Thursday, October 30, 2008

Who Will Create the 3-D TV Home Standard?

http://www.rollanet.org/~vbeydler/van/3dreview/3dr0708.htm

 

Consider television's evolution. Since it was introduced more than 60 years ago, the picture has gained color, the screen got bigger, the image sharper and the box thinner. Surround sound has made TV more like a movie experience, too. TV has come pretty close to imitating the movie theatre, but what's next? "3-D," say the founders of Sensio Technologies Inc.

 

In Sensio's lab, you can sit on a plush leather chair, put on a pair of oversized glasses and fight the urge to catch apples lobbed by computer-animated monkeys. 3-D filmed performers in a circus act look like miniature people bouncing on a floating ring.

 

"It reminds people of The Indian in the Cupboard," said Richard LaBerge, Sensio's executive vice-president, referring to the movie about a boy who finds finger-sized people living in his cupboard.

 

Bringing this experience to the home has always been the goal of LaBerge and CEO Nicholas Routhier. Now that Hollywood is trying to lure dwindling audiences back to theatres with 3-D, some big electronic makers tapping Sensio for the home-theatre version.

 

"We want to be the Dolby of 3-D," said LaBerge. "We want our technology to become the standard in 3-D home-theatre equipment." Sensio debuted commercially in 2003 with a set-top box for high-end home projectors, but the price at $3,000 for the basic setup sold only a few hundred units worldwide.

 

Putitng their technology pre-installed in high-definition TVs by major manufacturers is the real goal.

 

The home market is poised for growth with the release of rear-projection televisions that are 3-D-ready.

 

"Major retailers will start some test-marketing programs to see how they'll market all this stuff," Chinock said.

 

Sensio is working with 2-D-to-3-D conversion wizards at Kerner Optical Research and Development Corp. to make 3-D LCD televisions. Electronics maker JVC is testing Sensio's 3-D chips in its televisions in anticipation of future viewing technology.

 

Studios like Disney and Universal have rolled out DVDs with their encoding technology.

 

Titanic director James Cameron already has one 3-D release under his belt, 2003's Ghosts of the Abyss, and is working on a 3-D film for a 2009 release and planning more.

 

"Cameron said to us 'As you guys get better, get ready for me,'" said LaBerge.

 

Will Sensio be the home standard. Not necessarily. Rival company DDD Group Plc is also working on a home theatre standard. Like Betamax vs. VHS, a clash of standards may be on the horizon and the winner far from certain.

 

"It will take a fair amount of luck, good business practices and good technology to become the standard bearer," said Chinock. "3-D has existed for decades, and it's catching on again because the technology is mature enough to simplify filming in three dimensions."

 

In the early days, with polarized 3-D glasses, theatres needed two projectors, one for the right eye and another for the left. The projectors needed to be perfectly synchronized, or moviegoers went home with headaches from eye strain. Anaglyphic 3-D using red and blue glasses became a cliche for cheesy 3-D.

 

"We have to kill that cheesy 3-D notion," LaBerge said. "In solving the headache problem we now have to show it can be done at home."

 

Sensio's new technology fuses the two stereoscopic images into a single transmission and onto one projector. Special glasses then bring the blurry picture onto the eyes, making a flat screen appear as though it has depth.

Blu-ray is dead - heckuva job, Sony!

October 28th, 2008

 

Posted by Robin Harris @ 12:31 pm

 

Blu-ray is in a death spiral. 12 months from now Blu-ray will be a videophile niche, not a mass market product.

 

With only a 4% share of US movie disc sales and HD download capability arriving, the Blu-ray disc Association (BDA) is still smoking dope. Even $150 Blu-ray players won’t save it.

 

16 months ago I called the HD war for Blu-ray. My bad. Who dreamed they could both lose?

 

Snatching defeat from the jaws of victory

Delusional Sony exec Rick Clancy needs to put the crack pipe down and really look at the market dynamics.

 

In a nutshell: consumers drive the market and they don’t care about Blu-ray’s theoretical advantages. Especially during a world-wide recession.

 

Remember Betamax? SACD? Minidisk? Laser Disk? DVD-Audio? There are more losers than winners in consumer storage formats.

 

It’s all about volume. 8 months after Toshiba threw in the towel, Blu-ray still doesn’t have it.

 

The Blu-ray Disc Association doesn’t get it

$150 Blu-ray disc players are a good start, but it won’t take Blu-ray over the finish line. The BDA is stuck in the past with a flawed five-year-old strategy.

 

The original game plan

Two things killed the original strategy. First the fight with HD DVD stalled the industry for two years. Initial enthusiasm for high definition video on disk was squandered.

 

Second, the advent of low cost up-sampling DVD players dramatically cut the video quality advantage of Blu-ray DVDs. Suddenly, for $100, your average consumer can put good video on their HDTV using standard DVDs. When Blu-ray got started no one dreamed this would happen.

 

Piggies at the trough

The Blu-ray Disc Association hoped for a massive cash bonanza as millions of consumers discovered that standard DVDs looked awful on HDTV. To cash in they loaded Blu-ray licenses with costly fees. Blu-ray doesn’t just suck for consumers: small producers can’t afford it either.

 

According to Digital Content Producer Blu-ray doesn’t cut it for business:

 

Recordable discs don’t play reliably across the range of Blu-ray players - so you can’t do low-volume runs yourself.

Service bureau reproduction runs $20 per single layer disc in quantities of 300 or less.

Hollywood style printed/replicated Blu-ray discs are considerably cheaper once you reach the thousand unit quantity: just $3.50 per disc.

High-quality authoring programs like Sony Blu-print or Sonic Solutions Scenarist cost $40,000.

The Advanced Access Content System - the already hacked DRM - has a one-time fee of $3000 plus a per project cost of almost $1600 plus $.04 per disk. And who defines “project?”

Then the Blu-ray disc Association charges another $3000 annually to use their very exclusive - on 4% of all video disks! - logo.

That’s why you don’t see quirky indie flicks on Blu-ray. Small producers can’t afford it - even though they shoot in HDV and HD.

 

The Storage Bits take

Don’t expect Steve Jobs to budge from his “bag of hurt” understatement. Or Final Cut Studio support for Blu-ray. I suspect that Jobs is using his Hollywood clout from his board seat on Disney and his control of iTunes to try to talk sense to the BDA.

 

But the BDA won’t budge. They, like so much of Hollywood, are stuck in the past.

 

A forward looking strategy would include:

 

Recognition that consumers don’t need Blu-ray. It is a nice-to-have and must be priced accordingly.

Accept the money spent on Blu-ray is gone and will never earn back the investment. Then you can begin thinking clearly about how to maximize Blu-ray penetration.

The average consumer will probably pay $50 more for a Blu-ray player that is competitive with the average up-sampling DVD player. Most of the current Blu-ray players are junk: slow, feature-poor and way over-priced.

Disk price margins can’t be higher than DVDs and probably should be less. The question the studios need to ask is: “do we want to be selling disks in 5 years?” No? Then keep it up. Turn distribution over to your very good friends at Comcast, Apple and Time Warner. You’ll be like Procter & Gamble paying Safeway to stock your products.

Fire all the market research firms telling you how great it is going to be. They are playing you. Your #1 goal: market share. High volume is your only chance to earn your way out of this mess and keep some control of your distribution.

Time is short. Timid incrementalism will kill you.

 

Like Agent Smith delivering the bad news to a complacent cop: “No, Lieutenant, your men are already dead.”

Digital-delivery standard in sight - Would make B2B distribution more efficient

http://www.hollywoodreporter.com/hr/content_display/news/e3i115e62221758227422091936f0f56ed1

 

By Carolyn Giardina

Oct 30, 2008, 01:00 AM ET

The Hollywood studios are taking the first steps in a process that could lead to an industry standard for master digital files used to send entertainment content to broadcasters, Internet sites and mobile service providers.

While the studios already have adopted a new standard -- the Digital Cinema Initiatives' DCI specifications -- that will be used to send movie files to theaters, there is no standard for the digital entertainment distributed to other platforms.

Another potential standard is being discussed, working under the umbrella of the nonprofit Entertainment Technology Center@USC. A digital video package, or DVP, as some have begun to refer to the proposed standard, could have a massive impact by generating efficiencies across the entertainment industry. It would not affect consumers but would be used in B2B settings where content providers such as studios and networks transmit their fare to content distributors including broadcasters and Web sites.

The ETC@USC held its first meeting with its studio members Disney, Fox, Paramount, Sony and Warner Bros. on Monday, behind the scenes at the Society of Motion Picture and Television Engineers Technical Conference and Exhibition in Hollywood. The parties discussed the potential for working together on a technical specification for such a format.

On Wednesday at the SMPTE confab, Walt Disney Studios proposed that the industry adopt a DVP standard.

"Presently, (studios) are being asked to deliver to content delivery systems in many different versions as well as many different file formats," Disney vp production technology Howard Lukk said during his address. "Because of this, it is expanding our inventory of content that we have to keep, creating asset-management issues and storage problems. It would simplify things if we could have a core industry standard."

He added that such a standard also could be used as a blueprint for equipment manufacturers that are building hardware for the entertainment industry.

"Everybody is trying to figure out how to deal with this issue," said David Wertheimer, CEO and executive director of ETC@USC. "One thing that is really clear is that we think it is imperative that as we embark on the effort, we need to have a lot of input from all stakeholders in the community. If we can get together and streamline these issues for multiple players, everybody wins."

Although no timetable has been set, further discussions are expected in the near future. It's anticipated that the process could mirror that which led to the DCI specification, with the studios making recommendations that SMPTE would formally put in place.

 

Wednesday, October 29, 2008

SONY UNVEILS LATEST GENERATION OF 4K SXRD PROJECTORS

http://news.sel.sony.com/en/press_room/b2b/broadcast_production/display_systems/release/37929.html

 

 New T-Series Delivers Ultra-High Resolution with Enhanced Contrast, Brightness, and Greater Flexibility

 

 

PARK RIDGE, N.J., Oct. 20, 2008 – Sony is expanding its line of 4K SXRD® projectors with two new models designed to deliver enhanced contrast, higher brightness and more flexibility for commercial applications such as simulation, high-end post-production, auditorium/lecture hall presentations and more.

 

            The new T-Series includes the SRX-T110 and SRX-T105, with both new models offering many design elements from their successful SXRD predecessors – the S-Series – including the same 4096 x 2160 resolution. However, the new projectors offer an enhanced contrast ratio of 2,500:1 and higher brightness, 11,000 and 5,500 lumens respectively, thanks to a refined optical block design.

 

            The projectors feature improvements in performance, interface capability, control software and installation capabilities – all without sacrificing the resolution, fill factor, response speed, and other characteristics which has earned SXRD technology critical acclaim.

 

            “There’s a growing need in commercial applications for projectors to have the ability to deliver images at ultra-high resolution while at the same time featuring both the reliability and capability to meet the requirements posed by those specialized applications,” said Andre Floyd, marketing manager for SXRD systems at Sony Electronics. “The new enhancements we’ve made to these fourth-generation projectors are based directly on feedback we have received from the market.”

 

Additional Performance Features

 

Both models offer support for Adobe RGB color space(with 95 percent coverage of the color gamut), and a wider selection of color spaces, including ITU-R T.709, DCDM (for Digital Cinema Initiative compliance) and sRGB (standard RGB).

 

            Additional flexibility has been designed into the Gamma settings in the T-series.  A user-defined register is available in addition to 2.2 and 2.6 presets, where the user can set values from 1.8 to 2.59 in steps of 0.01.

 

With the use of a pre-installed but removable interface board, LKRI-005, the projectors are DVI-enabled with High Bandwidth Digital Content Protection (HDCP), allowing compatibility with PlayStation3 systems and Blu-ray Disc™ players, and other digital high-definition devices.  This board, designed specifically for use with the new T-series models, also provides support for 1080/50P, 720/60P and 720/50P content.

 

Installation Flexibility

 

            New software allows for control of up to four projectors over ethernet from a single PC, which is ideal for multi-projector applications such as dual-projector stereoscopic presentations with 8.8 million pixels per eye or multi-projector training simulators.

 

            For installations where rigging is required, dedicated suspension points have been added to the chassis.  Baffling has been added to vents on the projector for installations in light-sensitive environments such as planetariums or in rear-screen configurations. The new models can be tilted as much as 90 degrees, up or down, allowing simpler installation when projection is required on horizontal surfaces, and they allow for independent horizontal and vertical image flip capabilities to support the new mounting options.

 

            An improved “intelligent” cooling system has been developed for the T-series resulting in a noise decrease of between 5-7 dB versus previous versions, and using the optional LKRA-001 exhaust adapter, noise can be reduced by an additional 2 dB.

 

SXRD 4K Legacy

 

            As with many of Sony’s product lines, the SXRD family provides for continued compatibility with existing accessories.  All current peripherals for the SRX-R110/R105/S110/S105 remain compatible with the SRX-T110/T105 models.  Lamps and lamp-houses remain the same even as the new models provide improved contrast and brightness.   Anyone interested in upgrading their current Sony 4K projector by purchasing a new T-series model can continue to use the lenses and input cards they already have.

 

            With a 92 percent fill ratio and a minuscule inter-pixel gap (0.35 microns), the 4K projectors display incredibly realistic and immersive images, even when projecting content which has a resolution lower than 4K, such as high-definition video.

 

The SXRD projector’s 4K resolution is derived from its 4096 by 2160 pixel matrix, providing over 8.8 million pixels, and allowing it to deliver more than four times the resolution of today’s high-definition televisions. Sony’s 4K technology is used worldwide for a range of commercial applications such as computer visualization, planetarium and museum exhibition, command and control, simulation, scientific research, education, and defense, as well as for digital cinema.

 

Interview with Nicholas Routhier, SENSIO's President & CEO

http://fullres.blogspot.com/2008/10/interview-with-nicholas-routhier.html

Could you please describe the business of SENSIO?
SENSIO is a company which develops and markets stereoscopic (3D) content distribution technologies. SENSIO®3D is our flagship technology and is basically a codec which allows the distribution and formatting of 3D content to fit any 3D display. It is used for distribution of 3D content through DVD, Blu-ray, broadcast and very soon for live 3D events in 3D theatres.

SENSIO has also built one of the world’s largest 3D movie libraries for the home entertainment market featuring major Hollywood studios titles such as Spy Kids 3D Game Over from Walt Disney and Jaws 3D from Universal, as well as large format 3D films shown in Imax theatres such as the acclaimed Bugs! In 3D: A Rainforest Adventure.

What markets are you targeting?
We are targeting two different markets: home theatre and digital cinema.

SENSIO’s objective is to become the 3D home video standard and we are working closely with manufacturers to integrate our technology in consumer products, such as 3DTVs, players, etc. To support this effort, we work in close collaboration with studios to have their 3D content encoded in SENSIO®3D.

On the digital cinema market, we developed a Live 3D technology, which allows live 3D events broadcasting, like concerts or sporting events, to digital theatres. For example, viewers will one day be able to watch the Super Bowl live in 3D in their local theater! People will experience the game just as if they were in the actual audience. The action being much closer, the experience will be even better because everyone in a theatre will have front row seats!

What is the SENSIO 3D technology exactly, how does it work?
Our technology is a codec that allows the distribution of 3D content through conventional 2D infrastructure.

Basically, it is a 3 steps process.

First, we encode 3D content (2 streams: left eye/right eye) in our format to compress it. Once the file has been reduced to a standard 2D file size (2:1 stereoscopic compression), it can be distributed over the conventional 2D infrastructure (DVD, Blu-ray, single channel for broadcast). Secondly, the content is decompressed into two separate streams by our decoding technology embedded in any 3D displays (plasma, LCD, DLP, autostereoscopic, etc.). The third and last step is the formatting which takes the two steams and combines them in the 3D mode used by the display. There are over 20 such modes currently in the market and SENSIO can support them all.

SENSIO®3D technology is the spatial compression technology which boasts the highest fidelity to the original picture and is visually lossless.

Are you providing a software or a hardware implementation of your 3D codec?
We are integrating our IP code into manufacturer's devices, via FPGA and custom chip designs or ASIC designs. We are also working on a software (PC based) decoder.

Are you selling your products direcly to end-users or do you prefer to partner with third-party integrators?
We are selling our technology to manufacturers and not directly to consumers since we want to be embedded into existing devices.

Few years ago, we produced and sold the S3D-100 processor, a consumer product allowing people to watch 3D movies at home. This served as a proof of concept for our technology. Now, we are following the integration path.

We hear about a lot of initiatives from a various organizations to standardize a common 3D codec (SMPTE, ETC, CEA, 3D@Home, etc.). Is SENSIO involved in these working groups?
SENSIO is involved in different standardization committees. We are part of the SMPTE working group for the 3D distribution formats’ standardization. We are also part of the Blu-ray Disc Association as well as members and co-founders of the 3D@Home Consortium. Finally, we presented a proposal, following a request from the DVD Forum, for SENSIO®3D technology’s standardization in the DVD format. It is important for us to be involved in those committees to participate in this new industry's growth and development.

Do you think there will be a common 3D codec for all the consumer markets (Blu-ray, VoD, 3D Mobile TV, etc.)?
A 3D format has to be adopted the same way a high definition format has been chosen. The format war between Blu-ray and HD DVD had a major impact on the consumer's HD adoption; it caused confusion and slowed down the market penetration. The same thing will happen with 3D if the industry does not choose a standard. It might get even more confusing... imagine if a movie has its 2D version, its SENSIO®3D version, its other 3D format version, etc; this would be confusing for consumers and expensive for studios and manufacturers.

What are the main advantages of SENSIO technology compared to other available solutions (DDD, TDVCodec, Philips, etc.)?
Our technology offers major advantages for industry players; it presents high 2D and 3D quality playback, no synchronization issues of any kind between the two streams, it is compatible with all other video codecs, is 3D displays agnostic and requires no additional bandwidth. Finally, it is a simple and consumer-like solution which implies low implementation costs since we are re-using the existing infrastructure. By adding extra information in separate channels, other formats prevent the existing equipments in people’s homes to receive and present movies in 3D thus requiring a change in the current infrastructure. This is not acceptable in these early days of consumer 3D.

Is SENSIO providing any real-time 2D to 3D conversion?
Along with its 3D technology, SENSIO is offering JVC's real time 2D to 3D conversion technology. With this feature, we are really offering a complete solution to manufacturers and consumers. Until studios release their movies for home theater in 3D, this conversion technology provides infinite content to viewers until even more high quality 3D content is made available.

How does is work exactly?
Since it's not one of our technologies, we cannot reveal how the algorithm is working.

Are the results really convincing?
The general result is very good. It works best with landscapes or vivid colors, and the quality remains impressive. Even if native 3D content is offering a higher quality, the conversion still gives people a natural depth experience which truly adds value.

Tell us about your partnership with International Datacasting and AccessIT for live 3D alternative content.
International Datacasting Corporation and SENSIO developed CineLive, an exclusive product for Access Integrated Technologies Inc. (AccessIT). This product allows live 2D and 3D events broadcasting to digital theatres. SENSIO is supplying its Live 3D cinema decoding technology used for live 3D broadcast. A first deployment is currently happening in 50 theatres located in major US cities and AccessIT wants to continue deploying in 150 theaters by the end of 2008.

We are very proud of this partnership and SENSIO is the only company on the market to have its live 3D technology deployed in digital theatres!

There are a lot of 3D display technologies (DLP 3D, LaserTV, micro-polarisation, Plasma, etc.). What are your favorite ones?
Since SENSIO’s technology can feed all 3D displays on the market, we do not have any favorite one. Nevertheless, it is our general belief that glasses based systems will be the prevalent type of 3DTVs for the next few years, that is until autostereoscopic displays reach a level of performance which will be acceptable to the consumer market.

 

HD EXPO Asks: Vince Pace

http://www.hdexpo.net/editorial/editorial_ASK_1008.html

by Christine Purse

Vince Pace has been fundamentally involved with 3D technology since the beginning of the resurgence of the art form. His credits include most of the major projects which have unfolded so far, including the blockbuster 3D movie “Hannah Montana/Miley Cyrus,” “Journey to the Center of the Earth,” and the highly anticipated “Avatar”, with more to come. Vince has participated in some of the most dynamic 3D sports presentations seen to date.  We met during a tour of PACE’s Burbank headquarters and mobile 3D production and post production trucks.

HDE: You’ve always been at the edge of the curve in your extraordinarily varied career as cinematographer, underwater expert, entrepreneur, and innovator.  How did you get here?

VINCE: Most people know me from the underwater days where I built a business servicing the documentary and feature film world with lights and cameras. I worked hard to build that business and was proud of the products we designed. At its height, we had serviced “Titanic” and our inventory contained more than sixty underwater camera housings and fifteen hundred underwater lights. I had designed specialty lights used in Disney Theme Parks around the world including explosion proof units for Tokyo Disney Sea. Pace Technologies was the key equipment supplier for “Blue Planet” and I also trained the camera operators. I had ventured to the sites of the Titanic, but was never offered the opportunity to go down; my name was never that high on the list.

Everything changed with one conversation with James Cameron. I had worked with him since “The Abyss,” but during one particular conversation he described his vision of the Holy Grail camera, a camera that could shoot 3D as easily and as transparently to production as a 2D camera. A camera specifically designed to enhance the creative artist’s ability to tell a story; the world where Jim lives as one of the best storytellers of our time. I was one of the lucky few that heard the plan for “Titanic” from him as he told the story early on. I knew the film would be a success the minute I heard it, and I was equally hooked on this Holy Grail camera when I heard it.  He asked me if I wanted to go into a new venture, 50-50, to build a camera. I agreed, we shook hands and the world of PACE Technologies was left behind and PACE began what has become a revolution in entertainment.

In retrospect, I should have realized I was shaking hands with the director of “Titanic.” But throughout it all, PACE held up to its end of the bargain and Jim held up his. How ironic it was that after hanging up my facemask and snorkel years earlier, our first adventure with the 3D camera would be to the deck of Titanic 2.5 miles down.

Another irony is that after giving up so much of a business that I truly loved, I find myself accomplishing every underwater goal I ever had. I guess when you follow one dream - it doesn’t preclude the others that led to where you are today.

HDE: You were enjoying a successful career before 3D, even before HD.  You have been involved from the early stages of these incredibly important technical changes. What put you at the head of the curve?

VINCE: I was introduced to underwater optics at the age of ten and it was very exciting to me to be surrounded by cinematographers who were taking pictures in a world very few people got to explore. My interest was also piqued early on by the dual artistic and technical challenges. From then on, photography and cinematography have been a part of my life.

I built many underwater housings growing up, but I really started to learn the art of cinematography working for acclaimed underwater cinematographer, Al Giddings. I had earned my stripes in the underwater world, but when he secured a project called “In Celebrations of Trees” for Discovery, it was my opportunity to go beyond the constraints of water and understand light and shadows in a dry environment. I made a deal with Al that I would work for free if he answered all my questions during the shoot. I just wanted to know the reason for everything he did creatively. He agreed (who wouldn’t?) and we worked side by side for almost two years. It was a unique opportunity since the subject did not move, dance, fly, or create some sort of spectacle. You were immensely challenged by the natural foundation of composition and lighting. Al has an incredible eye and sense of nature and he is a great storyteller. Even if he didn’t know the answer to my question, he would make up a great story to fill the void. Eventually, he asked how much I wanted to get paid. It was a sign that he was beginning to feel that paying me would gain him some peace on the project. Towards the end of the project, I was paid and my questions started to turn into actions as he let me from time to time shoot on the project.

HDE: Did underwater photography lead you to the spot where you are today?

VINCE: Without a doubt, yes.  There is a picture in my office of me at ten years old machining a part for an underwater still camera housing. My dad worked on the housings for The Deep and other underwater films and I knew at the age of ten the ability to build your own kit and then use it to create images was a path I wanted to take. Little did I know that the desire would be fulfilled bringing back some of the most challenging images in 3D at depths over three miles deep.

HDE: How did PACE get started?

VINCE: When Jim Cameron and I got together to discuss working on a 3D camera, PACE - the company and team that I’d built over the years - was already successful. PACE is a collective of talents under one roof. Some people compare us to Panavision, others still think of PACE as the underwater go-to place, but neither are accurate assessments. The core foundation of PACE is two individuals, Patrick Campbell and myself. Patrick has a Masters Degree from Stanford and I have been building specialty equipment and shooting images since the age of ten. That combination has grown into a team of people who collectively work together to innovate the world of entertainment.   As the company has grown over the years, we have been fortunate enough to work on many 3D projects, but also many 2D projects as well. “Crank,” “Speed Racer,” “Game,” and “Public Enemy” were PACE supported projects.

HDE: How do you think that 3D will affect cinematographers and other members of the crew?

VINCE: This is an exciting time for all of us, and there is a real opportunity to add new and creative tools to cinematographer’s creations. 3D forces you to be at the top of your game in 2D before venturing out to embrace the extra level of creativity in 3D.  In animation, 3D experts are needed to define a direction for the infinitely variable pallet they have.

In live action, 3D must transition to the cinematographer as an additional tool, and the crew must be allowed to embrace the medium as well. In my book, if someone shows up on set with a white coat and a 3D patch on it, shoot him. That doesn’t inspire creativity. The act of 3D is VERY rooted in 2D. If you have a creative cinematographer and an experienced crew, you have the right ingredients to migrate to 3D. Now remember, the migration should stampede and trample the guy who says he knows it all in 3D. This is the new 3D remember?

Let’s define the path by what we see, not what we say. The complement of digital and 3D is witnessed in capture and exhibition. Embrace it and any good artist can navigate the waters of 3D.

HDE: How do you see the fundamental process changing?  

VINCE: I think that there will be a merger that takes the conversion process and live action process and finds a happy medium. Neither is a cure all for 3D production. The best approach is to try and identify shots in a project that are best served by live action capture, and which ones, due to difficulty, are best suited for conversion from 2D. Live action, although some would argue there is a loss of control or the equipment costs are higher, is a natural form of 3D capture where everything is shot in its right place. Computers live and breathe in a 3D world and the assets generated go far beyond the limitations of a live action shot. I honestly believe that we will see both areas of development improve to the where you will shoot 3D as quickly and as seamlessly as you currently do 2D. The only difference is the cost involved will incrementally increase to roughly fifteen percent.

HDE: How will this creative crew catch up and learn?

Vince: I hope PACE can play a leadership role in making that happen. With almost forty cameras in 3D and editorial and post solutions in house, we are very aware that the industry needs to learn what the tools are capable of. PACE has lead the charge in capturing significant events in 3D from the U23D project, through live NBA All Star and Finals, to major motion pictures. It is now extremely important to educate the industry and dispel some of incorrect assumptions about the equipment and the process. There are a lot of misconceptions in the 3D community regarding number of cameras, whose camera does what function, why one function is better than the other, etc. I think I’m known as a  “put up or shut up” person who doesn’t get caught up with the brochure of the month.  PACE and I have been fortunate enough to be called upon to deliver both personally and corporately on many of the game-changing 3D projects in the last eight years.

3D will be driven to the next level by the same artists and crew that are currently contributing to great 2D films. It won’t be created by people who think that the time for 3D has finally come. Until now, PACE has kept a tight hold on its innovations and technology and that philosophy allowed us to build an infrastructure that works. But now it’s time to open it up to the people who want to make the transition. It’s exciting for me to do that, because they will bring the ideas and questions that will take 3D to the next level it needs to get to.

HDE: How does 3D production become the standard in production, and not a niche market?

Vince: There is a risk that the market goes too quickly and terms like “commercially acceptable” are used as guidelines. Every project we undertake triggers more development and improvement. Beware of the “brochure selling” of 3D where magical solutions to every challenge are offered. The rollout of 3D needs to blow people away. Anything less, such as “commercially acceptable” is a cop out for 3D and will forever keep it in the niche market. If the medium for 3D is not quite commercially ready, we must have the strength to say so and wait until development catches up with quality. Amortization of the added 3D cost must be realized over a platform that maintains an immersive experience. If the delivery method fails to immerse the viewer, we are forcing 3D back in time.

HDE: Can you talk at all about the film projects you are involved in at the moment or the recent past with James Cameron? (“Avatar,” “The Dive”)

Vince: I continue to work with Jim on “Avatar” (I think I still am on his good side.) I have been fortunate to be included in the inner circle where you sign a blood oath to withhold any details. I was there during the grueling days of “Titanic”. I was also with Jim eight years ago when the mere mention of doing a project in 3D was considered an indication you were close to falling off the deep end professionally.

But, all joking aside, the greatest strength of “Avatar” is the story. I honestly wish that Jim would crank out project after project as a director but the simple fact is he knows how important the story is to a film and instead of taking the easy road, shooting in 3D, he will turn this into a blockbuster.  Jim is working harder than I have ever seen him work to make this film work on the most important level, the story. When you see it, it will be unlike any other theatrical experience you’ve seen before.

HDE: What are the most exciting things that you think are headed towards the audience?

Vince: A number of theatrical releases are coming down the pipeline in 3D. The new animation products are only getting better and more immersive and they are ahead of the curve in 3D. I had a great time working with David Ellis, Glen McPherson and the crew for “Final Destination IV.” I believe that viewers will take notice of the difference in watching something in 3D compared to the 2D experience. “Avatar”, ”Monsters and Aliens,” “Jonas Brothers,” “Final Destination IV,” need I say more?

HDE: What do you consider the greatest hurdles are in the adoption of 3D?

Vince: Maintaining an entertainment level that keeps the viewer engaged. If we fail to do that for whatever reason, we might not have the chance to convince the viewer there is a difference in the new 3D presentation once again.

HDE: How about 3D for the home?

Vince: This is coming faster than expected. Although some of the earlier television sets released for the home are targeting the gaming community, I have seen positive progress in the last year with sets more designed for feature based home entertainment.

HDEAre there certain types of projects that are well suited to 3D, and some that are not?

Vince:
This is the glass ceiling of 3D that must be broken. A good 2D product is the only requirement for a good 3D product. People get so caught up in the thinking that 3D must have a 3D need. Remember, we witness life in 3D. Do we ever want to witness life by covering one eye? I consider that a myth to be broken. Entertainment should follow the same track as the human experience and the technology must make the bridge to immerse the viewer into a real life experience.

HDE: Do you think that more and more projects will be shot in 3D, even if there is not a 3D delivery?  

Vince: There is a trend to start future-proofing a project shot in live action 3D. With the potential for home delivery changing in the next five years to 3D, putting away a 3D home copy could be a chance to reap future benefits from the project.

HDE: Why is the Hannah Montana project a great 3D “success” story?

Vince: A lot of credit goes to the folks at Disney for strategizing the Hannah project so well. There was a notion that it was a project developed in reaction to her success. But, in fact, discussions were being conducted a year prior based on our live feed for the All Star Game. We didn’t know who or when, but we did know we could pull off a project in a short time frame. Organizing a crew to shoot seven cameras in one night in a make or break situation is not for the faint of heart. But the team was awesome and everyone involved should be proud of the effort. We had our own Super Bowl game being played out on the concert field and it was successful. Quantel and Fotokem did a great job on the project. It was a real team of great professional people.

HDE: Miley Cyrus, and now The Jonas Brothers -- do you think that by bringing in these young Disney superstars, we are growing a generation of young 3D fans?

Vince: 3D done right can make everyone a fan. I remember when my Mom and Dad watched “Ghosts of the Abyss” for the first time in 3D. They had heard my exploits at the dinner table for years and it was just that, conversation. They saw my shows on television and complimented me on a fine show. But when they saw the 3D version, my mom came up to me afterwards and said, “Your dad and I don’t want you diving in those subs anymore.” She is 72 and for the first time it hit her how dangerous the job really was. 3D crossed that bridge.  I honestly believe that if we do this right, the generation of fans will be young and old.

HDE: Can you put on your future glasses and tell us where you think this is headed? What do you we will be in terms of production and viewing in 5 years? 10 years?

Vince: In five years, top home entertainment systems will have 3D completely down. Then, there will be the person down the block with a cool, new 3D system dialed in and showing entertainment content. All features will consider 3D and half will make the decision to shoot in 3D. All animation will be 3D and the tools will be shockingly good. Theaters will just begin to consider higher frame rates for exhibition.

In ten years, the guy on the block from five years ago will have a system too big and too crude for the present standard of 3D. For a competitive price at Best Buy, sixty percent of the homes on that block will have some form of 3D capability. In the theater, higher frame rates will be the norm and the line between real and created will be blurred. People will seek professional help as films take them on a visual journey that comes so close to being real they will have difficulties distancing themselves from the experience. Entertainment as we know it now will not exist, categorized like an 8 track is today. Our favorite films are being re-mastered in Brand X 3D. Complaints will be rampant as viewers ask themselves, “don’t tell me they are remaking ‘Lord of the Rings’ in 3D. Can’t they come up with something original!”

So basically, nothing will change. We will still want to be the ones with the best entertainment on the block. We will seek out feature presentations because they are the closest thing to reality. And our hunger for new and exciting entertainment will continue.

HDE: Thank you Vince, this has been a full-on 3D education.

 

DCI sets sites for compliance - Goal is to create uniform, compatible d-cinema equipment

http://www.hollywoodreporter.com/hr/content_display/news/e3ibc7ed676383467c2be02fbc94cfba3af

 

By Carolyn Giardina

Oct 13, 2008, 08:37 PM ET

 

Studio consortium Digital Cinema Initiatives has identified test sites that will determine whether manufactured digital cinema equipment and products are compliant with its Digital Cinema System Specification.

 

The DCI spec was written and published in order to create uniform and compatible digital cinema equipment throughout the U.S. It has been used around the world.

 

Three companies will handle the compliance testing: CineCert in the U.S., DMC/Keio University in Japan and Media Innovation Center in Italy.

 

"Through compliance testing, distributors, exhibitors, manufacturers and technology providers will have the assurance that equipment and products have been rigorously reviewed and comply with DCI requirements," the DCI member studios said.

 

The DCI plan includes all referenced standards of the Society for Motion Picture and Television Engineers.

 

DCSS, Muvico partner for projectors

http://www.hollywoodreporter.com/hr/content_display/news/e3ibc7ed676383467c2c0ed8e0da975651b

 

To deploy an estimated 9,000 4K units worldwide

By Carolyn Giardina

 

Oct 14, 2008, 09:00 AM ET

Sony Electronics' Digital Cinema Solutions and Services group has signed an agreement with Muvico Entertainment to deploy its 4K projection technology.

 

Per the deal, 176 new and existing screens at eight Muvico theaters will be covered in the DCSS group's recently announced virtual print fee-style deployment plan. It includes 18 screens at Muvico's Rosemont, Ill., theater, which was the first in the U.S. to deploy 4K projectors. The deal also includes 14 screens in a new Thousand Oaks, Calif., location slated to open in early 2009.

 

Sony's 3-D technology is also part of the plans. Its 3-D adaptors will be installed in an estimated two to four auditoriums per Muvico theater, according to Sony.

 

DCSS expects to deploy an estimated 9,000 4K projectors worldwide through the program in the coming years. The U.S. deployments are anticipated within 2 years, while Europe and Asia are further out. Sony's DCSS group offers integration, installation, maintenance and service support.

D-cinema lags in Latin region

http://www.hollywoodreporter.com/hr/content_display/news/e3ibc7ed676383467c2fbe91bc32272644a

 

ShowEast panelists cite lack of studio spending

By Carl DiOrio

 

Oct 13, 2008, 07:03 PM ET

 

 

ORLANDO -- Latin American exhibitors aren't holding their breath for the digital revolution.

 

Only 50 or so theater screens in the region have been converted to what Hollywood considers movie-quality digital projectors, though more positively, nearly all of those installations are equipped with 3-D capability.

 

Worse, nobody predicts 2009 will be a watershed year for digital conversions in the region. Throughout much of the rest of the world, it is assumed some auditoriums in most major markets soon will boast digital systems, but Latin America will remain a 35mm world for the foreseeable future.

 

Here's why:

 

-- The major studios don't spend as much to distribute film prints in Latin America because of lower costs and fewer releases. Therefore, they are less inclined to subsidize the rollout of digital systems in the region.

 

-- The existing base of digital screens is so scattered among regional markets that they tend to be only in the most lucrative venues. That makes it more difficult to claim that digital clearly is boosting revenue, which would be helpful in spreading the digital gospel to smaller markets.

 

If prospects of a rapid conversion to digital seem faint regionally, it is perhaps equally notable that Latin American theater circuits have proved enterprising in their ability to tap other funding sources in the face of resistance by the major studios. Panelists at an opening-day session during the ShowEast exhibition confab said "screen sponsorships" seem the way to go.

 

Telecom companies and others have shown an encouraging willingness to pay as much as 100% of installation costs in return for naming rights on digital screens for one or two years, Cine Hoyts general manager Heriberto Brown said.

 

But National Amusements vp international Mark Walukevich said even those efforts are constrained by studios' unwillingness to offer digital versions of movies because of the region's low digital-screen count.

 

"We want to make these screens strictly digital -- we don't want to have to install 35mm equipment next to the digital projector -- but right now, the content doesn't allow that in Latin America," Walukevich said.

 

But there have been other promising signs, according to members of the panel, moderated by Bill Mead of the Web site DCinemaToday.

 

Warner Bros. senior vp international distribution Thomas Molter said his studio saw 30% of its regional boxoffice for "Journey to the Center of the Earth" from 3-D screens.

 

"It's truly a testament to the fact that digital does work," he said.

 

 

 

But exhibitors emphasized that they have learned quickly that not every 3-D film will fetch extra-dimensional boxoffice numbers.

 

"A bad film is a bad film, in 2-D or 3-D," Cinemark International president Valmir Fernandes said.

 

Another panel on Latin American distribution noted the ongoing problem with movie piracy, a key reason studios are adamant about releasing films only on equipment compliant with security and resolution standards set by tech consortium Digital Cinema Initiatives. Separately on Monday, the Motion Picture Assn. presented a special anti-piracy leadership award to Peru copyright czar Martin Moscoso.

 

But studio executives on the panel said currency fluctuations and regional economics remain the overriding factors shaping Latin American boxoffice territory by territory. This year is pacing about 2% behind 2007, the panelists noted, though Mexico has continued its growth trend and could finish 2008 up 5% from a year ago.

 

As for next year, the panelists were unanimous in their optimism the industry will cope well, despite a burgeoning global recession.

 

"If we're not recession-proof, we're at least recession-resistant," Sony vp Latin American distribution Steven O'Dell said.

 

If studios begin to feel a financial squeeze, modest staff reductions would be much more likely than marketing cuts, the panelists said.

 

Paramount's Jorge Peregrino, Fox's Eduardo Echeverria, Disney's Martin Iraola and Warners' Redo Farah said the trend toward day-and-date movie releases in the U.S. and worldwide probably has reached its peak. Some films always will be held for later release in various territories, for a wide range of reasons, the panelists agreed.

 

"We like to release on pay day!" Universal regional vp Mauricio Duran said.

 

Although a majority of ShowEast panels Monday were devoted to international themes, an afternoon session focused on industrywide marketing trends. Perhaps chief among those: Theater advertising is shifting dramatically from newspapers to the Internet. There has been an accompanying trend toward online ticketing, which occasionally is offered free to customers, the panelists noted.

 

ShowEast continues through Thursday at the Marriott Orlando World Center.

 

 

Sony leads push for higher clarity at 4K

http://www.hollywoodreporter.com/hr/content_display/news/e3iced839ebc8085600e04b7840e6612473

 

By Carolyn Giardina

 

Oct 8, 2008, 08:34 PM ET

How many Ks are OK for digital cinema?

 

2K has emerged as the commonly used resolution for feature postproduction, digital-cinema mastering, distribution, projection and restoration. But looking ahead, indications suggest that the resolutions used in the film industry might become far more varied.

 

The latest signal: last week's news that Sony intends to produce and distribute the majority of its movies in 4K resolution, which contains four times the amount of picture information found in a 2K file. Here's some background:

 

2K

 

There are nearly 5,000 d-cinema projectors installed in theaters domestically -- the large majority being systems that play 2K. The bulk of d-cinema postproduction and mastering of new features therefore are accomplished in 2K, and with few exceptions, the files of the movies -- the digital equivalent of the film print -- are delivered to theaters in 2K.

The related area of d-film restoration of older films generally also is accomplished in the 2K resolution.

 

Execs at Hollywood-area postproduction houses report that the large majority of current demand is for 2K digital cinema services. EFILM -- which has been more bullish than most toward 4K -- said that 15%-20% of its work is currently 4K. Others point out that even when studios do show interest in 4K, the added costs and longer schedules involved in working with the format is a deterrent.

 

4K

 

Sony Electronics offers the only 4K d-cinema projector on the market. It is installed in about 200 theaters in North America.

 

At press time, deployment of both 2K and 4K projection systems is expected to increase. Sony Electronics' Digital Cinema Solutions and Services' is now offering a 4K deployment plan, which includes virtual print fee deals with Fox and Paramount as well as SPE.

To date, a small number of films have been mastered and delivered in 4K to theaters, including Warner Bros. as well as Sony. It is this stage where SPE, with last week's announcement, aims to prompt change by increasing interest in 4K content.

 

4K production and especially post capabilities already have entered the market, and more is on the way. Sony Electronics has been vocal about its strategy to develop a complete 4K production and post toolset, including a 4K digital-cinematography camera.

 

Opinions vary on whether moviegoers will see a noticeable difference between 2K and 4K with today's projection systems. As a result, some pundits question whether it is practical or necessary to go higher than 2K.

 

But 4K has been gaining traction in film restoration and archiving circles, where the long-term benefit of storing the extra picture information is seen as a plus in order to accommodate whatever resolution and display needs emerge in the future.

 

In recent months, resolutions higher than 4K also have been making news, promising to further fracture the market.

 

6K

 

Warner Bros. is restoring George Cukor's 1954 "A Star Is Born" in 6K resolution, which is 21⁄4 times as much information as a 4K file. Warners is using it as a test of working with and mastering in resolutions higher than 4K.

 

8K

 

Japan's public broadcaster NHK is developing what it calls Super Hi-Vision, a proposed 8K resolution format, as a future generation of digital television. Recent demonstrations have dazzled audiences at trade shows, though NHK suggests that the format is a decade away from rollout.

 

Higher resolutions such as 6K and 8K generally are discussed as longer-term strategies. For the short term, a key factor in energizing a 4K market might be how much impact the influential Sony will have on production, distribution and exhibition requirements in a d-cinema market that is still young, and still relatively limited in size.

 

Carolyn Giardina can be reached at carolyn.giardina@THR.com.

UPI signs European digital deal with Ymagis - Joins Paramount, Disney, Fox for d-cinema rollout

http://www.hollywoodreporter.com/hr/content_display/news/e3i418b037a2c9b1c0f2e7b61828d61379a

 

By Stuart Kemp

 

Oct 7, 2008, 09:26 AM ET

LONDON -- Universal Pictures International, Universal's overseas releasing arm, became the latest studio to seal a deal with Ymagis, the European digital cinema services provider based in Paris, for digital rollout in theaters in Europe.

 

Universal Pictures will provide movies to theaters equipped by Ymagis and will pay digital print fees under a long-term agreement similar to those signed by Paramount, Disney and Fox, UPI said Tuesday.

 

Ymagis started its rollout activity in July this year and has so far signed contracts with exhibitors for 29 screens in France.

 

Ymagis expects to announce agreements with other studios and European distributors in the coming weeks, as well as agreements with several exhibitors.

 

UPI exec vp Duncan Clark said Universal is "committed to the growth of digital cinema, the future of our industry."

 

"Our audiences will reap the rewards of the continued enhancement of the theatrical experience," Clark said.

 

Ymagis CEO Jean Mizrahi said he is "delighted to conclude this agreement with Universal Pictures," and described the deal as "another step in our effort to help all kinds of exhibitors in Europe convert to digital."

 

Ymagis intends to deploy as many as 5,500 systems throughout several European countries, including France, Germany, Spain and Italy.

Some skipped ShowEast - Economy, downsizing hurt attendance, but value remains

By Carl DiOrio

 

Oct 16, 2008, 08:00 PM ET

 

ORLANDO -- The theatrical business may be recession-resistant, but it's hardly impervious to economic vagaries.

 

ShowEast is dominated by mom-and-pop theater owners, in contrast to the larger circuits whose execs predominate at the larger ShoWest convention in Las Vegas in the spring. But if smaller-fry operators are most likely to need the confab's seminars on theater management or demos of digital cinema, they also can be the first to feel the pinch of economic downturns and pull back on expenditures like a four-day trip to Orlando for a trade show.

 

ShowEast 2008, which concluded its four-day run here Thursday, seemed to reflect such tough realities.

 

"People have cut back," ShowEast co-managing director Mitch Neuhauser acknowledged. "But we're happy and believe the most important people who need to be here were still here."

 

Registration fell by about 100 attendees this year, marking a 9% dip from 1,038 paid showgoers a year ago.

 

It didn't help that Warner Bros. shut its Picturehouse specialty unit and dramatically downsized the New Line division, Neuhauser said. Consolidation also continued in the exhibition industry, with Regal taking over the Consolidated Theatres chain this year.

 

Booths on the trade show floor were down by 18 to 235, a 9% decline from ShowEast 2007.

 

Seminars this year -- as at all exhibition confabs during the past couple of years -- largely focused on d-cinema and 3-D projection. But though panelists encouraged the assembled exhibitors to get on board with digital conversions, they also acknowledged that the digital revolution is effectively on hold while Wall Street gets its house in order.

 

As a result of the recent credit crunch, industry finance schemes to fund screen conversions are delayed for several weeks or even months, attendees learned.

 

NATO's Cinema Buying Group -- essentially a clearinghouse for conversion support serving smaller members of the industry trade group -- met during the confab, and the group is actively taking applications for system rollouts. CBG is a key AccessIT ally in signing up circuits for screen conversions.

 

Manufacturers of various digital-projection systems also were on hand to try to get a piece of the d-cinema action. Word circulated Thursday that Sony Electronics was deep in talks with AMC about the possible purchase of thousands of its systems, but it was unclear when or if such an agreement might be finalized.

 

Other topics figuring in conversations around the convention included whether upcoming studio slates looked likely to produce big boxoffice. The immediate marketplace seems overly full of iffy films, but there appeared to be some consensus that the next couple of months will be winners for the industry.

 

"Generally, exhibitors want more choices," said John Fithian, president of the National Association of Theatre Owners. "But there's kind of a bell curve, in which you reach a point where there are so many marketing messages out there that you can't cut through with the marketing."

 

This year, Disney's Nov. 21 opener "Bolt" and Universal's Dec. 5 release "Frost/Nixon" were among titles screened by majors at the confab. Other screenings spotlighted such indie releases as the Weinstein Co.'s "Zack and Miri Make a Porno" (Oct. 31) and Overture's "Nothing Like the Holidays" (Dec. 12).

 

At the confab's closing awards gala Thursday night, attendees appeared relatively upbeat about boxoffice prospects for the next couple of quarters -- or in any event had settled in for an enjoyable evening of dinner, drinks and industry kudos.

 

"This is a time to celebrate the motion picture industry!" Warner Bros. exec vp distribution and gala emcee Jeff Goldstein declared.

 

Award recipients included MGM distribution president Clark Woods, who was honored with the Salah M. Hassanein Humanitarian Award for his work with a host of charitable organizations.

 

Producer Ed Zwick was feted with the Kodak Award for excellence in filmmaking. Carmike's Larry Collins copped the Show E Award for industry contributions, while Nancy Kluter was honored for distinguished service.

 

Meanwhile, though ShowEast is scheduled for a change of venue to Miami Beach next year, there appears to be a possibility that the confab will return once again to the Marriott Orlando World Center. The hospitality complex has been ShowEast's home since a move from Atlantic City in 2000.

Regal CEO says digital upgrade may be delayed

By Carly Harrington (Contact)

Friday, October 24, 2008

 

Calling it one of the worst credit markets he has seen in years, Regal Entertainment Group CEO Mike Campbell said Thursday a $1 billion industry digital upgrade could be delayed.

 

"We believe, and JP Morgan believes, that it will get financed once the market returns to something that is reasonably normal," Campbell said. "We're going to continue to put together the pieces behind the scenes to be in a position to react."

 

The news, which sent shares of the company down nearly 19 percent, came as the Knoxville-based company, which is the nation's largest movie theater operator, reported that profits declined 46 percent in the third quarter.

 

Net income totaled $31.6 million, or 21 cents per share, compared to last year's third-quarter profit of $58 million, or 36 cents per share. Diluted earnings per share were 21 cents for the third quarter of 2008, compared to 36 cents for third-quarter 2007.

 

Third-quarter 2008 revenues were up 1 percent to $757.6 million compared to last year.

 

Digital Cinema Implementation Partners, a joint venture of Regal, Cinemark and AMC Entertainment, was formed to roll out cinema digital technology to theaters nationwide.

 

On Oct. 1, DCIP announced it had signed long-term digital deployment agreements for digital cinema upgrade with 20th Century Fox, Walt Disney Motion Pictures, Paramount Pictures, Universal Studios and Lions Gate Films. DCIP is currently in discussion with the last two major studios, Sony and Warner Brothers.

 

"We are excited about the conversion to digital projection because of the incremental margin opportunities provided by 3-D and alternative content," Campbell told analysts in an earnings call.

 

A key element to Regal's strategy in the next several years, he said, will be "to provide enhanced theatergoing experiences."

 

That includes 3-D, an expanded base of IMAX theaters and the potential for special events like the Hannah Montana/Miley Cyrus concert film last year. A similar concert film featuring the pop singing group Jonas Brothers will debut in early 2009.

 

Campbell said there are a total of 40 3-D films announced for release over the next several years, and Regal is installing its first digital IMAX system this month.

 

"We are pleased with the studios' commitment to this premium content, which also allows us to price at a premium compared to our existing 2-D ticket prices," he said.

 

Regal also benefited from recently acquired Consolidated Theaters, which generated cash flows that were slightly ahead of company expectations.

 

"We're not recession-proof, but history shows we're as recession-resistant as any business out there," Campbell said. "This is a very difficult market for everybody. At Regal, it's business as usual. We've had a good year as an industry."

 

Campbell pointed to last year's record third quarter resulting from a string of blockbusters. This quarter, he said, was relatively flat, and up 13 percent to 15 percent as an industry.

 

Regal also will benefit this year from a 53rd accounting week, which contributed an additional 10.2 million attendees and approximately $40 million of adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) the last time it occurred, in 2003.

 

Campbell said he was encouraged by a strong start to the fourth-quarter box office and is optimistic about the upcoming film slate, which includes Disney's "High School Musical 3," "Saw V," "Quantum of Solace" and the next 3-D animated film from Disney, called "Bolt," featuring the voices of John Travolta and Miley Cyrus.

 

The company also declared a cash dividend of 30 cents.

 

Regal Entertainment Group operates 6,782 screens in 551 locations in 39 states and the District of Columbia.

 

Business writer Carly Harrington may be reached at 865-342-6317.

 

Monday, October 27, 2008

High C's in high def: Bravo!

http://www.boston.com/ae/theater_arts/articles/2008/10/26/high_cs_in_high_def_bravo?mode=PF

 

Simulcasts of the Met have become the hot ticket among opera fans, but the impact on live performances by local companies is unclear

By Jeremy Eichler, Globe Staff  |  October 26, 2008

 

Opera fans are a famously passionate bunch. On a recent Saturday at noon, a crowd of about 50 lined up outside the Regal Fenway 13, a full hour before the Metropolitan Opera's high-definition simulcast of Strauss's "Salome." When allowed through the doors, they streamed into the lobby and some kept going, right past a bewildered ticket-taker and into the theater, not yet officially open.

 

An usher was asked to clear out the early crowd, but he reported back that the opera fans were guarding their seats and refusing to leave.

 

A manager picked up a phone. "I need some help down here," he said.

 

Two years ago, opera simulcasts in movie theaters did not exist; today they are wildly popular. What only recently seemed like a novel, vaguely exotic cultural activity has for many become a familiar ritual on the local musical calendar.

 

Yet beyond the excitement it has generated, this new wave of high-tech cultural populism is also transforming the ecology of opera in Boston, where the two main companies offering live performances - Boston Lyric Opera and Opera Boston - must now grapple with what it means to have the Met juggernaut landing right next door.

 

There is no mistaking its momentum. Back in December 2006, only one local theater - in Framingham - screened the first Met simulcast. Last year, the number of greater Boston theaters carrying the broadcasts was up to seven, with 21,000 tickets sold. (By comparison, the combined attendance for all 18 of the Boston Lyric Opera's mainstage performances last season was about 24,000.)

 

This season's Met transmissions should yield even higher numbers, as three more local movie theaters have joined the network. At the same time, the broadcast series itself has expanded to include 11 opera events, running through May.

 

Clearly, opera moviegoers adore their new pastime. "It's fabulous," said Warren Cutler of Boston, who was seated near the front of the crowd at the "Salome" broadcast, next to a friend discreetly feasting on takeout Chinese food. "This has many advantages," he explained. "Number one, you don't have to travel to New York. Two, it's incredibly reasonable. Three, the seats are more comfortable than the Met's or any other theater. And although you miss out - even with the fabulous sound there's a certain flatness - it somehow makes up for it with some of the camera shots. It's wonderful."

 

Moviegoers have been known to applaud at the screen, to heatedly debate the merits of the camera work, and to relish some of the unscripted backstage exchanges that can appear in pre-performance or intermission features. They often compare notes with friends who watched the same broadcast in a different city or even in another country. Earlier this season, a group that regularly watches the Met at the Mahaiwe Theatre in Great Barrington gathered before the opening simulcast for a black-tie celebration.

 

How are the local companies responding to all of this? At least for now, they appear to be applauding along with everyone else, and attempting to tap into the new wave of opera energy. "More opera makes more opera lovers," said Judith McMichael, director of marketing for Boston Lyric Opera. "It gives more people an opportunity to experience this art form and get jazzed by it."

 

In this spirit, Boston Lyric Opera has even signed on as a co-sponsor of a new six-part series at the Coolidge Corner Theater called "Europe's Grand Operas," featuring high-definition screenings of recent performances from La Scala, the Salzburg Festival, and Teatro La Fenice in Venice. (The series continues Nov. 30 with a broadcast of Rossini's "Barber of Seville.")

 

Opera Boston is also trying to leverage the broadcasts to attract new audiences. It is participating in a hosting program the Met offers to regional companies, so it will be distributing its own literature at the next Met broadcast - the contemporary opera "Doctor Atomic" by John Adams, slated for Nov. 8. Opera Boston has also considered launching some book-group type programming that would encourage its own patrons to attend the broadcasts and discuss them afterward.

 

"It's bringing opera into popular culture," said Carole Charnow, general director of Opera Boston. "It's taking it out of that faraway place that's only for the initiated, who understand the language, who know what to wear, and who can afford the tickets. It's making the average cultural consumer begin to embrace the idea that maybe opera is for me."

 

To be sure, opera's silver-screen revolution is chipping away at the art form's elitist image. Last month, the Washington National Opera simulcast its season-opening performance of "La Traviata" on the Jumbotron at Nationals Park for a crowd of 15,000.

 

And yet, using the broadcasts to build new audiences is not a simple task. According to a recently published survey of the Met simulcast audiences across the US and Canada, only about 5 percent of the attendees had never been to an opera before. The series, in other words, is primarily attracting opera-oriented fans. "I would say that reaching out to prospective audiences is the next frontier in this effort," said Marc Scorca, president of Opera America, which published the survey.

 

One complication is that, in many locations, you cannot simply walk off the street and decide to watch an opera at the movies. Most tickets (usually priced at $22) are snatched up by hardcore opera fans far in advance. In fact, the hunt for tickets has become its own breed of challenging cyber-sport, especially for less computer-savvy operagoers who find themselves wrestling with confusing websites. Those who succeed often choose to buy tickets for the entire season at once. And tickets at certain theaters are so tight that many fans will go as far as purchasing memberships to the Metropolitan Opera Guild (at $125), in order to ensure access.

 

Within a few years' time, there may actually be more opera seen at the movies than in live local performances. Even so, Charnow sees the two as fundamentally different experiences. "I stubbornly believe that live music and live theater provide a cultural service that cannot be provided by television or film," she said. "In a film theater, you may be emotionally drawn in but it's essentially a passive act to watch a film. To be in a live performance, it's an active act."

 

The Opera America survey appears to support Charnow's intuition. According to Scorca, many audience-members reported "that the HD experience does not replace their appetite for attending opera in person."

 

Meanwhile, back at the Regal Fenway 13, Boston resident Drayton Freeman was standing in line, happily trilling about his new passion. "I've been to see them in Randolph and Revere," he said. "The first one I saw was [Gounod's] 'Romeo and Juliet' last season and it was spectacular."

 

Freeman is one of the statistical few who discovered opera entirely through the broadcasts. He's now a member of the Met Opera Guild, and plans on attending all 11 of this year's simulcasts.

 

How about an actual live performance one day?

 

"I've never been, but I'd very much like to actually go to the Met in Manhattan," he said.

 

Asked about attending live opera locally, he sounded a bit less enthusiastic but still open to the possibility. "I'd consider it," he said.

 

Jeremy Eichler can be reached at jeichler@globe.com

Regal CEO says digital upgrade may be delayed

Regal CEO says digital upgrade may be delayed

By Carly Harrington (Contact)

Friday, October 24, 2008

 

Calling it one of the worst credit markets he has seen in years, Regal Entertainment Group CEO Mike Campbell said Thursday a $1 billion industry digital upgrade could be delayed.

 

"We believe, and JP Morgan believes, that it will get financed once the market returns to something that is reasonably normal," Campbell said. "We're going to continue to put together the pieces behind the scenes to be in a position to react."

 

The news, which sent shares of the company down nearly 19 percent, came as the Knoxville-based company, which is the nation's largest movie theater operator, reported that profits declined 46 percent in the third quarter.

 

Net income totaled $31.6 million, or 21 cents per share, compared to last year's third-quarter profit of $58 million, or 36 cents per share. Diluted earnings per share were 21 cents for the third quarter of 2008, compared to 36 cents for third-quarter 2007.

 

Third-quarter 2008 revenues were up 1 percent to $757.6 million compared to last year.

 

Digital Cinema Implementation Partners, a joint venture of Regal, Cinemark and AMC Entertainment, was formed to roll out cinema digital technology to theaters nationwide.

 

On Oct. 1, DCIP announced it had signed long-term digital deployment agreements for digital cinema upgrade with 20th Century Fox, Walt Disney Motion Pictures, Paramount Pictures, Universal Studios and Lions Gate Films. DCIP is currently in discussion with the last two major studios, Sony and Warner Brothers.

 

"We are excited about the conversion to digital projection because of the incremental margin opportunities provided by 3-D and alternative content," Campbell told analysts in an earnings call.

 

A key element to Regal's strategy in the next several years, he said, will be "to provide enhanced theatergoing experiences."

 

That includes 3-D, an expanded base of IMAX theaters and the potential for special events like the Hannah Montana/Miley Cyrus concert film last year. A similar concert film featuring the pop singing group Jonas Brothers will debut in early 2009.

 

Campbell said there are a total of 40 3-D films announced for release over the next several years, and Regal is installing its first digital IMAX system this month.

 

"We are pleased with the studios' commitment to this premium content, which also allows us to price at a premium compared to our existing 2-D ticket prices," he said.

 

Regal also benefited from recently acquired Consolidated Theaters, which generated cash flows that were slightly ahead of company expectations.

 

"We're not recession-proof, but history shows we're as recession-resistant as any business out there," Campbell said. "This is a very difficult market for everybody. At Regal, it's business as usual. We've had a good year as an industry."

 

Campbell pointed to last year's record third quarter resulting from a string of blockbusters. This quarter, he said, was relatively flat, and up 13 percent to 15 percent as an industry.

 

Regal also will benefit this year from a 53rd accounting week, which contributed an additional 10.2 million attendees and approximately $40 million of adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) the last time it occurred, in 2003.

 

Campbell said he was encouraged by a strong start to the fourth-quarter box office and is optimistic about the upcoming film slate, which includes Disney's "High School Musical 3," "Saw V," "Quantum of Solace" and the next 3-D animated film from Disney, called "Bolt," featuring the voices of John Travolta and Miley Cyrus.

 

The company also declared a cash dividend of 30 cents.

 

Regal Entertainment Group operates 6,782 screens in 551 locations in 39 states and the District of Columbia.

 

Business writer Carly Harrington may be reached at 865-342-6317.

 

 

Opera in D-Cinema: Does it Whet the Appetite?

Monday, October 27, 2008

 

I thought this was a really interesting piece in yesterday's Boston Globe, focusing on the success of live opera distributed to digital cinemas.

 

Jeremy Eichler writes:

 

Two years ago, opera simulcasts in movie theaters did not exist; today they are wildly popular. What only recently seemed like a novel, vaguely exotic cultural activity has for many become a familiar ritual on the local musical calendar.

 

Yet beyond the excitement it has generated, this new wave of high-tech cultural populism is also transforming the ecology of opera in Boston, where the two main companies offering live performances - Boston Lyric Opera and Opera Boston - must now grapple with what it means to have the Met juggernaut landing right next door.

 

There is no mistaking its momentum. Back in December 2006, only one local theater - in Framingham - screened the first Met simulcast. Last year, the number of greater Boston theaters carrying the broadcasts was up to seven, with 21,000 tickets sold. (By comparison, the combined attendance for all 18 of the Boston Lyric Opera's mainstage performances last season was about 24,000.)

 

This season, three new theaters in Boston have decided to begin playing opera. Eichler asks how all this is affecting the city's opera companies... and whether it is creating new fans.