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NYT Confirms Movie Studios Paid to Support HD DVD
An anonymous reader writes "The New York Times has confirmed the story that Paramount and DreamWorks Animation were paid $150 million for an exclusive HD-DVD deal that will last 18 months. 'Paramount and DreamWorks Animation declined to comment. Microsoft, the most prominent technology company supporting HD DVDs, said it could not rule out payment but said it wrote no checks. "We provided no financial incentives to Paramount or DreamWorks whatsoever," said Amir Majidimehr, the head of Microsoft's consumer media technology group.'" We discussed Paramount's defection on Monday.
Did anyone really expect anything different?
Let's drag out all of Sony and friends general ledgers and see how much "promotional consideration" Target and Blockbuster got. I really don't get why people are making a big deal about a company making promotional deals. Let's be serious, these days $150 million is about enough to cover one big budget movie.
Wake me when one format bites the dust and players for the other format are $100. Till then I'll make do with DVD's.
[Insert pithy quote here]
Now that combo Blu-Ray HD-DVD players are becoming increasingly available and cheap, any studio would be stupid to not take a cash payout for (what may end being an ultimately meaningless) format switch. With the format war continuing for at least another few years (by all likelihood), it's conceivable that mass adoption of combo players as they become affordable will mean that format difference will ultimately be of as little meaning as DVD+/-R is now. Besides, with adoption rates lagging so badly, the losses from switching to a less-popular format over the next 18 months are probably outweighed by the cash payment. Great business decision by Paramount.
"Microsoft, the most prominent technology company supporting HD DVDs, said it could not rule out payment but said it wrote no checks. "We provided no financial incentives to Paramount or DreamWorks whatsoever," said Amir Majidimehr, the head of Microsoft's consumer media technology group."
The statement begs the question; how is it possible to make a payment but provide no financial incentive? There is no such thing as payment, that is not a financial incentive. A contingency is a financial incentive but not a check, but there is no such thing as a payment that is not a financial incentive. Either the reporter is an idiot, or Microsoft is full of shit.
70% of statistics are made up.
There is only one reason why someone would pay $150 million to buy the adoption of a particular format: The HD DVD people realized their preferred format was inferior, and could not possibly win in the marketplace in a fair competition on the merits.
In other words, the people who paid believed that the format they don't want to win, Blu-ray, is worth $150 million more than their HD DVD format in true value, so to even the score they had to pay.
That shouts very loudly to me. Someone with $150 million to spend has set the value of Blu-ray as being worth that much more than HD DVD. Thanks for the information. You have voted with your dollars, and shouted to everyone who thinks about it that Blu-ray should win.
From the New York Times article: "The battle over the competing high-definition DVD technologies has sputtered in recent months as Blu-ray discs have emerged as the front-runner. Blu-ray titles are sharply outselling HD offerings..."
Not only the corrupters, but the marketplace also, agree that Blu-ray is better.
I wonder how much it would cost to get Paramount and DreamWorks Animation to adopt 8-track tapes?
I wonder how much it would cost to get Paramount and DreamWorks Animation executives never to take showers or baths? Obviously, to them, everything is for sale, even their technical integrity.
If that kind of thing continues, the word "executive" will become synonymous with the word "sleaze".
When I say I bought a house or a car. I have spent money to acquire the rights to the brick mortar, iron, labour everything that goes into the building of this house or car. There has been a transaction between the previous owner and me which says that the transaction was fair.
Now when you say that you have written a piece of work. Can you say that you have paid back for every piece of information that you used to produce that work. You cannot. There are literally millions of small pieces of information that goes into creating that work. It is true that a lot of creativity and effort goes into producing that work, but it is still built on a large amount of information that had required a lot of creativity, and effort. You never did pay for these pieces of information. You just used it and now you are trying to steal when you try to deny the right of those creators and their survivors (ie the public) to also enjoy the fruits of your labour, as you did theirs.
I am not against copyright, as long as it is copyright and not some kind of stupid "intellectual" property right. Copyright has a stated purpose, which is to allow creators to gain some payment for their efforts. But it is only that. Trying to make it into a perpetually owned property is an attempt to steal from the public domain. The same goes for patents, but the problem is less severe there.
In light of the above, copyright should be very limited in time, and scope. It should give some inalienable rights, such as attribution. But commercial rights should be severely curtailed. I believe, to just commercialize a product you should be required to register your work at the copyright office stating your intention to benefit from it, and providing a copy for its library. The right to benefit from it should be only for a very limited time, like 5 years (from the point of registration) allowing for one extension of another 5 years. Anything more in the Internet age is stupid and excessive. Works owned by Corporations should not be allowed to have an extension, that will make it more difficult for corporations to steal from the artists.
Everybody should be required to earn their living, and artists or RIAA/MPAA should not be above it. This means that no perpetually milking the only good thing that you produced.
There is a deeper meaning to the following quote by Newton which some people will never have the humility to understand.
"If I have seen a little further it is by standing on the shoulders of Giants."
Strange since HD-DVD/DVD hybrids already exist, yet I don't know of any bluray/DVD hybrids... so I'd say the advantage goes to HD-DVD on this.