Warner Bros. Competition
Now Viewing Warner Bros.'s competition in: Motion Picture Production and Distribution
Recent Developments
Foreign Films Gaining Momentum - Foreign films that use subtitles fell out of favor and spent many years in declining popularity prior to 2000, aside from rare exceptions. However, industry experts note that subtitled films are becoming more numerous in theaters in 2008, in large part because of several successful foreign language films that have debuted since 2000. Experts say that a primary driver for the recent success is Americans' growing curiosity about all areas of the world following 9/11.
New Distribution Model Focuses on Independents - Independent filmmakers are increasingly using the Internet to get the word out about their films and raise money for refinements and wider distribution in the process. One popular site, IndieGoGo, allows aspiring directors to network with potential funding sources and industry experts. Alternative distribution methods via the Internet are also possible, as evidenced by the Sundance Film Festival's recent release of several films to online outlets, such as iTunes, for $1.99.
Studios Line Up for Apple Distribution - Almost every major motion picture studio is working with Apple to make their films available via the popular Internet outlet iTunes. The first studio to announce a deal was 20th Century FOX, but other studios, such as Paramount Pictures and Sony Pictures, are expected to follow FOX's lead. While it will take some time to build the library of available films, analysts expect the service to be available very quickly in the US, and internationally later in 2008.
Competitive Landscape
Consumer spending drives demand. The profitability of individual companies depends on creativity, marketing, and distribution. Large companies often have the advantages of long-term contracts with key actors and directors, a permanent staff of technical employees, and wide distribution networks. Small companies can compete successfully by creating marketable movies, often for niche audiences, on low budgets. Although production work is labor-intensive, the value of the product results in high average annual industry revenue of $300,000 per employee.
Full Industry Overview For Motion Picture Production and Distribution
Motion Picture Production and Distribution Industry Forecast
from Hoover's/D&B subsidiary First Research
The output of US motion pictures and videos is forecast to grow at an annual compounded rate of 5.2 percent between 2007 and 2012.
Motion Picture, Video Growth Uneven
First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.

First Research Opportunity Rating
The First Research Opportunity Rating is First Research's estimate of industry performance vs. industry risk over the next 12 to 24 months.

- Demand: Tied to consumer income
- High costs, uncertain revenue
- Risk: Slowing economy limits spending on non-essentials
Industries Where Warner Bros. Competes
- Media
- Film & Video
- Motion Picture Production & Distribution (primary)
- Film & Video
- Computer Software
- Leisure
- Entertainment


