Quote:
Originally Posted by candyflip
The studios do. There's a lot of money that just gets shuffled around the books within the various companies involved, all of which are usually under the umbrella of the studio involved. I'd bet that 1/2 of those big $100 million budgets are usually just funny money being moved around like this. Maybe more.
It's the movie business version of music business "recouping".
The studios actually set up a business for each movie which then takes a direct investment of cash, that with all intents and purposes they want to keep them in the red, which means there's no net profit.
If you think about it to, at this point Lucas and Spielberg are independent filmmakers. They finance their own projects. This paradigm shift really is huge for independent filmmakers, being the two at the top of the list. There guys know it.
|
Quote:
Originally Posted by kane
The studios get all the money.
The studio can come up with all kinds of crazy line item costs for a movie like "office overhead" or "administration" and put huge numbers into those line items. They then keep money from the profits to cover these items that likely never existed or never existed at this level.
|
that's what i thought too but how does that flow with what spielberg is saying? that there will be an implosion due to ~6 megabudget failures.
if they are the ones left holding all the cash, then these high priced bombs can be absorbed right?
what am i missing!
