Several years ago, at another mobile conference, several speakers talked about the casual game player emerging because of the new device, the Blackberry. Sure phones did have games on them, but the playing was cumbersome. 

Most creators have visions of merchandising and licensing in their heads.  Dollar signs dance around in their dreams, in hopes that Nick will take their property and make it a number one hit. But what do Nick, Disney and Cartoon Network want? They want the whole thing, all of it, all rights, all merchandise and all licensing.  Remember, the US government granted them the privilege in 1994 with the Fin Syn Act (See “Money, Money Where Are You?”).  Since they are in the driver’s seats they can ask for it all. 

The other night I invited Mike Young, co-CEO of Moonscoop, to speak to my class about co-production and the facts of life about where money comes from. Mike’s is one of the few studios that survived post “Fin-Syn,” which was a ruling in Congress in 1994 that now allows networks and broadcasters to own what they air, a 180 degree turn from the “separation of church and state” laws that existed since the emergence of radio in 1927.

Just this week I visited several studios with a software client.  The industry is preparing for MIPCOM in October. . . When MIPCOM, the biggest television market, is in sight, the industry changes gears and is looking for something fresh and new to whet the appetites of the international buyers. . . . During this trek around animation town, I absorbed a lot of information from a lot of different sources. 

Now it’s time to look at the other ways of getting brilliant content in front of audiences.  Distribution is the heart’s blood of any production.  If you have a Letter of Intent (LOI) or a pre-sale from a broadcaster in almost any part of the western world you have a winner in the eyes of co-producers and financiers.   This means that your idea is not just looking great in the pitch bible, but someone likes it. . .

Co-productions seem to be the standard for most independent animation projects.  But what does this mean?  Where does this money come from?  Today’s co-productions are as solid as a house of cards.  A small breeze and the whole thing could collapse. It all starts with a great concept? So, one would think.  But really it is sort of a convergence not a start.  The first card is a great concept.  Will the show idea appeal to an audience?  Can it be translated into a brand?  Will it be accepted beyond the US territory?  Can there be a life beyond the series? 

The network loves your show.  The executives see the total package potential.    It is moving forward into development, but what happens next. What do you get?  What do you do?

What happens at these markets? Who goes?  Let me lift the curtain on these shows.  All of these conventions were created for the purpose of buying and selling television shows. Just so you know, there are markets for the sales of feature films, music, games and other content, which I will talk about in the future.  But let’s concentrate on the “small screen” for the time being. 

For television, money eventually comes from ad sales. Advertising is what the acquisition executives, programming executives and development executives look toward when making a decision on content.  Will the show attract viewers? 

This is one of the questions being asked.  Commercials are the backbone of the money used to license shows or develop content, but what if you don’t have a broadcast deal yet? Where does the money come from?