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![]() | There are seven major movie studios in Hollywood, and all have been subsumed into global media conglomerates except for one lone holdout, MGM. Below is a list of the film-related assets that the parent company of each studio holds, along with a snapshot of its business profile. For more information on how these global businesses dominate other industries, see the "Media Giants" section on the website for FRONTLINE's May 2001 production, "Merchants of Cool." | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
America Online came into existence in 1985; Time Inc. and Warner Bros. -- the precursors to Time Warner -- were both created more than six decades earlier, in 1922. The January 2001 $106-billion merger between America Online and Time Warner was the largest media merger in history, combining hundreds of powerful media assets under one roof.
At one time, MGM was the darling of Hollywood, home to legends such as Louis B. Mayer and Irving Thalberg. In the past few decades, however, it has seen several owners come and go. Still, it holds 4,100 titles in its film library, and there have been reports that an MGM renaissance is under way.
Rupert Murdoch's global empire began in 1952, when he inherited two Australian newspapers from his father. Now his company owns diverse properties such as the Los Angeles Dodgers and HarperCollins Publishers. News Corporation bought Twentieth Century Fox in 1985.
Japan-based Sony Corporation started in 1946 as Tokyo Telecommunications Engineering, with three employees. Now, it boasts more than 180,000 employees worldwide and over $58 billion in sales for 2001. It has more than 1,000 subsidiaries worldwide, many of them key media properties.
Sumner Redstone's Viacom is the third largest media conglomerate, behind AOL Time Warner and Disney. Not only does Viacom house a major studio, it also owns movie theaters (1,700 of them in 13 countries) and has an 82-percent stake in Blockbuster, the No. 1 video-rental chain.
In 2000, Vivendi acquired Canada's Seagram, which owned Universal Studios, to form Vivendi Universal. Last year, U.S. box-office revenues for Universal topped $1 billion for the first time. (It was second to Disney, whose pictures earned only $12 million more than Universal's at the box office.) Through its 42-percent ownership of USA Networks, Vivendi also has interests in October Films and TicketMaster.
Disney Brothers Studio produced its first animated feature film, "Snow White and the Seven Dwarves," in 1937. Today, the Walt Disney Company is the second largest media conglomerate in the world behind AOL Time Warner. And for the last three years (1998-2000), Disney's pictures have brought in the most revenues at the domestic box office; last year alone, Disney's studios generated more than $1.1 billion in ticket sales.
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