Chapter 1003 Sociologist
The problem of piracy is getting worse.
It is mainly aimed at China.
According to statistics, in 2004, the music, film and software industries in the United States lost a total of US$2.5 billion due to piracy in the mainland. Therefore, after the election of the new term, these industries jointly petitioned the White House, calling on the US and the WTO to take legal action against China.
However, the issues involved in such a great power struggle are too complicated.
If it weren't for the fierce president who had great courage, he would never dare to act rashly.
President Bush Jr. has great courage.
However, the United States is still deeply trapped in the quagmire of the Iraq War and is in a situation of internal and external difficulties, so it is difficult to take a heavy move at this stage.
Don't attend a joint meeting on piracy solutions in January.
However, he got the detailed meeting minutes.
The White House has made it clear that it must endure in a short period of time. The United States is in a difficult situation and does not have the ability to solve this problem. At least it must wait until the US military withdraws from Iraq and the domestic environment stabilizes before it can be implemented.
This term of office is no longer possible.
It depends on the performance of the next president.
But Tang En knew very well that when the next president, he happened to encounter a financial crisis and could not take action. After the financial crisis, the Ogilvy government's policy of charity was relatively soft, which only increased the export of Hollywood cultural products to China, and did not fundamentally solve the problem.
The real move is the next president.
In the short term, there is nothing to do.
As Hollywood, where intellectual property rights are most seriously infringed, of course, I don’t want this result.
In Hollywood, the one with the richest intellectual property rights is New Global, followed by Time Warner!
Tang En knew China's environment and national conditions, and did not have any hope or was moved.
However, Warner's side is different. They plan to take action to resist the rampant Chinese DVD piracy problem.
Warner Bros. CYO Barry Mayer brought Warner Pictures president Barry Meyer to visit.
"Don, the official has difficulties, but we cannot sit still. I think Hollywood should unite and take steps to resist the piracy of Chinese DVD discs." Barry Meyer came to the living room and said impatiently without even sitting down.
Don Eun looked at him funny, "Hollywood unites? Then you should look for MPAA."
Barry Meyer said in embarrassment: "After MPAA changed the chairman, she became a tycoon of the White House. The White House refused to express their opinions so that they would not participate."
"Then are you looking for me?"
"Global and Warner have the most intellectual property rights and have suffered the greatest losses of interests. I think we can organize an anti-pirated alliance to call on our peers and those who are interested."
"Use a business alliance to fight against the will of the country? Barry, have you seen too many conspiracy theories? China is not South Korea!"
Tang En really laughed angry.
This Barry Mayer wants to be a Hollywood leader, which is human nature.
But the idea is too naive!
At this time, his follower Barry Mayer said: "Without policy means and we still have economic means, it may not be possible. Hollywood may not be able to do what Wall Street can do."
Done twitched his lips and said speechlessly: "What has Wall Street done? In the past thirty years, the federal government has been increasingly strict in its supervision of Wall Street and has taken more and more ruthless in its actions. This is an indisputable fact. Taking a step back, even if Wall Street can affect some decisions from the White House, they cannot affect countries on the other side. Wall Street is not good, and Hollywood is not good!"
"If you don't try, how can you know it won't work?" Barry Meier was not convinced.
Donn glanced at him, "So, Warner already has a plan?"
Barry Meyer smiled and said, "Tang, I heard you have only been to China once? Haha, you may not know much about China's situation. We are different. We have already started a lot of business cooperation there, such as Hengdian Film and Television Base, such as Warner Wanda Cinema. These are film-based projects. I have many friends there, and I will get their support."
Tang En didn't say anything.
OK!
You are China Communications, you are amazing!
Seeing that Don Eun didn't speak, Barry Meyer thought he had convinced him, so he smiled and said, "To be honest, we already have a plan to deal with piracy."
"Is that so? Listen carefully!" Tang En looked very humble.
Barry Meier spoke again and said jokingly: "Why is piracy rampant? It's very simple, the price is low! It can better meet the consumption needs of Chinese movie fans. As long as we significantly lower the price of genuine disks, we can balance the pirated disks. We have decided that in the next few months, 125 genuine DVD movie discs will be released in China at ultra-low prices to deal with the economic losses caused to Warner by Chinese pirated disks, and at the same time cultivate the authentic consumption habits of Chinese users."
Tang En seemed to be listening to a book of heaven, and thought his statement was too whimsical and asked curiously: "Super low price? How low?"
The price of genuine DVDs is very high.
The regular version is $20, the hardcover version is $40, and the luxury version is $60... If it is an ultra-clear version that is rare and expensive, hey, the price of one set can reach $100!
With such an outrageous price, developing countries don’t engage in piracy and they simply don’t look down on movies.
Bally Meier said: "Because China has strict import restrictions, many new Hollywood films are in the form of pirated versions. We have communicated with them and obtained a license to release DVDs. Although we cannot enter theaters, this is also a sales channel after all. If it is an old film, we will price $1.98; if it is a new film, we will price $2.65. If there are additional content such as multiple languages and shooting and production highlights in the DVD, we can increase the price to $3.38."
Super low price?
That's true.
Compared with the pricing in the European and American markets, such a price is indeed super low.
However, compared with piracy, there is still a big gap.
The current exchange rate is 1:8.
The price of an old movie is 16 yuan? The price of a new movie is 20 yuan? The price of a luxury version is 26 yuan?
Too expensive!
The retail price of pirated movies at this time is 10 yuan. If you go to a special hypermarket to buy them... you can buy a plate for 3 yuan or 5 yuan.
If you are going to videotape and rent a disc, it only costs 1 yuan.
Of course, pirated disks are usually vcd disks, which are far inferior to DVD disks in terms of resolution, clarity, fluency and content richness.
But, who cares?
The Chinese film market is now in its infancy, and the movie fans' tastes of watching movies have not improved at all. Just watch a movie with interesting stories and no other pursuit is required.
"Disaster!"
Tang En blurted out without thinking.
He could guess that Warner must have made a lot of sacrifices and compromises in order to be able to sell genuine films in the mainland, and made great efforts. However, there will definitely be no good results.
"If we think we can enter this market, we can solve the problem, not create it." Bally Meier pledged to ensure that.
Don En shrugged, "Okay, then I wish you good luck."
Barry Mayer frowned, "Donn, aren't you going to do it with us? If we join forces, we might really do a lot. Even if we can't clean up all the pirated disks, at least we can open up a living space for genuine videos."
Tang En pondered for a moment and sighed, "Barry, I can feel your enthusiasm. But... I have to say, your direction is wrong, completely wrong!"
"oh?"
"The DVD market in Asia, especially in China, is mainly vcd disks, not dvd disks."
Barry Meyer said disapprovingly: "In front of DVD, VCD has no soil for survival. DVD has multiple languages, multiple subtitles, multiple angles, menus and hyperlinks. Large-capacity DVD disks can present more movie elements, which are far from comparable to VCD disks. Even if our genuine disks may be higher than pirated disks, the content we provide is better quality and more refined!"
In any case, Warner is indeed paving the way for Hollywood and contributing to Hollywood this time.
Although Tang En was not optimistic, it was not good to hit him too much, so he said, "You are right. The DVD disk does have too many advantages over the VCD disk. Compared with the pirated disk, there are more advantages. However, Barry, there is a prerequisite that you have ignored. If you want to watch the DVD disk, you must first have a DVD player."
Barry Diller was slightly stunned.
Bali Meier was a little nervous. He was mainly responsible for this matter, so he quickly said: "Not necessarily, the current vcd DVD player can also play DVD disks."
Tang En shook his head and said, "Mr. Meier may usually use big brands of players such as Sony and Philip, which are naturally powerful. But as far as I know, there are many miscellaneous brands of VCD DVD players in China, or pirated VCD DVD players, which are priced... that is, about $30, and there is no function to play DVD disks at all."
"Ah? No?"
Bali Meier is a little incredible.
Nowadays, DVD players pay more and more attention to compatibility. The vcd DVD player cannot play HD-DVD disks. This is understandable. Even DVD disks cannot play. That is too exaggerated, right?
Tang En whispered: "You said I don't know what's happening there... I'm sorry, I may really understand it. The industry chain of pirated copies is very complex and very large. If there are pirated disks, of course there are pirated DVD players, and pirated copies can only be used with pirated copies. The problem of pirated disks is far from being solved by selling cheap genuine disks. The Chinese government has repeatedly stated that it is necessary to crack down on piracy and resist piracy, but is this possible? Various pirated copies and counterfeits have a production value of trillions of dollars per year. Such a large-scale pirated market can create tens of millions of jobs every year. What do you think the government will do?"
Barry Meier said incredibly: "But if it were all genuine industries... they would create more wealth."
Tang En said: "So what if you create more wealth? It will only allow more wealth to be brought into the genuine industry, thereby aggravating the gap between the rich and the poor and increasing the life difficulties of the lower-level people. The pirated industry has solved the employment problems of some low-end populations, allowing them to have jobs and food. The genuine industry makes less money and suffers grievances, which is always much better than those low-end population groups that cannot survive."
Barry Mayer smiled bitterly, "Donn, I didn't expect you to be a sociologist!"
Tang En shook his head, "It's not a high-end theory. As long as you go there and conduct a market research, you will definitely be able to draw some conclusions and judgments that are more accurate than me."
.Nine Heavens Divine Emperor
Chapter completed!