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Movie Output To Remain High, TV Assets To Be Sold

If Sony and Apollo were to hang on to Paramount Global, their strategy would be to keep production of theatrical releases stable between the two studios – not reduce it – while cutting out the heaviest parts of the conglom, like sales to CBS auctions, linear channels like MTV and Paramount Plus. streaming service.

News on the theater production is by deadline tonight, while the New York Times earlier reported that Sony and Apollo were considering reducing Paramount’s TV assets as part of their $26 billion bid for the entertainment company. According to New York Times, Sony did not share its project with Paramount and its consigliers who decided on May 4 to hold separate discussions with Sony/Apollo and to continue negotiations with David Ellison’s Skydance/Red Bird. Discussions have calmed down between Paramount and Skydance, even if the latter remains interested.

Many have pointed out that a merger between Sony and Paramount would put the former under FCC control, as foreign congloms are not allowed to own U.S. broadcast stations.

According to Deadline’s sources, those in Hollywood, including exhibitors, fear a Sony-Paramount merger, with many suffering PTSD from the 2019 Disney-Fox merger and the resulting reduction in film production: in 20th Century Studios, Searchlight and Disney, there are only 12 titles for 2024. With large-scale releases (pictures released in more than 1,000 theaters) around 83 titles this year for the entire The industry, the exploitation cannot bear another loss of a major studio. This would mean that around ten other major titles would be removed from the market. The circuits are already destroyed because of strikes and Covid.

Big Sony is releasing 15 films this year and Paramount ten more. Sources tell Deadline that the plan would not be to scale back the Sony-Paramount merger, but rather to compete with streamers; this vision being around 20 full-scale releases per year. They would not follow in the footsteps of Disney-Fox’s practices; at least that’s the plan for now. This is the main reason why Sony is going after Paramount to establish a 1+1=4 studio equation. Last year, Paramount and Sony respectively grossed $2 billion at the worldwide box office. If combined, their output would be worth $4 billion, with Universal’s worldwide result ($4.9 billion) and Disney’s ($4.8 billion worldwide).

Meanwhile, according to the New York Times, neither Sony nor Paramount have signed formal nondisclosure agreements or begun deciphering the books, a formality that could take weeks. A Sony Paramount combo would see the old Culver City lot operating the combined entity as a joint venture with Apollo taking a small stake that could later be sold to Sony or another buyer. Marketing and distribution operations would be merged.

Some close to Paramount believe there is a third option: Shari Redstone goes it alone and does not make a deal with Sony/Apollo or Skydance. The question remains how long this will last.

Sony is known as a content arms dealer, licensing films and TV shows to Netflix and Disney. The studio has a rich paid deal with Netflix. That strategy would remain unchanged with the addition of Paramount, with the idea that the Melrose Ave lot’s OTT service would be offloaded to Comcast’s Peacock or Warner Bros. Discovery’s Max.

The Sony Apollo deal would require approval from the Justice Department’s antitrust division, the FTC and the FCC. The current administration of President Biden is known to be anti-mergers, especially horizontal ones that could result in job losses.

News Source : deadline.com
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Sara Adm

Aimant les mots, Sara Smith a commencé à écrire dès son plus jeune âge. En tant qu'éditeur en chef de son journal scolaire, il met en valeur ses compétences en racontant des récits impactants. Smith a ensuite étudié le journalisme à l'université Columbia, où il est diplômé en tête de sa classe. Après avoir étudié au New York Times, Sara décroche un poste de journaliste de nouvelles. Depuis dix ans, il a couvert des événements majeurs tels que les élections présidentielles et les catastrophes naturelles. Il a été acclamé pour sa capacité à créer des récits captivants qui capturent l'expérience humaine.
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