Indian Film Industry

Common Indian population has always resorted to only one of its pass times all these years and it is the Indian Cinema. The movie industry has always been a constant source of entertainment with a variety of films in all different languages. Though Hindi has been the most spoken language, other southern languages have also been represented well in this industry. The Hindi film industry – “Bollywood” as it is called is probably the next biggest production house next to the Hollywood. It releases nearly 100 movies in different categories and all budget classes. The movies are always voted depending on their collections. These movies tend to release on the weekends to take full advantage of the weekend crowd. Further the industry has been finding it easy to attract audiences with the arrival of bigger Multiplexes that have their own way to attract the crowd. Though the ticket price is not that huge, people tend to enjoy their full money’s worth.

The Indian film industry is the direct route to fame. This has lured in numerous youth who want to get famous. But hard work always pays off with the fans even worshiping their heroes as God. This has allowed the actors to make use of their fans and get into politics and get into a formidable post in the government and enjoying their life. people who have turned into politics and failed to impress their fans by their deeds have always been uprooted. Though people have always believed the reel life characters of their actors resemble their real life, it has turned to be true only in a few cases. The Hindi film industry always has a larger reach to different states and hence all the movies are done with a huge investment, but only a few succeed to get them back.

The other regional languages are also close contenders for the top spot. Tamil film industry is closely following the Hindi one with Telugu and Malayalam closely following it. The fan following is much greater in the regional languages with the fan club making the day of the movie release into a festival at the cinema houses. The Demi Gods of the Tamil industry include SuperStar Rajinkanth and Kamalhasan who have always succeeded in bringing profits to their producers. The other demi gods includes Ambitab bachan, Badshah Shahrukh Khan, Salman khan, Chiranjeevi and Nagarjuna. The directors have always been the captain of the ship guiding the entire crew home. With other technicians chipping in with their content.

The film industry has always been the road to success for talented people who rise from ashes to riches. Those with talent tend to survive longer with a little bit of luck favouring them. Indian film industry has always been a pioneer with new technologies and techniques introduced in every movie. Though the class is not as equal to its Hollywood contenders, their budget and time frame is not much larger like the Hollywood movies. This has always favoured the experimenting nature of the industry. The industry has people who thrive hard to do something different and with only a few surviving with success.it is not only me expecting more entertainment and talent from this industry but the entire world.

Colocation Results on Film Industry

The importance of colocation on the film and entertainment industry is quite apparent for it gives it more visibility and increases its overall output to viewers. It also expands servers of small scale entertainment businesses by bringing them to a stronger and wider bandwidth making it easy to control the many aspects of the IT infrastructure demanded by the popular industry. These include, making studios more accessible online by virtue of the stronger Internet connectivity. The other effect is the saving of time and power required to produce programs because of the little manpower requirements brought about by this technology.

Some of the most important results of the technology on the film industry are that it maintains the power all the time and this reduces the effects of losing copies of programs undergoing filming. Michigan colocation through its web hosting utilizes extra power sources to make sure that even when there is power outage the server keeps running on. This minimizes the loss of data which usually happens when abrupt blackout occurs. This backup is essential for an entertainer who relies on their servers to display their shows on the screen that needs to be on, all the time.

On another facet, using Michigan colocation incorporates the right environment for the functioning of the equipment. If the work is being done at home, the computer is given backup on both the power and connection aspects. The building too, if it is a theater for example, also gains a refreshing background with the air conditioning that is done inside the room. This is very essential to compromise on the overheating that might happen to heavy duty electronic gear. This can act as a good environment for not only the proper utility of the equipment but as a conducive background for the audience in a film theater.

On top of that, colocation ensures that there is effective and dynamic communication. This is very essential in the film industry where many people such as directors, talents and producers need to communicate regularly from disparate locations. On a normal situation this may block some communication channels, but with this technology, the telecommunication devices give a wide bandwidth to the frequencies used by such a company thus allowing fast transmission and feedback of information. The use of Ethernet communication on the other hand as given by the service provider, makes it possible to connect cities in near fiber optic proportions, which is convenient for arranging events simultaneously without having to go to the locale itself.

This also facilitates the lowering of costs that may be used for troubleshooting computer problems and paying a regular bill for Internet connection. All this is provided by the service provider who not only gives the essential electronic equipment, but also offers other service on top. These may include keeping the equipment safe and secure in a natural environment.

The Appeal of Investing in Films

Are films a good investment opportunity? I think they are for the right kind of investor. Here’s why. I have written this in a Q&A style to answer the major questions that prospective investors ask about whether to invest or not.

1. Why is film investment an attractive investment opportunity? Is it because of the high return or because of the nature of business?

For many investors, the high return is a big draw, because films do have the potential for a very large return, though there is a very high risk with a lot of big “Ifs”. A film can do extremely well if it has a good script, good acting, good production value, has a budget that fits the type of film this is, and strikes a chord with distributors or buyers for the TV, DVD, foreign rights, or other markets. Then, if the film goes into theatrical release, it has the potential to have an even larger audience, though theatrical is not the primary source of income for most films, just the big blockbusters, since the theater owners take about 75% of the box office unless a film goes into a long-term release and there is a high costs for prints (though an increasing number of theaters are going digital). The value of a theatrical release is more for its promotional value for gaining other kinds of sales, except for the huge blockbusters.

Despite the potential for high returns for some films, investors in it for the money have to realize that any film investment is a big risk, because many problems can develop from when a film goes into production to when it is finally released and distributed. Theses risks include the film not being completed because it goes over budget and is unable to get additional financing or there are problems on the set. Another risk is that the film is not well-received by distributors and TV buyers, so it doesn’t get picked up. Or even if a film gets a distribution deal, the risk is that there is little or no money up front, so the film does not see any further returns. So yes – a film can have a high return, but an investor can lose it all.

As a result, for many investors, other key reasons for investing are more important. They believe in the message of the film. They like and support the film producers, cast, and crew. They like the glamour of being involved with a film, including meeting the stars and going to film festivals. They see their investment as an opportunity to travel to distant locations for filming and for promoting the film. And they see investing in the film as a tax write-off, much like giving to a charity.

2. What kind of investment returns can investors can expect, since many independent productions are not designed for big screens, where are the sales coming from?

If all the stars align, and there is a good film done with a reasonable budget and distributors, buyers, and an audience responds, the film could readily earn 4 to 10 times its cost, making everyone very happy. A low-budget indy scenario for this level of return might be a film shot for $50,000-200,000. It might get $500,000-750,000 for a TV sale and earn $1-2 million more through DVD, streaming, and foreign rights sales, even without a theatrical release.

For most films, the main value of a theatrical release is the PR value of getting the film known, so buyers will want to purchase or rent the DVD and TV buyers will want to show it on one of the premium cable movie channels. Also, most films don’t get a theatrical release, and the funds are earned through other channels.

3. What kind of movies can usually generate good profits, since the recent Oscar Awards show that a big investment does not necessary mean big returns?

Some of the big blockbusters that pass the $100 million threshold can certainly make a profit from a successful theatrical release, both in the U.S. and abroad. But whether they make a profit depends on their budget. Because of the high salaries of stars that are typical in these films and other high cost items, such as special effects, many blockbusters still may not make a profit. Thus, dollar for dollar, many low-budget indy films may be a better investment, since the multiples are higher with a success; there is more likelihood that a low-budget indy, which is done well at a reasonable budget, will be sold and make back it’s money, and the potential for loss is much less.

4. Are documentaries a good investment opportunity?

Good documentaries are an especially good investment opportunity, since the costs of making documentaries are much lower than for feature films. They can be done with a much smaller crew – even two or three people in the field – one for the camera, one to handle sound and lighting, and another to coordinate arrangements and ask good questions in the field. Post-production can be easier too, with fewer takes and less film to edit for the final cut. Many documentaries are done with a budget of $10,000-50,000, which can easily be recouped 5 to 20 times over with DVD, TV, and foreign sales.

5. Are there any legal or regulatory restrictions preventing individual investors to participate in film investment opportunities?

Generally, if you’ve got the money to invest, the filmmakers will find a way for you to legally to give them the money. Various vehicles include nonprofit corporations, LLCs, private placement memorandums, and loans. A typical requirement is that the individual have the funds to invest funds that might be lost in a risky venture and is advised of the risk of the investment.

6. What are the key risks behind film investments and how do you prevent them?

The key risks behind film investments is the potential to lose it all if the film doesn’t get completed or doesn’t find distribution. The best way to protect yourself is to assess the potential of the feature film or documentary going in; assess whether the budget and expected return seems to be reasonable for the project; and assess whether the producer, director, and others on the film seem to have the experience to complete and market the film

7. How much will be the initial investment required to invest in a film production?

An initial investment can range from a few thousand to several hundred thousand, depending on the film and the way an investment is structured. For example, some indy filmmakers doing low budget films have found creative ways to get funds by inviting investments of $1000-2000 from those participating in the film, such as the actors and crew members. Others have divided up investment packages into $5000 each for 20 investors to raise $100,000. Still others have looked for a few big investors, who can contribute at least $20,000, $50,000, $100,000 or more.

Once there is some investment in place, there can be other sources of funds, such as GAP funding and incentives from states and cities in the form of rebates after filming is completed. VC funds are also a possibility, particularly after there is some initial investment in the film, if the film’s budget will be at least $1-2 million.

8. With modern technology advancements, what are the opportunities for independent and emerging film producers; or are these developments more of a threat due to piracy and competition?

There is a growing opportunity today for indy and emerging film producers to get distribution in alternate ways, such as through the Internet, self-distributed streaming downloads or DVD sales, play on mobile devices, and sales of DVDs or streaming rights to Netflix and Blockbuster. While piracy has always been a concern, new technological fixes can help to prevent this, such as locks to prevent duplication or more than one or two showings of the film. Other protections can come through licensing a film for distribution to platforms like iPhones, which have their own protections against copying.

Certainly, there is more and more competition, because more and more people can make films today, though the big studios and distributors still dominate in the theatrical arena and they have the money to make the big films with big stars and special effects. But the new technologies for production and distribution offer so many more avenues to create and market indy films at a much lower costs. So there are naturally many more films out there from many thousands of producers.

But with creative promotion, filmmakers can help their film stand out among the clutter. They can creatively use the social media, such as LinkedIn, Facebook, and Twitter to let people know about their film. They can gain recognition on the film festival circuit. They can get endorsements from well-known people. They can mount an e-mail PR campaign to the media. They can rent theaters to set up showings in different cities. They can put on events with their film as a centerpiece. And they can make themselves available to appear on radio and TV shows, as well as for interviews with reporters for the print media. In turn, all of these activities can help to sell their film to distributors and buyers for TV, DVD, foreign, and other sales, while attracting a growing audience for the film, making distributors and buyers even more eager to promote the film.

So, yes, indy films can be a great investment for certain films. And whether you make money or not, an investment can open u p many opportunities for more involvement in the film industry and for having fun.

Copyright © Gini Graham Scott 2010. This article can be shared with others personally if the whole article is included, along with the bio at the end of the article. Please contact the author directly for republication rights.