|
 There
has been a law on the books for 70 years that may change. The U.S. Department of
Justice has announced plans to review the antitrust rules that have ruled
Hollywood since a 1948 Supreme Court case made the Hollywood studios sell their
ownership stakes in movie theaters. If the rule is changed then Paramount,
Warners and Universal could own theaters again and cut out the middle men by
booking their films in their theaters. Assistant Attorney General Makan Delrahim
released this statement: “The rules need to be reviewed as the landscape of the
exhibitor industry has changed from largely single-screen theaters in the 1940s
to nationwide multiplex chains today. It is high time that these and other
legacy judgments are examined to determine whether they still serve to protect
competition.” There has been a little wiggle room since Disney owns California’s
El Capitan theater, Sony did own a small part of the Loews theaters and IFC and
Drafthouse have owned their own theaters. Ticket sales have gone down even
though revenue has gone up in the US. |
