Chapter 437: Behind "House of Cards" - the struggle between finance and the media

In fact, "House of Cards" is not a pure TV series, or rather, the root cause of its birth, in fact, has nothing to do with television, but a collision between traditional Hollywood media and Silicon Valley technology companies and Wall Street bankers.

As mentioned earlier, Hollywood and Wall Street are actually colluded to package film and television dramas as financial products, and transfer production costs to leeks through entertainment public funds, which can not only maximize the benefits of Hollywood's traditional media, but also reduce the risk of production failure as much as possible.

When Wall Street found that Hollywood's model is simply a business without capital, Disney's operating method of losing money on the books for years but making real profits is even helpless to the IRS, obviously making money but not having to pay taxes, the point is that this is different from other companies that change their territory to avoid taxes, Disney's entertainment companies are fanfare in the United States to avoid taxes, so that this kind of bull beep tax operation has become the favorite of major financial groups, and everyone wants to intervene sideways to pass on costs in this way.

As a result, the acquisition was carried out with the trend.

But alas, the media giants [District 8], who have already tasted the sweetness, are simply not willing to give up their interests.

Especially after seeing that the market value of AOL Time Warner is as high as 150 billion, Disney's market value has soared to 80 billion, Paramount's old father Viacom has swept 25% of the media share, Vivendi finally sold Universal to General Motors, and the financial news group behind Fox has also moved from Australia to the United States, Wall Street financial groups also know that the acquisition is no longer possible, so they changed their thinking and established an entertainment production company in the form of a commercial fund.

That is, do it yourself.

From 04? Hollywood has sprung up with countless independent production companies born on the back of film and television funds? The MRC that created "House of Cards" also appeared in this wave, but it was different from other small capital conglomerates? Are the dads of MRC too big? The Guggenheim is a manager on the surface, but besides him-

The company's shareholders still have AT&T? WPP, as well as Goldman Sachs.

Goldman Sachs and AT&T need no introduction? And WPP is the world's largest advertising agency? Like Procter & Gamble, GlaxoSmithKline, Volkswagen, Canon, Nokia, Amex, and Merrill Lynch's copywriting and propaganda are all contracted by them, not only that, but the Ogilvy and Mather government relations that do the propaganda business of the donkey elephant and the two parties are also WPP's.

It's no exaggeration to say that as long as you have money? They'll be able to get your product out there in every household.

If these three are already beepping to the bone? So the Guggenheim is actually not bad, for those who study architecture, the Guggenheim is a classic of modern architectural art, but actually, at the beginning of the 20th century? He has already been included in the four richest families in the United States, along with Rockefeller, Vanderbilt, and Morgan? Not only that, but they are also the second richest Jewish family in the world? And, married Rothschild, who ranked first.

Many people say that the Rothschilds have long since become disillusioned? Underestimating the development of the United States, they suffered a big loss in Europe? Persecuted by a mustache in World War II? It is true that the Soviets confiscated a large amount of their assets when they pursued socialism in Eastern Europe, but many more people are reluctant to say that the Guggenheim Asset Management Company, the parent who controls the 300 billion fortune, is the great-grandson of the family.

Eggs don't fit in one basket.

How can people not understand this concept?

And when a company has the endorsement of four groups with assets of more than one trillion yuan, such as Guggenheim, AT&T, WPP, and Goldman Sachs, all the projects can be pushed flat, so much so that in the first year of their establishment, they summoned Brad Pitt and Cate Blanchett to create the Golden Globe Award for Best Picture "Babel".

After that, it also produced "The Traveler" starring Hugh Jackman, "Destiny Planning Bureau" and "Elysium" starring Matt Damon, "Teddy Bear 1 & 2" starring Mark Wahlberg, "A Million Ways to Die in the West" starring Charlize Theron, "Extreme Car Theft" directed by Edgar Wright, and "Knives Out" co-created by 007 and Team America.

Looks like that's pretty average, right?

But actually......

These products launched by capital groups that don't know how to create are just ordinary!

Like the financial products of Relativity Media, Legendary Pictures, and Lionsgate, these entertainment production companies are all cross-border talents, either from a bank on Wall Street, or from the New York Stock Exchange, either an index analyst on the NASDAQ, or a futures and options expert on the Chicago Board of Trade.

If they talk about finance, then they will, and if they let those who are engaged in finance engage in entertainment, it is equivalent to the forty thieves buying Youku Tudou! In addition to throwing money, they will, that is, turn the leek money into their own money!

In this case, any investment for them, it is a big luck, and after the three-year violent death of the film and television industry in the past three years, they decided to retreat tactically, avoiding the industry that has been monopolized by the six majors, and instead devoted themselves to the TV drama industry, and when the company held a meeting internally, a bunch of people engaged in finance didn't know what projects were good, so they asked their subordinates, what do these guys usually like to watch, at this time, an intern who had just entered the MRC said that he was rewatching the British drama "House of Cards" , So, financial executives who have never watched this drama found the source of the film.

Just like the comprador Wang Hailin said, what drama a TV station buys is very different from the preferences of the management.

If they are all old men, then there will be countless small flower shows on the market, if they are all old women, then the little fresh meat will be popular, and what do people like to engage in finance? Of course, it's not a soap opera that housewives watch!

For them, political thrillers such as "House of Cards", "Yes, Minister", and "Yes, Prime Minister" are more interesting!

As a result, these bricks who felt that "House of Cards" was very much in line with their tastes slapped their heads, bought the copyright of "House of Cards", and directly packaged the production task and threw it to CAA.

The production of the entire TV series, in fact, has nothing to do with MRC, director David Fincher, screenwriter Eric Ross, starring Kevin Spacey, that was all found by CAA, and after they finished the script, MRC used the forces behind it to contact Time Warner, wanted to sell "House of Cards" to HBO, contacted Viacom, tried to use "House of Cards" to attract the attention of CBS's showtime, contacted Rainbow Media, and tried to get AMC TV under his name to participate in the bidding, And also contacted Netflix, hoping that they could buy the online rights.

This is actually the biggest advantage of having capital backing!

The pilot episode was not filmed, so everyone sat down and talked about money first!

Swap it Lionsgate, Legends, Relativity, Hollywood giants don't bird you, but what about when the Guggenheim, Telephone and Telegram, WPP and Goldman Sachs appeared? Knowing that these people are here to grab the cake, the Hollywood giants can only pinch their noses and sit down to talk, because before they officially tear their faces, they still need these qualified guys to help them make public funds to cheat money.

And in the process of negotiations, the funniest thing happened.

At that time, Time Warner, Viacom and Rainbow Media felt that MRC's "House of Cards" idea was okay and was willing to order it by season, but MRC needed to shoot a pilot episode first, but after Netflix learned the news, they who were trying to transform from a rental company to a production company immediately said that they were willing to invest in production, and offered generous conditions, such as customizing two seasons at one time without a pilot broadcast, with a total budget of more than $100 million, and the production team could retain the final editing rights.

From a creative point of view, Time Warner, Viacom and Rainbow Media's decision is undoubtedly correct, but from the perspective of a financier, Netflix, which can make itself profitable quickly, is more sincere.

As a result, MRC signed a production contract with Netflix and sold "House of Cards" to Netflix.

If it comes to this, then this is actually the story of a poor boy turning over.

Netflix, which started as a rental, bet on "House of Cards" and became a streaming giant.

But really......

The story of "House of Cards" doesn't end here!

Because after Netflix bought the copyright of "House of Cards", they had no intention of making this drama at all, but immediately held a shareholders' meeting and told the investors behind it, the capital group, the Vanguard Group and the Black Rock Group, that Netflix's transformation ideas have been made! They're going from a rental company to a creative company! They want to change the structure of Hollywood! Break the traditional playback model of Hollywood giants! i.e. cable media playback! Let the Internet become the first choice for users to watch dramas in the future!

Not only that, Netflix also pulled out Walt Disney's blue ocean strategy model, using the success that countless capital wants to replicate to tell shareholders that their ideas are based on reality, in addition, they also poached Disney publicity department executive Jonathan Ferrand from Disney to make him the chief content officer of Netflix, and also poached international business executive Kelly Merriman from Time Warner to make him the chief marketing officer of Netflix.

With the Walt Disney model and industry professionals corroborated, Capital Group, Vanguard Group and Black Rock Group suddenly felt that Netflix was doing a great thing, so they increased their investment in Netflix and changed the nature of Netflix, turning it from a video site that benchmarked YouTube and Hulu to a TV station that benchmarked HBO and showtime, and it was precisely because Netflix turned from a website to a window of public opinion that its stock price soared.

After discovering this situation, the capital behind MRC suddenly realized that since they can't fight with Hollywood in the traditional field, they can also switch to online! Anyway, as long as they are involved in production, they can evade taxes in this way, so the Guggenheim, Telephone and Telegraph, WPP, and Goldman Sachs bought Netflix shares one after another!

When this situation arose, the founders of Netflix began to reduce their holdings on a large scale!

Wool of the capital!

Because he didn't even think he would succeed! What he wants to do most is cash out and get out!

However, because the cash-out momentum was too great, Icahn, the wolf king who smelled the abnormality, also heard the news.

Ate 10% of Netflix's shares.

When this situation appeared, all the capital behind Netflix found out that something was wrong, because when they did not reduce their holdings, how did the wolf king absorb 10% of Netflix's shares in the open market?

And after they began to liquidate, they found out that the founder of Netflix actually wanted to run!

As a result, the most classic strong man's broken wrist appeared.

When the California Civil Service Pension Fund and the American Teachers' Pension Fund represented by Carl Icahn entered the market, the founder of Netflix, who found that the cash-out move had been exposed, decisively announced the poison pill plan, that is, whenever individual investors hold more than 10% of the shares and institutional investors hold more than 20% of the shares, Netflix will issue additional shares, and he will take the initiative to buy them.

The money that was once cashed out was sent back in a special code!

This move also made Capital Group, Vanguard Group, Black Rock Group, Guggenheim, Telephone and Telegraph, WPP and Goldman Sachs not liquidate him immediately, and when there was no way to remove, the founder of Netflix knew that he had messed up!

In the case of heavy bleeding, he understood that if "House of Cards" failed, then these capitals that could use money to kill him would tear him to the ground, so he understood that he had to make "House of Cards" if he wanted to live, so he completely let go of the production of "House of Cards", trying to let these guys who understand the content save themselves......

And when CAA learned that Netflix was now hanging by a thread, wanted to survive and was willing to pay for his life, they collected the money and made a super luxury team, bringing "Twin Peaks" director James Frey, "Batman" and "Phantom of the Opera" director Joe Schumacher, "The Office" and "The Good Wife" director Charles McDougall, "Rome", "Pacific War" director Carl Franklin, "The Sopranos" and "Atlantic Empire" director Alan Colt, all moved over.

Not only that, but they also brought in Beau Willimon, the screenwriter of "Killing the President," Rick Cleveland, the screenwriter of "Home Alone," "Six Feet Under" and "The White House," and Gina Geonfrido, the screenwriter of "Law & Order" and "FBI," to write the screenplay for "House of Cards," and then ......

It was "House of Cards" that was a huge success, and Netflix's stock price skyrocketed.

So, any big data is bullshit!

Why is House of Cards a success?

That's because Netflix is trying to use it to prove to capital that Internet media is just as good as traditional media, and when they weave a scam and want to leave, the appearance of Carl Icahn causes them to have to make their dreams come true, so they ......

They wanted to save themselves, so they used money to pile up a success!

No way, who let them take more than three billion hot money from the hands of these capitals?

If they fail, it's cheap!

It is precisely because Roland knows that the success of "House of Cards" only needs to be piled up with money, so when the old man mentions the TV series to him, he will think of this project that is favored by all parties in the first time, and when the old man understands his thoughts-

This guy, who has studied current affairs and politics, laughed.

"Do you think a remake of a political thriller like this is more likely to succeed than a sci-fi drama like 'Hijacking'?"

"Of course."

"Because of the novelty?"

"Yes, it's freshness." Roland admitted, and said with a big brain: "This kind of drama is about the dirty things in the political arena, such as how a president is born? And how did he choose his deputy? Is the distribution of official positions related to the transfer of benefits? Not only that, but through the depiction of party struggles, the general public thinks that the upper class people are impossible to do are also shown one by one, of course, if it is not strong enough, we can even depict a black president's road to the top, in the depiction of an alternative scene of businessmen governing the country, in short, there are many things that can be filmed, and there are many points that can attract the audience. ”

"Well, I like what you say."

The old man shrugged his shoulders unpretentiously, he was very interested in what the black president said, and while leaning back and touching his forehead with one hand, his eyes also moved from the computer screen to Roland's body, looking at the guy with his hands around and full of confidence, he shook his head and said: "But do you know why in the past few decades, so few companies have filmed this kind of TV series?" ”

"Because of censorship."

Of course, Roland knew this, "Ninety-seven years ago, there were many kinds of censorship systems on the market, and because there was no unified standard, it became very troublesome to review this thing, so not many people were willing to touch this kind of subject matter that you said was reasonable, he said it was reasonable." In January 97, after the emergence of the TV drama classification system, the emergence of Y, Y7, G, PG, 14, MA and these levels has made the production of TV dramas have clearer standards, and the point is that the Federal Communications Commission has also made a requirement, and TVs and set-top boxes produced after two thousand years must be equipped with grading chips, so this is linked to current politics, and the classification of sensitive topics is prone to appear, which has become a taboo for various producers. ”

"Yes, the existence of censorship has made countless producers too lazy to touch this kind of subject." The old man nodded and added: "But the biggest headache for the producers is actually the unreasonable censorship system, because whenever the producers take the TV series to the Federal Communications Commission for review, they will close their eyes and let you pass, but if there is a problem during the screening, then they will unceremoniously issue a ticket to the producer, so no one wants to do this kind of project that will lose money at the first shot." ”

Yes! The censorship of American TV dramas is actually a disgusting beep!

If the Motion Picture Association of America controls the power of life and death of film projects, then the Federal Communications Commission controls the power of life and death of TV dramas, and unlike the selfie and self-censorship model of the Motion Picture Association of America, which is composed of seven major companies, the FCC is a government agency and is generally not directly controlled by commercial companies.

Because it is not controlled by commercial companies, whether the TV series can be released or not is actually not what the producer says, and if it is just these, then forget it, the most headache is actually its fishing law enforcement.

Since American dramas are filmed and broadcast at the same time, the Federal Communications Commission will approve a large number of American dramas every week, if the ministry watches them, it is obviously unrealistic, so the Federal Communications Commission has come up with a very chicken thief who declares who is graded, who is responsible for the model, that is, I produce a TV series, I think it is suitable for audiences of all ages, then I fill in the Y grade when I declare, and when the Federal Communications Commission receives the declaration, they will directly stamp the seal of approval on the declarationand then allow you to show it.

If you don't have any problems with the screening, that's it.

But as soon as you are reported by a user at the time of the screening, then the Federal Council will initiate an investigation.

If they feel that your report is wrong and there is no problem with your drama, then you can continue to play it, but if they feel that the report is correct and you have a problem, then you must cooperate, remove the episode according to their requirements, and make changes to the content in it, resubmit the declaration rating, and then pay the fine and continue to broadcast.

Of course, there are still pitfalls.

Because of the re-declaration after your modification, they still don't review it!

In other words, if you are still reported, the FCC can still issue a ticket if it still thinks you have a problem!

As a result, few TV stations are willing to shoot political thrillers.

This kind of thing is too easy to eat a ticket!

As for why did MRC dare to shoot?

And that's not because they have the Guggenheim, Telephone and Telegraph, WPP and Goldman Sachs behind them!

And why does Netflix dare to buy it?

In front of the Capital Group, the Vanguard Group, and the Black Rock Group, who has the Federal Communications Commission scolded?

It is precisely because they have the means to reach the sky that they dare to do it, and DreamWorks ......

The bones of the body are really light.

So even if the old man felt that this drama had the possibility of being made, he was not in the mood to test it.

Because once it is entangled by the Federal Communications Commission, then the whole company, will face a big problem.

Although the fine is only $32,500 once, it is a political thriller......

That can be punished to delisting!

If the donkey party is not satisfied, it will be punished, and if the elephant party is not satisfied, it can also be punished.

No way, who made the FCC a three-two system?

The same party occupies a maximum of three seats, and with a total of five seats, a monopoly simply cannot exist.

"Forget it, I'm still holding on to the drama "Hijacking", "House of Cards" is too troublesome to do."

The old man thought for a moment, and finally shook his head.

From the creator's point of view, "House of Cards" is indeed emotional, but he is now a businessman!

But for Roland, there is still room for production of this kind of drama, because-

"As long as you pull up the little bush and the zipper that just stepped down, this thing can actually become a ......"

When the fluttering words appeared in the old man's ears, the guy who had given up raised his eyebrows sharply.

Looking at the guy who didn't take censorship seriously, this old man who was almost sixty, the folds on his face trembled twice.

It seems to be happy, but it is more like helplessness.

"Okay, tell me, do you really want me to continue filming Harry Potter and the Chamber of Secrets?"

Now that the words have come to this point, the two sides will not talk about each other, and when the old man asked this crucial question, Roland, who was sitting there, suddenly felt that the time had come to ninety-two.

At that time, the old man also used this tone to ask him about Sony Pictures Entertainment.

And at that time, Roland suggested that he ......

Eat Sony's global distribution channels.

"Yes." The past is vivid, Roland nodded with emotion, and said, "Don't worry about me when you shoot me." ”

"How reassuring are you?" The old man asked, and the pupils under the lenses flashed with undisguised anticipation.

"Eight billion, benchmarking against Star Wars."

"Wow!. Is Rowling going to write this long?" When the old man heard the eight parts in Roland's mouth, his face flashed with surprise in an instant, but when he heard about eight billion and "Star Wars", he suddenly understood it, and made him nod, "If that's the case, then I can understand why you want to hold on to ...... Star Wars!" Star Wars! It's a series worth tens of billions......"

It's easy to talk to your own people.

There's no need to hide it, because everybody understands it.

While the old man showed his understanding, Roland also shrugged his shoulders and said: "In addition, your proposal just now is also the root of my heart, if DreamWorks can merge with NBC, it will be a good thing for me, because we can also have media power in our hands, and we don't have to borrow ...... as before."

"Hahahahahaha~" The sincere words made the old man laugh, in fact, it was also out of this consideration that he thought carefully about the project of "House of Cards", before he thought it was impossible, but now......

If Roland can really bring in the core figures of the two parties, then no one dares to check their dramas.

"Well, in that case, then I'll accept it." The old man thought for a while, and finally made a decision, "You get "House of Cards" done, and I'll shoot "Harry Potter", I hope we can work together happily as before." ”

Roland liked this answer, and while opening his arms and hugging the old man, he asked more.

"How many Harry Potter are you going to make?"

And the old man replied very neatly, "If you help me realize my dream, then I will also help you achieve your goal." ”

Although there was no positive response, this result has made Roland very satisfied.

Because "Harry Potter" is the project he wants, NBC is the media he wants, and "House of Cards" is ......

It's the drama he wants to do.

Of course, it's not because of Kate, it's because of Netflix, too......

Streaming.