Animation World Magazine, Issue 2.10, January 1998


Animation World News
Business

Microsoft And SGI Enter A 3-D Deal. Software giant Microsoft Corp and computer graphics hardware/software maker Silicon Graphics, Inc. (SGI) have formed a partnership to jointly develop a new product aimed at making Microsoft's Windows platform a more graphics-friendly development tool. Tentatively scheduled for a spring 98 release, the product, named 3-D Graphics Device Driver Kit (DDK) will use OpenGL, a graphics visualization technology standard created by SGI but never before adopted by one-time competitor Microsoft. This is good news for Windows users, and a significant event for both the hardware and software development community, confirmed 3-D graphics analyst Jon Peddie, who said, "Microsoft is sending a clear signal that it is serious about Windows as a platform for professional 3-D graphics." For SGI, which is in the process of downsizing by cutting several hundred jobs, the development deal with Microsoft is a move outside the realm of proprietary development for its own systems. SGI's senior manager of the graphics API group Shawn Hopwood said the company "continues its drive to build the widest possible market for professional-class applications using OpenGLa vital technology for developers providing platform-independent 3-D solutions." Kevin Dallas, group product manager for graphics and multimedia at Microsoft, said they are "very excited to be working with Silicon Graphics," adding that the initiative will "reiterate our commitment to OpenGL as the API [system] for professional applications like CAD and to Direct3D for consumer applications like games." Further announcements on the partnership between the two companies are expected.

Katzenberg, Disney Dispute Nears Settlement.
Just a week before their appointed Los Angeles Superior Court trial date of November 18, The Walt Disney Company agreed to an out-of-court settlement with former Disney film division head Jeffrey Katzenberg. Katzenberg, who left Disney in 1994, and went on to form DreamWorks SKG with Steven Spielberg and David Geffen, filed a $250 million lawsuit against Disney in April 1996. In the lawsuit, Katzenberg claims that, according to his contract, the company owes him the said amount as a percentage of profits from all product "put into distribution or production" during his ten years at Disney. Even though he no longer works there, Katzenberg says that he should benefit from the profits incurred from continued distribution of old product, one of Disney's great strengths. The "partial settlement" recently agreed upon does not mark the end of the dispute between the two parties, but it does move the legal process forward, without trial, to the arbitration phase in which it will be determined exactly how much Disney will hand over to Katzenberg. This amount will be decided upon in private proceedings, the terms of which, the parties have agreed, "will remain confidential." Looking at the big picture, the settlement was probably the best move for Disney, because it avoids the negative media attention that comes with a trial of this nature. S

Vinton To Work With Iwerks.
Portland, Oregon-based animation house, Will Vinton Studios has formed a contract with location-based (ridefilm) entertainment giant, Iwerks Entertainment, to jointly develop, produce and market film-based attractions for theme park and entertainment locations. Vinton will most likely produce 3-D computer animated films for large formats (70mm) such as those used in ride films and IMAX-type theaters. The deal between the two companies was signed in December at IAAPA, the trade show for the International Association of Amusement Parks and Attractions. Will Vinton Studios' CEO Tom Turpin said, "Both companies are committed to innovation." Iwerks CEO Roy Wright added, "we feel that partnering with Will Vinton Studios' ability to create characters and stories will allow us to raise the bar in the industry."

HIT Has High Hopes For Home Video. London-based HIT Entertainment has launched a video distribution arm, through which the company will distribute animated fare to the retail home video market. The first titles to be released are collections of half-hour episodes of TV series owned by HIT, including Brambly Hedge and Percy the Park Keeper. Two videos of each of these series were released in September and November, and more are planned for 1998. HIT anticipates that the launch into video will help the company to further develop licensing and merchandising activities. HIT chairman Robin Nellist also says that the company aims "to manage the exploitation of these rights in different markets; pay TV, terrestrial, basic cable, satellite and home video." Future plans include video releases of additional HIT-owned series, including Kipper, currently airing on the ITV Network, Archibald the Koala, in co-production with French studio Millimages, Anthony Ant, a series for BBC, Bob the Builder, a stop-motion series for pre-schoolers and Fairies!, four specials currently in development.

Disney Makes A Splash In Japan. The Walt Disney Company is expanding its presence in Japan with a new aquatic-themed amusement park called DisneySea. Attractions will include themed rides based on The Little Mermaid and Aladdin. The park is slated to open in the year 2000, and will be the second Disney theme park in Japan, next to Tokyo Disneyland.

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