The landscape of the entertainment industry continues to transform, with a significant shift in the dynamics between global streaming services and third-party licensing. Long gone are the days when the assumption prevailed that streaming platforms would disrupt traditional distribution methods. In fact, experts in the field argue that the two can coexist and even work together harmoniously. The recent developments in this area have led major U.S. studios, such as Warner Bros. Discovery and Paramount Global, to actively participate in events like Mipcom, a convention organized by RX France in Cannes. This article explores the evolving relationship between streaming services and third-party licensing, and the implications for the entertainment industry as a whole.
Traditionally, streaming platforms were seen as a threat to the sales-focused market. However, as the media economy became increasingly challenging and concerns over the sustainability of the streaming business model arose, streamers began to scale back on their original content spending. This change opened up new opportunities for collaboration between streaming platforms and third-party buyers. The major U.S. studios, including Warner Bros. Discovery and Paramount Global, recognized this shift and are now actively leveraging the advantages of co-producing or ordering shows for a single territory and then selling the international rights to third-party buyers.
The changing market economics have prompted a strategic shift in the approach of major U.S. studios at Mipcom. In previous years, their primary focus was on promoting their own streaming services and exclusive content. However, this year, they are dedicating significant resources to showcase their in-house programs and films that have been warehoused for global streaming. Warner Bros. Discovery, Paramount Global, and other influential studios are setting up sizeable stands at Mipcom and ensuring that their sales executives have ample time to engage in half-hour slots with potential buyers. This change in strategy underscores the importance of third-party licensing and signifies a significant departure from the traditional sales-centric approach.
Another notable trend emerging from the shifting dynamics between streaming platforms and third-party licensing is the growing importance of international co-productions. In an industry that heavily relies on securing funding for productions, international co-productions have become vital for creating diverse and globally appealing content. Mipcom has recognized this shifting landscape and has introduced the Producers Hub, a dedicated networking space where co-production executives can engage in high-level discussions on funding new projects. This initiative demonstrates a commitment to support the evolving needs of the entertainment industry and foster collaboration between stakeholders.
The integration of artificial intelligence (AI) in the entertainment industry is another significant topic of discussion at Mipcom. The Unlocking AI Summit, scheduled for Tuesday, will bring together industry experts from various domains, including Google Cloud, Largo.ai, and Aive. Intellectual property lawyers, European Parliament representatives, producers, artists, and networks will also contribute to the dialogue. AI has the potential to disrupt both creative and production processes, making it imperative for industry professionals to navigate this transformative technology effectively. Mipcom aims to offer practical insights and guidance to clients, enabling them to understand the impact of AI and adapt to the evolving regulatory landscape.
The coexistence of global streaming services and third-party licensing is transforming the entertainment industry, signaling a departure from the traditional sales-centric approach. Major U.S. studios, such as Warner Bros. Discovery and Paramount Global, are actively embracing this shift and leveraging the opportunities it presents. As the market economics evolve, international co-productions have gained traction, emphasizing the vital role of collaboration in securing funding and creating globally appealing content. Additionally, the integration of AI has become a focal point for industry professionals, who recognize the need to understand and adapt to this disruptive technology. Mipcom continues to be an invaluable platform for discussion and exploration of these evolving trends, shaping the future of the entertainment industry.