The Film Industry’s Future
The Locarno Film Festival recently hosted a panel discussion entitled "Embracing Risk," where industry professionals shared their thoughts on the current state of the film industry. Stuart Ford, a prominent figure in the industry, emphasized the need for film distributors in Europe to "uncover their risk capacity" and encouraged the US sales community to start buying again.
The Impact of Streamers
Ford praised streamers for their active role in film and television but criticized them for lowering the industry’s standards when it comes to paying for film releases. He argued that streamers have been dictating the terms of rights and licenses, affecting the entire ecosystem. Ford believes that this trend will change as the streamers’ business models evolve.
The Need for Support
Ford also emphasized the importance of supporting the sales community, citing the significant investment that goes into creating global awareness for theatrical films. He warned that streamers should not "kill the golden goose" by throttling the sales community. Ford predicted that the US sales sector will transform into a new phase, where pre-buying films will become a prominent feature of many companies’ business models.
Distribution and Exhibition Challenges
Tricia Tuttle, the director of the Berlinale Festival, highlighted the difficulties faced by films in securing cinema distribution. She suggested that European public investments should be used more "intelligently" to support sales and exhibition, as 95% of films programmed at festivals struggle to reach an audience. Tuttle emphasized that it makes no sense to produce films if people cannot see or find them.
Private Financing
Ed Guiney, co-founder of Element Pictures, compared the film industry in the US to Europe in terms of private financing. He noted that the US has a "very active private equity market," which brings a lot of money to the industry. In contrast, Europe lacks a similar network, making it difficult for investors to find their way into the film industry. Guiney also spoke about the challenge of financing ambitious, large-budget films in Europe, which often forces European filmmakers to seek financing in the US.
The Future of the Industry
Ford acknowledged that the US has a surplus of developed projects, with 143 new projects distributed to international buyers in Cannes this year. He believed that this surplus will lead to a more streamlined and healthy industry. Guiney, on the other hand, emphasized the importance of cleaning up the development process to become more independent and less dependent on American financing. As the film industry continues to evolve, it is clear that support for distribution, exhibition, and private financing will be crucial in shaping its future.
