoding those exclusive titles.

As we know, the other way is pretty much impossible because of the bandwidth issue. And the lack of burners.

Paramount would be wise to realize the wrath they could face.

Gary

[JTK]

Here's a random sampling of how this piece of overblown FUD is being taken to the moon already by HD-DVD zealots and sheep that believe anything at first glance:

Nikki Finke's excellent Deadlinehollywood site has big possible news about Paramount basically going HD-DVD exclusive, or close to it.

And sure, Paramount has guaranteed money up front to do so. That's no different than what Sony has surely done on the Blu Ray side to some degree.

In the end, this is VERY good news for the HD-DVD format (even though Paramount's recent slate of theatrical bombs isn't any big deal. TRANSFORMERS, though, sure would be).

While I disagree with a few of her assertions (how is it a dying format if 300's first week on HD-DVD outsold CASINO ROYALE's first week on Blu Ray?), I think the combination of Universal & Paramount exclusively releasing on HD-DVD will make it virtually impossible for the format to die out.

Still may not "win" this format battle, but like a lot of projections had it, it may indeed co-exist.

Especially if some of those catalog titles included INDIANA JONES or the GODFATHER -- it'd be a real big plus, no way around it.

^^ Lots of what ifs and wishful thinking and denial in posts like these. Again, this "300 outselling Casino Royale on BD" BS, even though the 300 BD is outselling the 300 HD-DVD by a 2-1 margin and so on.

He's right, though. If MS pulls this off, it guarantees this format war lasts a lot longer in a splintered market then any of us hoped.

Disney, Fox, and Sony Pictures need to prepare for a worst case scenario and I hope the war is on off the Internet, in the courts, in the board rooms, whatever it takes.

The combined BDA needs to get their resources together and if they have to outbid and outright buy then so be it.

Get it done!

[Musashi]

Normally I'd call it blogger fud, but to see Penton Man put up angry icons is a little disheartening. Paramount better not be doing anything stupid like that.

I even remember Paramount reps saying they were considering going all Blu.