5by5 | The Critical Path #28: False Profit

Horace interviews writer/producer Dan Abrams. Dan talks us through the budgets and cost structures of independent movies as well as the obstacles to innovation presented by the current industry structure. We talk about some of the new concepts that are emerging as means to overcome these obstacles. We also talk about new forms of distribution and financing that enable long-tail film and TV content. Dan also talks about his upcoming mockumentary about the Global Financial Crisis (www.falseprofitthemovie.com).

via 5by5 | The Critical Path #28: False Profit.

5BY5 | The Critical Path #27: Supernova

What will iPads grow up to be?

We talk about how measurements of the market show an unprecedented growth in mobile computing and how that leads to a new context for computing along axes of non-consumption. That could result in devices becoming powerful enough to allow most people to be creative and reach self-realization.

5BY5 | The Critical Path #27: Supernova.

5by5 | The Critical Path #26: Zeitgeist

  • Act I: An analysis of the manufacturing cost structure for iPhones
  • Act II: The $10 billion App store economy and how to quantify value of apps per iPhone
  • Act III: Rather than seeing it as the exception, Apple, like GM and IBM may be the rule that defines an era.

This episode is sponsored by AppsFire and MailChimp.

5by5 | The Critical Path #26: Zeitgeist.

5by5 | The Critical Path #25: Only the freshest Mountain Dew

We take a look at Mountain Lion as evidence that Apple is cross-pollinating its product lines. We look at the Apple stores as a service brand and Horace tips his hand ever so slightly about Asymconf.

via 5by5 | The Critical Path #25: Only the freshest Mountain Dew.

5by5 | The Critical Path #23: Auteur Theory

Horace talks to Prof. Bill Torgerson from St. John’s University about the writing process and how it survives and/or thrives as a commercial enterprise. We touch on writing for movies and compare the collaborative process of “content creation” vs. the “single voice” of an author.

5by5 | The Critical Path #23: Auteur Theory.

If you make software you really should pay attention to how art is made. And vice versa.

Show notes:

5by5 | The Critical Path #21: Negative Costs

Continuing their discussion of the creative side of Hollywood accounting, Dan and Horace take a look at the way income from movies is distributed and why no movies ever make money. The observations sharpen focus on the over-arching influence distribution has on the creative process.

5by5 | The Critical Path #21: Negative Costs.

 The following chart is a visualization designed to accompany the podcast:

Compensation based on “Net income” depends on there being a surplus rather than deficit. The problem is that the Fees and claims on income increase as they are defined as a percent of total income so the goal of break-even is a moving target.

The Negative Costs are approximated by the production costs as discussed and visualized in the previous podcast here.

5by5 | The Critical Path #20: Below the (belt)line

Horace and Dan begin a journey through the financial carnival that is Hollywood and talk about the wonders they encounter.

via 5by5 | The Critical Path #20: Below the (belt)line.

During the show I refer to the diagram below which represents the allocation of costs of production for a sample of movies: