Why the Movie Industry Continues to Skyrocket
It seems like 10 years ago, the cool hangout activity was go to the movies with friends. If you were looking for something more budget friendly, you may have checked out the local Blockbuster. Maybe you rented movies for $1 from RedBox.
Then Netflix came out with a revolutionary idea: online movie subscription. You could get movies delivered to your door for an affordable price.
And then Netflix came out with another revolutionary idea: video-on-demand. That’s when most of America realized the future was here.
You no longer needed to go anywhere or wait any time to watch a movie. All you needed was a subscription and a computer.
Due to the ease and affordability of quality entertainment, most of America realized the value of producing said entertainment. And that’s when the film industry started skyrocketing.
In 1999, Netflix introduced the monthly subscription model, and in 2007, they announced internet video-on-demand. The sale of DVDs steadily declined as Netflix’s user base grew.
The movie industry, realizing that consumers now had an easy way to watch content, never looked back:
Studios began pumping money into the industry, realizing the profitability of new technology. And in the 2000s, studios began producing films with budgets of around a few hundred thousand, such as Justice League, Pirates of the Caribbean, and Harry Potter.
Yet interestingly enough, in the recent years, the overall budget of the movie industry has maintained relatively flat, while the overall revenue continues to climb steeply.
Now the question stands: where is this going?
With higher internet speeds, more competing platforms, and better quality content, the trajectory of the movie industry’s growth does not seem like it will be stopping anytime soon.
And now, MTonomy is introducing blockchain and cryptocurrency in entertainment. While in the US, credit cards are very common, other places in the world might have a common distrust of banks, or perhaps rampant currency inflation, or some other issue where credit cards and traditional currency just do not make sense.
For example, take Iflix, Netflix’s biggest competitor in Southeast Asia:
The areas where Iflix is available are very small compared to those of Netflix, yet their subscriber base is approximately 20% of Netflix’s. Part of the reason is the content is perhaps more appealing to Southeast Asian cultures, but the other part of the reason is because many people in those areas just do not own credit cards.
However, with cryptocurrency payments, all of that changes. Anyone from around the world can purchase movies. It’s a currency that the world will recognize, based on a system where trust is not in the hands of a central authority.
Furthermore, the audit-ability, transparency, and efficiency of payments will ensure that content creators get paid what they deserve when they deserve it. Content creators can focus on what they do best: making quality entertainment.
In a future where media is growing and globalization is occurring, blockchain can only help accelerate the growth of the industry.
