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The great cancellation: why megabucks TV shows are vanishing without a trace

theguardian.com

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Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#41

Post by phpisthebest »

atduskgreg wrote: post #13
pimlottc wrote: post #9

How much of this tax reduction is based on convoluted Hollywood accounting? If the tax on the value of the show is higher than the streaming revenues, doesn’t that imply that the valuation is bogus? Can someone explain how the numbers add up here?

The write off is based on the cost of creating the show. I think the article is wrong/sloppily phrased in its line about the value of the company. If they remove a show then it will never generate any future revenue so they can write the cost of producing it off as a loss. The real scandal here is how little viewership streaming shows get and how little revenue they generate off of that viewership. Particularly for h…

The desire and market is there for Good TV Shows...

I am still waiting for one of the Streaming Services to Make a Good TV Shows...

Until then I have TB's of good content from the past on my Home Media Server, I have no problems re-watching...

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#42

Post by phpisthebest »

WeylandYutani wrote: post #17
atduskgreg wrote: post #13

Earlier quoted context omitted.

The write off is based on the cost of creating the show. I think the article is wrong/sloppily phrased in its line about the value of the company. If they remove a show then it will never generate any future revenue so they can write the cost of producing it off as a loss. The real scandal here is how little viewership streaming shows get and how little revenue they generate off of that viewership. Particularly for h…

The problem with prestige TV is that most people just want to watch garbage. The path to profitability is reruns of Cheers, low budget quiz shows and (scripted) reality TV.

That is not true... I would love to see a show made on the Calibre of Cheers...

however those shows do not fix modern narrative thus can not be made.

People want to watch good scripted shows, instead of they get terrible writing, terrible acting, and over all terrible shows....

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#43

Post by hindsightbias »

pjc50 wrote: post #27
atduskgreg wrote: post #13

Earlier quoted context omitted.

The write off is based on the cost of creating the show. I think the article is wrong/sloppily phrased in its line about the value of the company. If they remove a show then it will never generate any future revenue so they can write the cost of producing it off as a loss. The real scandal here is how little viewership streaming shows get and how little revenue they generate off of that viewership. Particularly for h…

> why they will never agree to WGA demands to release viewership numbers in order to pay writers residuals; their stock would go to 0 if those numbers ever became public Well, they're not going to have any WGA shows either any time soon, and maybe the WGA will start advocating for an investor lawsuit on this basis?

I think the Matrix Architect would represent Netflix best here: "There are levels of survival we are prepared to accept."

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#45

Post by [deleted] »

atduskgreg wrote: post #13
pimlottc wrote: post #9

How much of this tax reduction is based on convoluted Hollywood accounting? If the tax on the value of the show is higher than the streaming revenues, doesn’t that imply that the valuation is bogus? Can someone explain how the numbers add up here?

The write off is based on the cost of creating the show. I think the article is wrong/sloppily phrased in its line about the value of the company. If they remove a show then it will never generate any future revenue so they can write the cost of producing it off as a loss. The real scandal here is how little viewership streaming shows get and how little revenue they generate off of that viewership. Particularly for h…

[deleted]

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#46

Post by atduskgreg »

throwaway03635 wrote: post #25
atduskgreg wrote: post #6

Earlier quoted context omitted.

They explain that the benefit to the companies is the tax write off. The part they don’t explain is how little money shows like these generate that they’re worth less than the potential write off. The big semi-open secret in streaming right now is that viewership is a lot lower than people think and much less correlated with show “quality” (where by “quality” here I mean production cost). This is why the whole indust…

My guess is that it's only going to get worse as each streaming service builds up their exclusive library. As prices and interest rates go up, people will become more concerned about getting value for their money. Having 5 different streaming services will be an increasingly difficult sell. > "viewership is a lot lower than people think and much less correlated with show quality" That doesn't surprise me. Many are pr…

“Second screen content” is one of the biggest buzzwords right now amongst streaming execs.

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#48

Post by AJ007 »

atduskgreg wrote: post #13
pimlottc wrote: post #9

How much of this tax reduction is based on convoluted Hollywood accounting? If the tax on the value of the show is higher than the streaming revenues, doesn’t that imply that the valuation is bogus? Can someone explain how the numbers add up here?

The write off is based on the cost of creating the show. I think the article is wrong/sloppily phrased in its line about the value of the company. If they remove a show then it will never generate any future revenue so they can write the cost of producing it off as a loss. The real scandal here is how little viewership streaming shows get and how little revenue they generate off of that viewership. Particularly for h…

I really have wondered who convinced them the strikes were a good idea. It's clear the streaming content bubble has popped. It was a revenue windfall for everyone involved save investors (Disney's stock has lost nearly a decade of gains.)

The AI stuff is a wildcard on top of everything. The worst case scenario for the WGA and SGA is that the more successful they are with their getting their demands, the less likely there will be anything resembling North America's film/tv industry left within 5 years.

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#49

Post by tpmx »

atduskgreg wrote: post #13
pimlottc wrote: post #9

How much of this tax reduction is based on convoluted Hollywood accounting? If the tax on the value of the show is higher than the streaming revenues, doesn’t that imply that the valuation is bogus? Can someone explain how the numbers add up here?

The write off is based on the cost of creating the show. I think the article is wrong/sloppily phrased in its line about the value of the company. If they remove a show then it will never generate any future revenue so they can write the cost of producing it off as a loss. The real scandal here is how little viewership streaming shows get and how little revenue they generate off of that viewership. Particularly for h…

In 2022 Netflix spent $16 billion on producing shows

That's a large number but so was their revenue: $31.6B.

Re: The great cancellation: why megabucks TV shows are vanishing without a trace

#50

Post by pqdbr »

AlbertCory wrote: post #35

Another reason not mentioned for cancelling those shows: no one watched them? Not that I'm representative, but there was only one in there that I watch: Severance.

The article mentions shows being cancelled after they were made and ready to stream.

Even if nobody is going to watch it, if you already paid for the production and it’s ready, why not put it online?

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