> Is he referring to the movies, or the studios? My understanding is
> that movies are separate companies that only rarely and accidentally
> make a profit, but pay fees to studios. Hence "Hollywood
> accounting", ie never take just a percentage of the net
Well, somebody's got to eat the losses. If it's the production companies that are eating the losses, I guess the idea would be for production companies to gang up and form a vertically integrated studio, both producing the movie and supplying the money. (And putting talent on contract.)
SA