You cannot imagine the level of frustration I had when I first read this story and continue to have as I cover it in this article. Because Sony hasn’t had a rough PR year, let alone few years, their movie division, Sony Pictures, has decided that, as of May 2012, they will no longer provide movie theaters with free 3D glasses. As current contracts go, Sony and other movie studios like Warner Brothers, Disney, Paramount, Fox, and Universal provide each movie theater with a stock pile of 3D glasses when they release a 3D film. Between giving them more than the number required and many theaters having a recycling program, this deal worked out fairly well.
This deal originally came into fruition when Disney, in order to promote the 3D format and transition to digital and modern projection systems decided to cover the cost of 3D glasses if theater owners would make the transition. Soon, other movie studios like Sony Pictures followed suit. It is believed that, for smaller 3D films, glasses costs range from $1.5 million to $2 million which roughly translates to 50 cents per ticket. This loss is even greater when you consider larger films like Sony Pictures upcoming The Amazing Spider-Man and Men in Black 3 which are being shot in native 3D.
“This is an issue that has to be resolved between us and our exhibition partners. We are trying to give them a very lengthy lead time in regards to the change in policy,” Sony worldwide president of distribution Rory Bruer said.
With Sony Pictures deciding to back out of payment, this gives other major studios a way out as well, something that they’ve all be looking for. Reportedly, Fox also tried such a tactic but was forced to reconsider when they were met with heavy resistance from theater chains.
All of this is fine on paper as, many times, tactics like this are used when large companies negotiate with one another. And who cares if Sony Pictures or AMC, for instance, has to lose some money, right? If that was all, this would hardly be newsworthy because who knows what other forms of negotiations go on between large companies. However, the brunt of this deal comes down to consumers and Sony’s image.
So far, no matter who covered this, Sony Pictures has come out on the loosing side of this. The headlines just breed of negativity for the studio and the format which has been in jeopardy in the publics eye. But if we look further then that, the question is, what now happens to 3D? Consumers are already not happy about high 3D prices. In areas like Los Angeles, where I live, it’s not unexpected to pay between $17-22 per 3D ticket. With Sony Pictures no longer footing the bill, will theater chains raise the price of 3D tickets further? If so, expect a large decline in attendance as many Americans are already facing economic hardship. If the answer is to follow UK and Europe policies which has had movie goers from the beginning bring their own 3D glasses to movies, I say good luck in changing the consuming habits of Americans who are already used to being handed a free pair. I must confess, I probably have nearly 15 pairs of RealD 3D glasses laying around my house from different events like CES and E3, all which were given to be by Sony.
The financial aspect is only one part of this story. If 3D begins to dip due to high prices, something which consumers are already not happy about, what does this do to the 3D format at home, which already faces high prices? Though 3D at home is still in its infancy and has seen dramatic price drops since its debut a little over two years ago, the format is still faced with higher prices than traditional television sets and Blu-ray titles due to the nature of new tech. With many consumers not wanting to spend an extra $3-7 per movie ticket, they surely don’t want to spend an extra $10 per Blu-ray title or $500 per television set.
As public appetite then dies down for 3D content due to the higher cost of consuming, and studios become less interested in producing 3D due to higher production costs and lower demand, will there be any market left for 3D at the house? Because, sure, the eventual cost of 3D televisions at the house and 3D camcorders (all which Sony makes and has been trying to make a big push for during the last two years) will drop, but if the public decides to shy away because 3D prices rise again at the movie theaters, thanks to moves from studios like Sony Pictures, will amateur content be enough to save the format, or will it all collapse on itself?
In the end, I hope that either Sony Pictures decides to back off this tactic and thus stop other major studios as well or that theater owners will wake up and put together a plan that doesn’t involve jacking up ticket prices even further. Being a strong supporter of 3D at both the theaters and at home, I’d hate for the format to erode away when it has so much to offer, especially as more glasses-free 3D makes its way from R&D to store shelves.
Discuss:
What’s your preference when it comes to movies like Transformers: Dark of the Moon? Do you prefer to watch it in 2D or 3D, and does 3D at home interest you?
[Via HollywoodReporter]
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