Hollywood Art: System of sunnys
596. The world has spoken.

The first day, sales were minimal; however, many of those people had been involved in past successes, and that made them eager to see the film. Some were fans of the style, while others were drawn by nostalgia for this kind of movie.

They grossed five million dollars. That figure doubled on Friday, then again on Saturday, reaching a staggering forty-five million in just three days. By Sunday, the total had climbed to $63 million—exactly what they needed. That’s why Billy breathed a sigh of relief, and Pixar nodded in approval at the upcoming releases. It was clear they had another film scheduled for June 1997 and another in December 1997, from each of the three Hollywood teams.

–I don’t like it when things take that turn,– said Terry Semel, who had just learned about Billy hiring Betty Cohen. But what was the reason for approaching Betty now, especially when she was making headlines at The Times? Terry Semel was currently the co-chairman of Warner, and after some notable successes, his methods had earned a certain reputation.

“There’s nothing difficult about animated series when you just do what you’re supposed to and stop focusing on immediate interests. A company that doesn’t get that is corporately doomed to lose money. Sure, they’re stable... but only because of the history that surrounds them. And when you don’t understand that change is good, and pressure is good—”

Words that seemed intentionally provocative, especially in light of the recent mass layoffs. They had a King Arthur film lined up for release in June that year, and if it did well, it could solidify their position in the animation world.

–It doesn’t matter,– said Terry Semel, who knew full well that new hires were necessary. He was under pressure due to his reputation for profitability, but every series seemed to be getting ahead of him.

–The focus should be the original HBO series and the films from our production companies,– added Bob Daily beside him.

Their success was tied to the fact that Time Warner Group hadn’t seen substantial profits since 1996. In 1997, things had to change, but a loss of 300 million had already impacted the company’s finances. Still, they had to make the final payment of 120 million to Billy. That pushed their debt even further, making the merger between Time Warner and Broadcasting Systems a financial misstep, especially now that Hanna-Barbera was hanging by a thread.

With the company burdened by 16 billion in debt, it was clear that Hollywood studios were all tangled in this cycle of sustaining debt. The apparent corruption and asymmetrical information were pushing the total to 17 billion, just 3 billion short of triggering a corporate restructuring.

…

Ethan O’Hagan, Daily Telegraph (UK):

Here’s a film of the moment—fun, charming, visually flawless, and completely original in a way that may make us reconsider the very meaning of the word.

Alex Walker, London Post:

Shrek is alive, and with a dark, clever irreverence, it hilariously satirizes every cherished trope of childhood fantasy. Shrek is a subversive delight.

Anthony Quinny, Independent (UK):

With improbable finesse, it refreshes some of the oldest storytelling tropes and gives them a mischievous twist. It’s as if we’re watching both a tribute to the genre and a stealthy subversion of it, simultaneously.

Andrew Bradshaw, Guardian:

Shrek may not have Buzz Lightyear’s polish, but he’s a lovable goof, and you could do far worse this summer than skipping this.

Walter Bernard, New York Times:

Brilliant voice acting, script, direction, and animation combine to make Shrek a lovable work of real sophistication.

Mike Massie, Chicago News:

The film’s most effective moments come through clever visual gags drawn from familiar fairy tales.

Christopher Troder, Texas New Post:

Adults will find plenty to laugh at. Kids will love it.

Mark W. Steyn, The Seattle Times:

Even more surprising, for a movie with its fair share of fart jokes, it’s got genuine heart. Few films have managed to have their cake and eat it too—this one does so joyfully.

Matt Brunson, Chicago News:

A sharp, fast-paced comedy that nails the entire genre.

Paula Murray, L.A. Weekly:

A fresh perspective. Pixar continues to set the bar high in every area. It seems they’ve got aces up their sleeves. In any case, we look forward to being surprised by the company next month.

–Whatever the case, it seems their success comes from auxiliary ventures—they’re making money with other companies like Autodesk, ID Software, and Lux Comics,– Bob Daily remarked.

…

One of the biggest criticisms aimed at Lux Animation—or Pixar—was the so-called “bread factory” model, due to how quickly they released series. Many claimed Billy didn’t take the time to craft his own. What they didn’t know was his extensive network in Asia. Thanks to lower wages, productivity soared through partnerships with Madhouse, Olm Inc., Akon Productions, Gaimax, Lyrick Studios, and HIT. These companies were the real engine that made rapid delivery times possible, helped along by tools like email, which allowed them to send compressed 2MB files, totaling nearly 20MB, with ease and efficiency.

–I think expanding to Japan was a brilliant move,– said Anne to Betty Cohen, who signed her new contract the following day. The humiliation of being fired had been just the push she needed to return and energize three new entrepreneurs who were aligning with Lux Nation’s goals.

–It was. We don’t know much yet, but with such a private company, certain things indeed stay hidden from view,– replied Betty.

–Well, you’re now the animation coordinator. And with help from Wanda Franz, our television director, your goal is to lighten Jim’s load when it comes to animated series and major acquisitions. We want to expand to four TV channels,– Anne stated, laying out the new rules. The acquisition seemed to still be alive, for now. They had plenty of ideas to increase market share across channels, covering childhood, adolescence, and adulthood with hybrid animation styles.

–I’ve got some experience, and I can bring in HBO’s system,– said Betty, ready to dive in and make changes.

–Then it’s yours, Wanda. Betty’s in charge,– said Anne.

Her days would now be spent reviewing and optimizing workflows, while her evenings were dedicated to studying for her new master’s degree, padding her résumé.

...

On the other hand, Betty Cohen observed the animated landscape. While more animators were being used, Cartoon Network still seemed completely dwarfed.

–Why are their processes so much faster?– Betty asked.

–It’s simple. We only need a background acetate, then we build a model using our real-time engine to render the image. Five people handle everything—bringing it to life and replacing all the CGI environments with photographic techniques,– explained Wanda Franz. That technology, developed by Pixar and Autodesk, cut down work time by 5 to 8 months, depending on the scenes. For characters and movement, Pixar’s software shaved off another 6 months.

–So that's a nearly 15-month reduction in production time. And with the Japanese animators acting as intermediaries, it’s simply fantastic,– said Betty, now fully understanding how the company was able to release a film every 12 to 15 months, with only 200 to 300 people involved.

–We use fewer people thanks to Billy’s apps. He provides the script, all the dialogue, and the essential details. If it’s a fully original project, it would take a year. That’s why we’re slowly expanding our teams,– said Wanda, aware of the unparalleled scale of Lux Nation.

–Exactly how many teams do we have?– asked Betty.

–Since 1995, eight teams. We’re constantly hiring, but each team has at least 100 people. Teams 1, 2, and 3, which split their time between films and series, have 300 members each. Teams 7 and 8 have only 20, but they focus on children's programming. Another 80 people support Teams 1, 2, and 3. We're planning to merge Teams 7 and 8, and expand Lyrick, which is based in Texas, with some of our talent and contractors. Along with HIT, they produce six to eight series a year. That’s four times what we make here at Lux Animation, which also relies on ID Software and Pixar for certain applications,– explained Wanda Franz.

We subcontract DreamWorks animators since 1996, and Gábor Csupó’s animators too, for both our films and shows. Also, O Amblin, which assists with film production, although they’ll be closing soon due to internal disputes. We plan to hire 50 new animators and fresh talent. Our breakeven margin sits around 1,500 people, though most are subcontractors, – Wanda added.

Betty nodded. It was a smart way to run a business.

...