MGM has an enviable film library.

By licensing the film rights in the library to pay TV, cable networks and television stations around the world, and selling and renting videotapes and DVDs, MGM can achieve an average annual revenue of $600 million.

However, this revenue is complex and needs to be shared with other rights holders.

Each film has its own specific terms and conditions that stipulate the remuneration rules for the splitter, the creator, the trade guild and the third party.

For this expenditure, MGM has to sign more than 15,000 checks every quarter.

Not only do films have different profit sharing conditions, but their future revenue streams are also specific to each film, such as the age of the star, the subject matter of the film, and the genre.

In order to evaluate the value of the film, all the bidding companies for MGM sent an experienced financial team to investigate.

Viacom is also interested in MGM.

Lei Shidong sent an experienced team of 50 people made up of in-house professionals to estimate the likely benefits of each film over the next 10 years.

Ever since Cork Cockrian announced that he was going to sell MGM, the hard work has begun.

After two months, Viacom's managers gave a reasonable estimate of MGM at between $3.5 billion and $4 billion.

However, the bid price was not even submitted to MGM.

Viacom gave it no internally.

The president, Meyer Kamashin, is an ultra-conservative who is particularly disgusted by Mr. Lei's huge spending on the film industry, which has little revenue.

He asked his managers only one question: "Will the acquisition of MGM Films repeat the mistakes of the record industry?"

The managers looked at each other.

The development situation of the Internet is not clear to anyone, and no one can understand it!

Kamasin said firmly: "In that case, we will not buy MGM." ”

Disney is also eyeing MGM.

Michael Eisner has even made an offer to Cork Corkerian: "$3 billion!"

As soon as the offer came out, it was directly rejected by Cork Corkerian.

Want to buy MGM for $3 billion?

Are you kidding?

In Cork Corkerian's reply, words such as "joke" and "clown" were even used, and the angry Michael Eisner jumped to his feet.

Now, among the nine companies participating in the bidding for MGM, Microsoft, Viacom and Disney, have withdrawn one after another.

Only General Electric, Sony, New Universal, Lionsgate, Comcast and Time Warner remained.

Don wasn't in a hurry.

He is in talks with Warner Bros. about leasing the rights to the Internet.

Both sides sent a team of negotiators to negotiate the deal in five rounds over a period of 10 days.

Finally, on February 1, Don Walker and Barry Meyer attended the final negotiation meeting in person, and an agreement was reached.

New Universal will lease the online streaming rights to all Warner Bros. films, including existing rights libraries and future film projects, for a total of 20 years!

For the first 10 years, the annual lease cost was $20 million, and for the second 10 years, the annual lease cost was $30 million.

Not only that, but New Globe will have to make a one-time payment of $200 million in rights lease fees for the next 10 years.

Barry Diller and Barry Meyer, representing both companies, signed the contract.

After the signing ceremony, Barry Meyer came backstage and smiled wryly at Donne, "Donne, I have a hunch that I was fooled by this deal." ”

Tang Enqiang couldn't help but laugh, pretending to be at a loss, "Fooled? What do you mean? If you want to be fooled, it's me, right? Originally, I meant to sign a contract for 30 years, but now it has been shortened to 20 years, and my investment risk has greatly increased." ”

"But I always feel ...... Within a decade, there will be a rapid development in network speed. Barry Meyer shook his head, "If it weren't for Warner's current financial difficulties, I would definitely not accept such an agreement." ”

"Nonsense!"

Don secretly laughed in his heart.

If he didn't know Time Warner's predicament, how could he have gone straight to the hardest bone?

He knows Time Warner's crisis very well.

The merger of AOL and Time Warner has caused irreparable damage and irreparable scars for decades.

In order to alleviate the crisis, it successively sold Warner Records, Warner Publishing, and Warner Cable, and vomited blood to divest the assets of AOL AOL, but in the end it was still difficult to do, so that the entire group was packaged and sold to AT&T.

Tang En said quietly: "It's just a 20-year lease period, it's not that serious." Besides, it's not an exclusive network copyright, if the Internet really rises in the future, Warner can still be invincible in the Internet era with its huge film library. ”

Barry Meyer shrugged, "Hopefully." ”

This was his only psychological solace.

New Universal's lease is not exclusive network rights, that is, in the past 20 years, Warner can also develop and sell online rights to the films in the library.

Don snickered.

20-year copyright term...... It's not long to say it's long, and it's definitely not short to say it's short.

Ten years from now, $30 million wants to package and lease all the movie streaming rights to Warner?

$300 million is about the same!

Even after 20 years, Warner's huge copyright fees will not be possible to renew the contract on such terms.

Don also has no fear.

Because by that time, Netflix had developed thoroughly, and with a rich self-made copyright library, there was no need to lease copyrights from other companies.

What's more, New Globe and Warner Bros. have reached an agreement, which is a signal to their Hollywood peers.

With Warner Bros.' library of 6,500 films, the current online copyright package price is $20 million.

How much can other companies offer?

This deal set the tone.

Next, New Globe will have a better theoretical basis when it negotiates with Twentieth Century Fox, Disney, Columbia Pictures, and Lionsgate.

……

New Universal's film and television streaming rights acquisition plan continues.

Donn has gotten Warner Bros. off to a good start.

The rest of the work was left to Robert Iger and Kevin Turner.

However, after Robert Iger negotiated the investment of Universal Pictures Osaka's new "Spider-Man Adventure" park, he and Bob Chapek proposed a new plan for the construction of the park.

"At the moment, Disneyland is too far ahead of Universal Studios, both in terms of brand image and attraction to visitors. To break this pattern, we have to find a suitable entry point. ”

Robert Iger is a Disney employee in the Travel, Resorts and Consumer Goods Division, under his direct supervision.

Donn was interested, "Oh?

"An entry point that can make Universal Studios' public opinion heat overshadow Disneyland!"

"Want to suppress Mickey Mouse and Snow White?

"It's hard, but there's a chance. ”

Don nodded, "Tell me more about it." ”

Robert Iger said: "Recently, I read your book "The Theory of Explosive Styles" and was deeply moved. The attraction of Disneyland lies in the cartoon characters such as Mickey Mouse and Snow White, which are, to put it bluntly, a large park composed of countless small projects. There are not many small projects under New Universal, and Pixar only has 4 films. So, we can go out of a completely different development route from Disneyland!"

"Oh?" Donn's eyes lit up, "you mean...... Big project?"

"That's right!"

Robert Iger clapped his hands, "The performance of Universal Studios Osaka is not bad, but the overall design still belongs to the traditional model, and the theme of 'Jurassic Park' is only a small area in the park, and it does not give full play to the characteristics and humanistic features of the Cretaceous era of 'Jurassic Park'." ”

Don was very approving.

The "Jurassic Park" series of films, after the trilogy, was shelved. However, after the launch of 3D technology, the "Jurassic World" series can still bring the shock of giant dinosaurs to the world!

Universal Studios' current design and construction of the "Jurassic Park" adventure zone is too small and overkill.

Of course, it's also about investing.

If you want to build a real Jurassic Park of your dreams, you need to invest at least $600 million to $800 million.

With such a big investment, it is too risky.

"Jurassic Park", "Future Water World", "Terminator" and other projects are simply integrated into a park, reducing the scale of each project and attracting customers with richer elements.

This is still mimicking the model of Disneyland.

"I think that if Universal Studios wants to surpass Disneyland, it can't honestly imitate Disney, we have to come out of a new Universal-style amusement park model!"

"Big project?"

"That's right, it's a big project!"

Tang En nodded again and again, looking at him deeply, "Have a choice?"

Robert Iger said: "Yes, we can invest $700 million to $800 million to really create the world's first independent single park next to Universal Orlando - Harry Potter theme park!"

Harry Potter Theme Park ......

Donn muttered to himself.

Robert Iger said: "Disneyland is a combination park, each park has many small projects, rich is rich, but not unique enough, just play, less eye-opening shock in the world." The Harry Potter theme park is completely different, completely built around the Harry Potter series and movies, unique, new, unique, this kind of theme park, and the Disneyland model of the past, is completely different!"

Donn's eyes narrowed.

Indeed, this was the case in previous lives.

In Orlando, there are two major tourist resorts, Disneyland and Universal Studios.

The former is far more attractive than the latter.

Until the opening of the Harry Potter theme park, it directly drove Universal Studios and became the overlord of Orlando's tourism industry!

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