AN OPEN LETTER FROM THE CREATIVE COMMUNITY ON PROTECTING THE MOVIE-GOING EXPERIENCE

We are the artists and business professionals who help make the movie business great. We produce and direct movies. We work on the business deals that help get movies made. At the end of the day, we are also simply big movie fans.

Lately, there’s been a lot of talk by leaders at some major studios and cable companies about early-to-the-home “premium video-on-demand.” In this proposed distribution model, new movies can be shown in homes while these same films are still in their theatrical run.

In this scenario, those who own televisions with an HDMI input would be able to order a film through their cable system or an Internet provider as a digital rental. Terms and timing have yet to be made concrete, but there has been talk of windows of 60 days after theatrical release at a price of $30.

Currently, the average theatrical release window is over four months (132 days). The theatrical release window model has worked for years for everyone in the movie business. Current theatrical windows protect the exclusivity of new films showing in state-of-the-art theaters bolstered by the latest in digital projection, digital sound, and stadium seating.

As a crucial part of a business that last year grossed close to $32 billion in worldwide theatrical ticket sales, we in the creative community feel that now is the time for studios and cable companies to acknowledge that a release pattern for premium video-on-demand that invades the current theatrical window could irrevocably harm the financial model of our film industry.

Major studios are struggling to replace the revenue lost by the declining value of DVD transactions. Low-cost rentals and subscriptions are undermining higher priced DVD sales and rentals. But the problem of declining revenue in home video will not be solved by importing into the theatrical window a distribution model that cannibalizes theatrical ticket sales.

Make no mistake: History has shown that price points cannot be maintained in the home video window. What sells for $30-a-viewing today could be blown out for $9.99 within a few years. If wiser heads do not prevail, the cannibalization of theatrical revenue in favor of a faulty, premature home video window could lead to the loss of hundreds of millions of dollars in annual revenue. Some theaters will close. The competition for those screens that remain will become that much more intense, foreclosing all but the most commercial movies from theatrical release. Specialty films whose success depends on platform releases that slowly build in awareness would be severely threatened under this new model. Careers that are built on the risks that can be taken with lower budget films may never have the chance to blossom under this cut-throat new model.

Further, releasing a pristine, digital copy of new movies early to the home will only increase the piracy problem—not solve it.

As leaders in the creative community, we ask for a seat at the table. We want to hear the studios’ plans for how this new distribution model will affect the future of the industry that we love.

And until that happens, we ask that our studio partners do not rashly undermine the current – and successful – system of releasing films in a sequential distribution window that encourages movie lovers to see films in the optimum, and most profitable, exhibition arena: the movie theaters of America.

We encourage our colleagues in the creative community to join with us by calling or emailing NATO at 202-962-0054 or nato@natodc.com.

Sincerely,

Michael Bay
Kathryn Bigelow
James Cameron
Guillermo del Toro
Roland Emmerich
Antoine Fuqua
Todd Garner
Lawrence Gordon
Stephen Gyllenhaal
Gale Anne Hurd
Peter Jackson
Karyn Kusama
Jon Landau
Shawn Levy
Michael Mann
Bill Mechanic
Jamie Patricof
Todd Phillips
Brett Ratner
Robert Rodriguez
Adam Shankman
Gore Verbinski
Robert Zemeckis

I might have more sympathy if not for:

1. most new films being total s***
2. most new films being s*** versions of older, better films or s***er sequels to s*** films
3. most cinemas being manky, unsanitary, s***ty places to be
4. cinemas selling the noisiest, stickiest, s***tiest food known to man
5. every film I've ever watched being ruined by c. & d.
6. most films I've ever watched being repeatedly interrupted by knobheads who can't manage to be on time
7. cinema staff never actually doing anything about noisy twunts
8. most theatres not actually having been set up properly.
9. the seats having been recycled from the Bastille torture chambers
10. Jar-Jar Binks
11. their fascist marketing convincing idiot women to drag their partners to RomComs
12. consistent shameless rip-offs of non-narrative sources such as computer games
13. CG being preferred to filming things properly
14. wobbly camera-work; it's not artistic - it's just s***
15. love- and sex-scenes in films that really don't need them
16. vast sums being paid to "talent" that just isn't
17. the Babylon 5 debacle
18. studios repeatedly chopping films so that they make little or no sense until you see the extended version
19. a litany of new technologies released merely to cover up the monumental shortcomings of the industry's output
20. the wonderful old Odeons being sold off and knocked down to make way for vast, Vegas-style, gawdy monstrosities
    
    
    oh and....
    
    
21. casting Keanu Reeves in anything, let alone as Neo

I might have more sympathy if not for:

1. most new films being total s***
2. most new films being s*** versions of older, better films or s***er sequels to s*** films
3. most cinemas being manky, unsanitary, s***ty places to be
4. cinemas selling the noisiest, stickiest, s***tiest food known to man
5. every film I've ever watched being ruined by c. & d.
6. most films I've ever watched being repeatedly interrupted by knobheads who can't manage to be on time
7. cinema staff never actually doing anything about noisy twunts
8. most theatres not actually having been set up properly.
9. the seats having been recycled from the Bastille torture chambers
10. Jar-Jar Binks
11. their fascist marketing convincing idiot women to drag their partners to RomComs
12. consistent shameless rip-offs of non-narrative sources such as computer games
13. CG being preferred to filming things properly
14. wobbly camera-work; it's not artistic - it's just s***
15. love- and sex-scenes in films that really don't need them
16. vast sums being paid to "talent" that just isn't
17. the Babylon 5 debacle
18. studios repeatedly chopping films so that they make little or no sense until you see the extended version
19. a litany of new technologies released merely to cover up the monumental shortcomings of the industry's output
20. the wonderful old Odeons being sold off and knocked down to make way for vast, Vegas-style, gawdy monstrosities
    
    
    oh and....
    
    
21. casting Keanu Reeves in anything, let alone as Neo

Last time I went to the cinema it was too loud, felt like it must have been exceeding safe levels and really took away any possible enjoyment.

I love going to the pictures. Being currently unemployed I really can't afford to go very often at all. (8+(

Mark

I'm curious - do any of you who profess not to enjoy the cinema ever visit the theatre or perhaps a ballet? Or anything else held in public?

I'm curious - do any of you who profess not to enjoy the cinema ever visit the theatre or perhaps a ballet? Or anything else held in public?