Skip to main content

They're Not Movies, They're Content

Shelly Palmer describes why Hollywood's major studios are really in decline -- hint, it's not the consumer's fault. Palmer is currently the Chairman of The Advanced Media Committee (and 1st Vice President of the New York Chapter) of the National Academy of Television Arts & Sciences (NATAS) the organization that bestows the coveted Emmy Awards.

"Now, the industry is run by bankers and risk managers who are trying to maximize their investments. They don't make many films that interest me. I like films that tell stories, have beginnings, middles and endings and that take me someplace or that make me think. Hollywood refers to them as "little films." Little films are being made by independent filmmakers and the pundits say that those are the films that this year's Academy voters responded to. Maybe. It is also possible that no major studio made a blockbuster film worth watching this year. Was there one? Not a sequel, not a remake, something new and wonderful that captured the imagination and broke new ground... nope. Not this year.

As we enter the age of ubiquitous broadband video distribution, we will have more and more opportunities to watch content that we are individually interested in. Personalized video experiences are the natural evolution of our current technology. We have enjoyed personal music for decades; portable and personal video is not next, it's now.

The film industry can do as many commercials as it wants for the "big screen" experience. Home theaters, Video iPods, IP Video, DVDs, video-on-demand and other programming choices must be incorporated into Hollywood's business models if they are to prosper during this technological transition. Will they be able to make a profit creating and distributing "little" films? Can a blockbuster truly prosper in a file-sharing world?

Was this just a bad year creatively and part of the normal cycle of hits and flops, or is this year truly the portent of a downward trend? These are questions that smart movie executives should be asking themselves. The answer is not old clips and admonitions about the diminished value of movies on alternative platforms. Thinking small and asking people to look backwards to a simpler time just shines a very bright klieg light on tired old hands grasping at the past. Hey, Hollywood, they're not movies -- they're content!"

Popular posts from this blog

AI Supercycle: Server Market Growth Surge

The worldwide server market has entered a new phase defined almost entirely by artificial intelligence (AI) infrastructure economics rather than traditional enterprise refresh cycles.   The latest market data shows robust growth and a structural shift in where value is created, who captures it, and which architectures are setting the pace for the next decade. IDC reports that worldwide server revenue reached a record $112.4 billion in the third quarter of 2025, representing a striking 61 percent year-over-year increase compared to the same quarter in 2024. For context, this means the market is adding tens of billions of dollars in incremental quarterly spend, driven overwhelmingly by AI and accelerated computing requirements.  IT Server Market Development Over the first three quarters of 2025, server revenue has already reached $314.2 billion, meaning the market has nearly doubled in size compared to 2024, underscoring how AI buildouts have compressed several years of exp...