Chapter 2631 The Spring of TV Dramas

Richard has worked at HBO for more than ten years and is one of the important contributors to the rise of HBO. This time he is promoted to CEO, and he has many things to do.

The most important thing is to promote a big plan for financing TV series projects.

HBO's annual production costs are fixed and must be strictly implemented in accordance with the budget approved by Time Warner. If all TV series are funded by oneself, only a few projects can be launched.

If we adopt a cooperation model and introduce external funds...then we can use limited money to produce more TV series. With more content, HBO's programs can be made more colorful, and it can also provide more resources for the streaming media industry that HBO will enter next.

In terms of financial resources alone, HBO cannot be a rival to Netflix.

Netflix can issue large amounts of debt to make movies, lose money every year, and rely on its "dream" to support its stock price. HBO cannot do that. It must save costs, set aside enough profits, and rely on profits to support the stock price.

This means that the production budget that HBO can provide is far less than that of Netflix, not even 30%.

To solve this problem, we can only find ways from the outside to introduce other capital institutions to participate in financing and cooperate with HBO to jointly develop TV series.

Xu Baihui and Ning Lu appeared next to Zhou Buqi.

Richard really didn't know Xu Baihui, and thought she was just a little assistant of Zhou Buqi, so he didn't pay much attention to it, and seriously explained his concept of investment in American drama platter to Boss Zhou.

Zhou Buqi understood this very well.

This is actually no different from investing in a movie platter.

If TV dramas want to make money, there are only six major channels: 1. Advertising revenue, including product placement and commercial breaks during TV broadcasts; 2. Local TV networks, which means local stations buy a program package, which contains many programs. To fill one's own TV broadcast time; 3. Subscription income, subscription platforms like HBO or Netflix require certain purchasing fees to producers; 4. On-demand income, such as Apple's iTunes, YouTube, or offline Cafes, libraries, airplane VIP rooms, etc. can provide on-demand services, and you can spend 2-3 US dollars to watch an episode of TV series on demand; 5. Income from overseas distribution, selling TV series abroad; 6. Derivative copyrights, such as Popular American TV series like "Game of Thrones" can be licensed for derivatives, including figures, mugs, T-shirts, maps, setting collections, game adaptations, etc.

The only difference from movies is that movies also have a very important channel. Movies can be shown in cinemas, but TV series do not have such resources.

The industry of investing in American dramas has not yet appeared.

The Hollywood film industry is very mature and has even spawned a series of financial services.

American dramas are much worse.

In the past few decades, most American TV series have been independently funded and produced by producers. Now, the general situation has changed. With the adjustment of Hollywood movie models and the rise of the Internet streaming industry, American TV series will usher in the best spring.

It’s time for Boss Zhou to step forward.

He did not lead the film investment industry, he was only a beneficiary who participated halfway. The true leader has achieved great success and built a legendary film company valued at US$5 billion.

Now, he is going to lead the platter investment in American dramas!

Since it is a leader, it cannot just cooperate with HBO, but must target the entire American drama industry. In the process of leading the industry, it might also create a new TV series production company worth $5 billion.

Of course, $5 billion is nothing to Zhou Buqi.

The main reason for his interest was the honor that comes with standing up and leading an industry.

Secondly, it is to find a new direction for Jieyu Media’s overseas business.

Third, PayPal’s online cooperation allows users to participate in investment in movies and TV series. This is the best way to capitalize on the popularity of the entertainment industry and gain traffic. It can also take advantage of the trend to truly open PayPal’s “financial supermarket”.

Fourth, fill in the gaps of Ziweixing Global in the field of TV series. Completing this matter can provide stronger content protection for Netflix and Ziweixing Global’s next streaming media platforms.

If necessary, it is not impossible to give the Rockefeller family face and bring them in as a small shareholder.

Although the Rockefeller family is gone, there are more and more legendary stories and the family brand is still there.

If there are one or two Rockefellers as followers or followers, Boss Zhou will be more dignified and shocking when he goes to places outside the United States that lack sufficient understanding of the actual situation of the Rockefellers.

The aura of the world's richest man can be even more dazzling.

Richard didn't know that Boss Zhou had such a big plan, and he was still recommending his project vigorously, "Now times have changed, the spring of TV series production is coming, and the profitability of TV series will also be greatly improved. "

"Oh?" Zhou Buqi looked confused, "Why?"

Richard explained: "A very important reason is the breaking of channel monopoly. In the past, the broadcast channels of American TV stations were mainly the three major TV networks, which gave them strong bargaining power and they were all blocking the way. Just like NBC, if a team produces a TV series and gets it to be broadcast on NBC, half of the copyright of the entire series may be taken away by NBC, and other subsequent profitable channels will also be controlled by NBC. This This made it difficult for the production teams of independent TV series in the past to survive.”

Zhou Buqi nodded, "Well, monopoly is very similar to the suppression of independent film companies by Hollywood giants."

Richard said: "It will be more serious than Hollywood, because there are more channels for movies, but the only channel for TV series in the past was to be broadcast on TV stations. Go to the three major TV networks to earn advertising fees, which is the biggest income of TV series. source."

Zhou Buqi felt deeply, "Well, this is the harm of monopoly. The existence of this kind of monopoly will even affect the production of content, thereby harming the interests of the audience."

Because of this monopoly, many independent TV drama production teams do not have enough room to survive. If the money is too little, many people will stop doing it.

Many good TV series cannot be produced.

Domestic TV dramas are very poor. In the final analysis, it is due to this factor. Monopolistic institutions are not engaged in production, but they always want to take away the biggest piece of the cake.

No matter how good the pictures are, you can't make that much money, so why are the pictures so good? It's enough to finish the filming in a daze and make the money you deserve.

Richard said solemnly: "Because of this factor, the TV series of the three major TV networks cannot be luxurious productions that strive for excellence. They must be constantly stretched and shoddy. It was not until the emergence of HBO that the breakthrough was broken. This pattern has brought a new direction to the TV drama industry."

Zhou Buqi also admires this, "HBO is indeed a monument in the TV drama industry."

Richard smiled, "With HBO taking the lead, many pay TV stations have joined in, including Starz, Showtime, and AMC TV stations. The new model of TV stations has created more choices for TV series production companies. Now that the Internet has come, especially your Netflix, it has opened up the monopolized TV industry even more."

Zhou Buqi said "Yeah", "Producers of TV series do have more choices and bargaining power. The forced bundling model of the past is gone forever."

Richard said: "So the spring of TV dramas is coming."

Internet streaming media has had a huge impact on the monopoly structure of the film and TV series industries. In comparison, it has had a greater impact on the TV series industry.

Because the core channel for movies is cinemas.

This channel is still firmly monopolized by the six major Hollywood giants. The survival of independent filmmakers will be better than before, but not much better.

TV series cannot be shown in movie theaters. With the help of streaming media, they can really get rid of the monopoly of traditional channels and can completely spread their wings and fly.

Untying the market will generate profits; driven by profits, countless outstanding Hollywood producers, directors, and actors can devote themselves to creating unfettered American dramas.

Zhou Buqi said with emotion: "Yes, this is the charm of the market. In fact, you don't need to do anything. You just need to untie the constraints in this field, and they will naturally glow with vitality."

Seeing that he had boss Zhou's approval, Richard smiled and joked, "If you want a horse to run, the best way is not to feed it, spur it, or sign various contracts for it." Red-headed documents go to inspire it, but untie the reins tied to it. Now, with the rise of paid channels like HBO and the rise of streaming media platforms like Netflix and Hulu, the reins of TV series have been untied ."

"But..." Zhou Buqi asked a very critical question, "HBO's TV series does not have advertising, and there is no additional revenue from local stations. How can this ensure the revenue of partners? Or is it like "Game of Thrones" , relying on the transfer of streaming media rights?”