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Taking Out Goliath
20 February 2006


The distribution network for mainstream feature film content follows a tried and tested formula, unchanged for the better part of half a century. Typically, Hollywood movies open in cinemas and months later, come out on cable and DVD. That gives the big cinema chains a chance to cash in before the cable and DVD giants mop up whats left of the consumer's movie entertainment budget.

In late January 2006, Oscar winning director Steven Soderbergh created a buzz when his latest film, Bubble, bucked that formula by simultaneously releasing in theaters, cable and DVD at the same time. Many pundits predicted the beginning of the end for media dinosaurs throughout the world.

''The writing is on the wall for an entire generation of middlemen, merchandisers and marketeers'', wrote The Sunday Herald. ''It heralds a new age, an age in which content producers can deliver their creations direct to consumers and the rest can go hang."

Others were less enamoured and more cynical about the prospects of success for the new strategy . Gary Meyer, a cinema manager who runs a consulting business for theater owners, argued that as long as the phrases "direct to video" and "made for cable" remain slurs, the so-called day-and-date release strategy remains an iffy proposition.

"The public's perception is, 'Why pay $10 to see it when we can get it at home?'" said Meyer.

John Fithian, director of the National Association of Theater Owners, described Bubble's release plan as "a death threat" for movie houses and several chains refused to show the movie. The controversial film's meagre box office takings appears to be a validation of the cynics and established order. Bubble banked a mere US$70,000 at the box office during its opening weekend. In stark contrast, Soderbergh's previous avant garde offering, Full Frontal, raked in more than 10 times that amount.

But the confidence level of the futurists were hardly dented, declaring that Bubbles was just the opening shot in an epic battle. The production company behind Soderbergh's new film immediately released a statement saying that they were planning to release many more films simultaneously. There are those who want to push the envelope even further. One example is Atom Films, a website that offers to connect filmmakers directly to their consumer base by finding and publishing short films to meet the new demand for unusual digital entertainment. The model not just bypasses cinemas, but also cable and the DVD market. The website claims that their new distribution platform already attract more than 5 million viewers each month.
 
Atom Films manager Scott Roesch was bullish, “Whichever companies end up being most successful, it’s clear that the real winners will be content creators – who will have more opportunities and creative freedom – and consumers, who will have more entertainment choices and control than ever before.”

It is shaping out to be a very interesting tussle. Whatever happens, it can be safely guaranteed that we are in for a very entertaining future.

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