Showbiz Sandbox 430 – Taylor Swift Helps Fellow Artists With Her New Record Deal

When her current recording contract expired at Big Machine, Taylor Swift went looking for a new label. After a heated bidding war, Swift wound up at Universal Music landing a deal that allows her to retain control of her masters. Swift also demanded that if the label ever sold its share in Spotify that she get a cut. More importantly, she insisted on this for every single act in Universal’s roster.

This is especially notable because Swift is not a big player in music streaming, because she holds back her albums with a window to urge fans to purchase them instead. Unfortunately, the sales of physical albums, like vinyl LPs and CDs, is collapsing, causing many artists to get out of the habit of actually creating them. Instead, some big acts release a constant stream of singles, videos and live cuts since that’s how their fans listen to music these days.

Meanwhile the North American box office continues to chug along at 10% over last year’s tally, with a record breaking $12 billion in sight. That growth rate is keeping pace with the Chinese box office, which is up 11% this year, earning $8.1 billion thus far. Maybe the date for when China’s theatrical box office will surpass that of North America’s needs to be pushed back a year or two.

Of course we also cover the week’s top entertainment headlines including why pop stars may be headed to Broadway, how YouTube has begun showing blockbuster movies (with ads) and the winners of this year’s International Emmy Awards.

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Showbiz Sandbox 360: Can Spotify Come To Terms With Major Record Labels?

Even as Spotify has grown into the largest subscription streaming music service in the world, all of the company’s long-term licensing deals have expired and it has struggled to negotiate new ones that will help them lower costs and become a viable business. However new reports have emerged that Spotify may be close to reaching new licensing deals after agreeing to some strict terms from the labels.

Among these are marketing guarantees, the windowing of major releases and only placing full albums on the premium paid tier of their service. Spotify may have no choice but to accept the labels’ offer otherwise their much-anticipated IPO may fall apart once and for all.

Unlike Spotify, Netflix is a subscription streaming company that is at the top of its game and isn’t worried about squabbling with its content partners. Instead, the company has been busy altering its star rating system, restoring and lost Orson Welles film and bad-mouthing movie theaters.

Of course, we also cover the week’s top entertainment news stories including the opening of Disney’s live-action “Beauty and the Beast” sets box office records, the head of the MPAA goes M.I.A. at CinemaCon and Saturday Night Live makes plans for prime time segments. Read more

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Showbiz Sandbox 359: Entertainment Workers Put Faith In More Perfect Unions

Trade unions and guilds are not a new concept in the entertainment industry, yet they seem to be making headlines lately as more niche craftspeople elect to join them or have them negotiate their contracts. Last week the largest employer of Spanish-language performers in the U.S. voted to join SAG-AFTRA and the United Scenic Artists, which represents set designers on Broadway, was able to sign its first contract with the League of Off-Broadway Theatres & Producers.

One major reason for all this recent union activity is the growing number of entertainment industry workers whose pay falls below a living wage. When the star of a hit telenovela airing on an NBCUniversal network needs to hold a second job as an Uber driver, you know there must be a problem.

Meanwhile, the influx of financing into Hollywood coming from China may be coming to an end. The Chinese government has begun to restrict the outflow of capital from the country to stem what they deem “irrational” foreign investments while at the same time stabilizing local currency. This new regulatory oversight helped kill Wanda’s $1 billion deal for Dick Clark Productions.

Of course, we also cover the week’s top entertainment news stories including how a rapper made history by knocking himself off the top of the album charts with his next release, HBO heads to Latin America with original programming and why we’ll have to wait a little longer for those “Avatar” sequels.

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Showbiz Sandbox 320: Is Comcast the New Disney?

Comcast announced last week that it would acquire Dreamworks Animation for $3.8 billion, taking another step toward transforming themselves from a cable giant into a full fledged media conglomerate. Meg James, a corporate media reporter for the Los Angeles Times, join us to discuss how, though the deal may not have been anticipated, it makes a lot of sense for both companies.

The purchase is the most recent in a string of acquisitions that have closely mirrored the strategy Disney has executed over the past decade as they gobbled up companies such as Pixar, Marvel and Lucasfilm. Comcast has proven quite adept at turning undervalued assets such as NBCUniversal and Universal Studios theme parks into profitable entities.

Meanwhile, as the Tony Awards season officially kicks off, Broadway is suffering from what is being referred to as The Hamilton Effect. This is a condition in which you open a musical that blends hip-hop and history in a way that not only makes the show a cultural phenomenon, but the inevitable winner of this year’s much coveted Best Musical Tony.

Of course we also cover the week’s top entertainment news including the Daytime Emmy winners, why Fox is pulling out of this year’s Comic-Con convention and how French law enforcement is preparing for the Cannes Film Festival.

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Showbiz Sandbox 194: Tony Awards Prove Broadway Knows How To Put On A Show

Once again actor Neil Patrick Harris proved he knows how to host an awards show with a dazzling turn as master of ceremonies at this year’s Tony Awards last Sunday. The ceremony provided its share of surprises and dramatic speeches from the likes of Cicely Tyson and pop-star Cyndi Lauper as “Kinky Boots” walked off with six Tonys including Best Musical. Though the telecast may have been poorly directed, it was filled with a mixed bag of performances from this season’s top Broadway shows.

For Broadway play or musical, a Tony can provide a huge boost at the box office, though it’s no guarantee. There has never been a magic formula for investing in the arts which is something JP Morgan and its partners should have looked into before loaning Paramount Pictures a load of cash to finance movies. Now everyone is suing each other after the bank discovered their Hollywood investments weren’t as risk free as they had initially thought.

That kind of inside news is usually reported by the likes of Nikki Finke over at her Deadline Hollywood blog. However, if a scoop from a competing online news source is correct, Finke’s days at Deadline may be numbered. Has Finke’s conentious reputation finally caught up with her, or will a crosstown rival need to eat some crow?

Of course we also cover the week’s top entertainment news including Amazon’s European tax problems, Disney’s digital distribution plans, and the possibly illegal limitations of Microsoft’s new Xbox.

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Showbiz Sandbox 98: Why New Distribution Models Terrify Hollywood

Movie studios, television networks and record labels still haven’t updated their business models to account for video and music streaming services like Netflix and Spotify. Now companies such as Amazon, Google and Apple plan on introducing a whole new group of media subscription services. With premium video-on-demand on the horizon it’s no surprise the entertainment industry is concerned about all these disruptive distribution methods.

One of the biggest players in the current content licensing wars has been Netflix. Showtime and Starz began pulling shows from the video rental giant, while Fox and Paramount offered up popular series and hit movies. Cable operators have also entered the fray by allowing viewers to watch live television on mobile device apps.

The creator of “Mad Men” was embroiled in his own fight with AMC and Lionsgate over the future of the series. In the end, Matthew Weiner was able to reach an agreement on a new contract, though new episodes won’t air until 2012.

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