America: Starting with the acquisition of MGM...

Chapter 242, Section 241: Is the Serial Killer Universe any good?

Calgary, Alberta, Canada.

"Eric, this is the best the new line can do. Let's each take a step back."

Eric carefully reviewed the contract and finally nodded.

"Okay, that's settled then. You've missed a good opportunity. Don't blame me for not letting new trains on board next time."

Bob Mayer shook his head with a smile: "Of course not. In fact, New Line doesn't have such big ambitions. We just want to do what we can."

"Eric, MGM's reach is too vast, and new lines can't keep up with your pace, but I'm willing to compensate in other ways."

"It's a pity, but I still wish us a pleasant collaboration."

"It's a pleasure working with you."

By signing their names on the contract, MGM and New Line officially established their partnership.

MGM sold the film rights to The Hobbit to New Line Cinema, agreeing to a maximum of three films over a period of six years.

Within six years, regardless of whether New Line Cinema produces one, two, or three films, MGM will reclaim the rights.

New Line will grant MGM exclusive online streaming rights to all of its film copyrights, but the latest films will have to wait at least a month after their theatrical release.

The specific delay duration is negotiated individually for each film, mainly to allow time for DVD sales.

Trash movies, which have no chance of being released on videotape, might be available online in half a month or a month, while classic epics like "The Lord of the Rings" might be delayed for two or three months or even longer.

Furthermore, since they did not take sides, New Line Cinema decided to make a further concession: 20% of the profits from each Hobbit film would go to MGM.

Note that this refers to profit, not the box office figures Eric mentioned during their last meeting.

Profit includes not only box office revenue but also the additional revenue generated from film copyrights.

If we still use the high point of $10 billion as the calculation standard, MGM will eventually receive more than $2 million, which is tens of millions or even hundreds of millions more than simply taking a share of the box office.

Eric had also considered whether Lionheart.com should learn from video websites and adopt the model of paying members again to watch popular single videos, as well as the 12-second cut-off that even members couldn't avoid.

However, after thinking about it, I still feel it's disgusting. Doing it this way is too unpopular and will inevitably arouse the audience's disgust.

Eric recalls that one viewer was angered and sued for early access.

After expending countless efforts, including hiring lawyers and appearing in court, they finally won, but only received 1500 yuan in compensation and half a month of gold membership.

What can you eat with 1500 yuan? That's ridiculous.

And did it only infringe upon one viewer? No, it infringed upon countless viewers and violated contract law.

Unfortunately, the authorities did not investigate unless the people complained. Ordinary people do not have the time or inclination to go to court. So after winning the case, it took another year or two before the cancellation of advanced on-demand viewing was finally implemented.

If a similar incident happened in the United States, the final outcome would most likely be the same, except that there would be more compensation and fines.

After all, they are all major taxpayers. As long as you can pay a huge amount of taxes, you can enjoy exceptional treatment in most countries, except for bizarre countries like India.

However, the audience goodwill lost in the process cannot be recovered, and doing so in the early stages of a startup is tantamount to suicide.

This incident sparked widespread discussion within the industry, with people comparing overseas and domestic video websites to find out who was really exploiting consumers.

After data analysis and comparison, it was discovered that it was actually located in China.

For example, in 2021, the median disposable income of U.S. residents was $3885 per month.

The basic subscription fee for mainstream video platforms is around $7, which is about 0.2% of the monthly salary of a middle-income American, while the premium subscription fee is about $20, which is about 0.5% of the monthly salary.

In the same year, the median disposable income of residents was 2497 yuan per month.

The standard membership fee for mainstream video websites is around 25 yuan per month, which is 1% of the monthly salary of a middle-income citizen and five times that of the United States. The premium membership fee is around 45 yuan, which is 1.8% of the monthly salary and 3.6 times that of the United States.

Not only is the cost lower, but the service level is also good. It can cast to TV and has high-definition picture quality. Isn't that infuriating?

Bob Mayer stood up and handed the contract to his assistant, who carefully put it into his bag. This stack of papers was worth who knows how many billions.

"Let's go grab a bite. You left in such a rush last time. I found a nice place in Calgary."

Bob Mayer waved his hand and declined: "Let's do it another time. I know your filming schedule is tight, so I won't take up any more time. I'll invite you to a party when you get back to the US."

"So eager! Are you rushing back to prepare for filming?"

"Hahaha... I have to be responsible to the shareholders; they're still waiting for news."

"Alright then, in that case, I won't keep you. With the rights to 'The Hobbit,' New Line Cinema can gallop wildly down the path of fantasy epic blockbusters."

Upon hearing this, Bob Mayer abruptly stopped, and asked with interest, "Eric, in your view, what are the prospects for epic films?"

Eric answered without hesitation: "Very promising. Before The Lord of the Rings, I would have been skeptical, but The Lord of the Rings shattered all doubts."

"It turns out that as long as the story is told well enough, the audience is very willing to buy it, and you can also win a lot of Oscars. It's a perfect genre film that can combine commercial appeal with artistic merit."

This answer pleased Bob Mayer: "That's my view too. A big background, a big story, and a big production are what make a big box office success!"

"Bob, so besides 'The Hobbit,' is New Line Cinema planning to make other epic films?"

"I have this plan, but I need to keep it a secret."

Eric shook his head slightly: "Don't misunderstand, I have no interest in New Line's secrets. But since your company is focusing on epic movies, why not sell some of the less important IPs to MGM for development? Leaving them is a waste of resources."

"Huh? What do you mean?" Bob Mayer paused for a moment.

Eric held up three fingers: "New Line Cinema holds the rights to A Nightmare on Elm Street and Friday the 13th. I heard you guys got the rights to The Texas Chainsaw Massacre too."

"Then the only remaining copyright of the four major serial killers is 'Halloween.' If you don't have the energy to deal with it for the time being, you might as well leave it to me."

These few words suddenly reminded Bob Mayer that MGM had indeed changed its style and produced some horror and thriller films in the past year or so.

Moreover, these films were all successful, with almost none of them grossing less than $1 million.

The Saw series, in particular, is a super money-making machine, making viewers extremely envious.

Although the quantity is not large, the quality is really high, which shows that the other party understands the horror film market and knows what horror film lovers want.

Since the turn of the millennium, several classic serial killer IPs have actually lost their momentum. After all, they have been rampant for decades, and without anything new to offer, audiences have indeed grown tired of them.

Instead, horror films like "The Hills Have Eyes," "Wrong Turn," and "Chucky" have begun to challenge the old king's position.

Last year's "Freddy vs. Jason" received widespread acclaim from moviegoers and ultimately grossed $1.1 million at the box office.

However, the corresponding investment cost also soared to $3000 million, while the investment for this type of horror movie is usually less than $1000 million, so it didn't earn as much as one might imagine.

This high investment is the biggest constraint on the production of horror films, which is why, even after 20 years, fans have not seen a sequel to Freddy Krueger.

The idea flashed through Bob Mayer's mind, and he couldn't help but think that handing over the IP to MGM and using their resources to revitalize the big-name serial killers on screen was not something that could be considered.

His small eyes gleamed with a sharp light: "Eric, if New Line Cinema gives the rights to MGM, what are you planning to do?"

"A collaboration, of course, will be a collaboration-style collaboration."

"You know Bob, I really like these guys. They look so cool when they're chopping people up on the big screen."

"Especially last year's 'Freddy vs. Jason,' I even went to the cinema to support it. The crossover between these serial killers is just too captivating."

"But just Freddy and Jason isn't enough. I want to see more, and I think the audience wants to see more killer brawls."

"If New Line Cinema hands over its intellectual property to MGM, I will try to secure as many rights as possible and then make a crossover movie with the serial killer. That would be very interesting."

Bob Mayer shook his head: "Eric, I don't think much of your idea. If you're including too many characters, how will the screen time be distributed? Have you considered that?"

"Actually, when we were filming 'Freddy vs. Jason,' we also considered whether we could put Leatherface in it, but we ultimately decided against it because we couldn't find a suitable place for him in the movie."

"If we force it in, the effect will be poor, and it will offend the fans."

Eric pushed back his chair and stood up: "Bob, this is what I should be thinking about. As the youngest Best Screenwriter in history, you should have faith in me."

Bob Mayer shrugged. "Okay, I'll think about it."

After seeing the other person off, Nicole came out of the next room.

"Are you done talking?"

"Um"

"Another collaboration has been reached?"

Eric held her in his arms. These past few days, after filming, he took turns comforting the two girls, and he has become increasingly thin.

Ugh!

These days are so painful, none of my family members understand!

"We can only say that we've reached a half-term agreement. New Line isn't buying my promises, and of course, the other companies aren't buying them either; their choices are consistent."

Nicole extended her tongue, exploring Eric's body: "Hmm, they were just blind. I'll always be on your side, darling."

Eric chuckled coldly: "Bob Mayer's judgment isn't bad, but under his leadership, I don't think the new line will be successful for many more years."

"Why?" Nicole asked, somewhat taken aback.

"Because he fell into a misconception and made the same mistake that MGM made back then, which is to be obsessed with big investments and big productions."

"In the 1950s, MGM was revived by investing heavily in Ben-Hur, and from then on, it became convinced of this model and plunged into the abyss of a major studio."

"The Lord of the Rings is to New Line Cinema what Ben-Hur is to MGM. Bob Mayer has now been blinded and has also come to believe in this outdated model."

"MGM was much bigger than New Line back then, but it ended up being sold to Kerkorian. Let alone New Line, how many more years can it survive?"

"But didn't you give him the rights to 'The Hobbit'?"

"Yes, but The Hobbit alone can't carry a company like New Line Cinema. At most, it'll give Bob Mayer a year or two more to manage."

"If he ever manages to bankrupt the company, I wouldn't mind joining the acquisition frenzy. New Line's film library still has quite a few good films."

Following the original timeline's development, the new timeline ultimately collapsed under this pattern.

After "The Lord of the Rings", the company went downhill. Within a few years, almost all the films it invested in were box office flops, and the money it earned was not enough to cover the losses.

Finally, after the disastrous failure of "His Dark Materials: The Golden Compass" in 2007, New Line Cinema officially ceased operations and was acquired by Warner Bros.

It has only been three years since "The Lord of the Rings" swept the Oscars. In just three years, Bob Mayer has ruined a company with great potential. I don't know whether to praise him or criticize him.

Eric has seen "His Dark Materials: The Golden Compass" because Nicole Kidman is the lead actress, but she was criticized for her poor acting, saying she was not at all at the level of an Oscar-winning actress.

Combined with other factors, the film ultimately only grossed $70 million at the North American box office, a huge loss compared to its production cost of $180 million and its publicity cost of nearly $100 million.

The overseas box office was strong, grossing $3 million. However, New Line Cinema's overseas distribution was still constrained by large corporations, so Warner Bros. was in charge, and most of the overseas profits went into Warner Bros.' pockets.

As a result, the new line couldn't catch its breath.

died!

When that day comes, Eric will definitely add fuel to the fire. Even if Warner has shares in New Line, he could try to buy the shares held by Bob Mayer.

This old guy has always been able to maintain the independent operation of the new line by relying on his 21% stake, which is more than Warner's stake.

"Change him! Change him now!"

In the snow-capped peaks of the Rocky Mountains, Eric directs operations on set.

The main actors stepped down, and stunt performers took their place. The next scene to be filmed was the avalanche scene.

With the approval of the local government and calculations by relevant experts, the film crew had already buried a considerable amount of explosives on the mountaintop, which could create a small avalanche at a moment's notice.

This scene had been rehearsed many times, but it was still considered a very dangerous scene, and Bale did not dare to suggest performing it himself.

All non-essential crew members have been evacuated down the mountain, and the stunt performers are ready to give hand signals.

Eric stepped into a temporarily rented helicopter, where a camera was set up.

There are two more helicopters with the same configuration, since this scene can probably only be filmed once, so it is necessary to shoot this scene from multiple angles and positions.

After carefully checking everything and confirming it repeatedly, an order was issued.

"Inception, Scene 91, Action!"

boom!

After a loud bang, the mountains and forests seemed to shake.

The rolling white snow on the mountaintop transformed into a raging giant wave that crashed down!

(End of this chapter)