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More bad news for HBOmax/DC
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<blockquote data-quote="Umbran" data-source="post: 8820137" data-attributes="member: 177"><p>"May well..." isn't exactly a solid analytical tool. Let me suggest the other side of "may well..." arguments....</p><p></p><p></p><p></p><p>Have you considered the possibility that the service is unprofitable, such that stripping down <em>is the point</em>? </p><p></p><p>You may be forgetting opportunity cost - WB/DC makes both movies for the theater, and series for the streaming service. That means that, ultimately, the profitability of the two businesses will be compared.</p><p></p><p>Barring other dynamics in play, if the return/cost ratio of movies is higher than that of series, they are likely to strip out the series work. Losing viewers who are, in effect, costing you money, is not really a loss at all.</p><p></p><p>Now, before anyone raises the idea that Disney can apparently make series with profit, I'd say two things:</p><p>1) As far as I am concerned, Disneyy/Marvel show quality is just higher than WB/DC content, both in movies and series. So, maybe the Marvel Series just get more viewers and they are profitable.</p><p></p><p>2) Maybe the Marvel series <em>in and of themselves</em> are not profitable. Maybe they are a loss-leader. I signed on to Disney for Marvel shows. But now that I have it, they also have Muppets, and Simpsons, and Gravity Falls, and... enough content that I keep up a subscription. But HBOMax may not have enough other content that draws people to subscribe consistently to make expensive superhero content alive.</p><p></p><p>Basically - if "maybe" is an argument, then <em>maybe</em> folks who don't get what they are doing over there don't actually understand the business.</p></blockquote><p></p>
[QUOTE="Umbran, post: 8820137, member: 177"] "May well..." isn't exactly a solid analytical tool. Let me suggest the other side of "may well..." arguments.... Have you considered the possibility that the service is unprofitable, such that stripping down [I]is the point[/I]? You may be forgetting opportunity cost - WB/DC makes both movies for the theater, and series for the streaming service. That means that, ultimately, the profitability of the two businesses will be compared. Barring other dynamics in play, if the return/cost ratio of movies is higher than that of series, they are likely to strip out the series work. Losing viewers who are, in effect, costing you money, is not really a loss at all. Now, before anyone raises the idea that Disney can apparently make series with profit, I'd say two things: 1) As far as I am concerned, Disneyy/Marvel show quality is just higher than WB/DC content, both in movies and series. So, maybe the Marvel Series just get more viewers and they are profitable. 2) Maybe the Marvel series [I]in and of themselves[/I] are not profitable. Maybe they are a loss-leader. I signed on to Disney for Marvel shows. But now that I have it, they also have Muppets, and Simpsons, and Gravity Falls, and... enough content that I keep up a subscription. But HBOMax may not have enough other content that draws people to subscribe consistently to make expensive superhero content alive. Basically - if "maybe" is an argument, then [I]maybe[/I] folks who don't get what they are doing over there don't actually understand the business. [/QUOTE]
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