Hollywood Must Reinvent To Stay Viable

“The champagne has been flowing all around Hollywood lately. Box-office receipts jumped 13.5%, to $9.5 billion, in 2002 – the biggest year-over-year increase in two decades. DVD sales grew 71%, to more than $11 billion. That doesn’t even include DVD rental revenues, which grew from $1.4 billion to $2.9 billion, according to DVD Entertainment Group, an industry association. You can’t blame Hollywood for not wanting to rock the boat.” But big trouble is looming – and unless the movie business reinvents its distribution as download times shrink, a major case of heartburn awaits.