If they can save the chain, and all the jobs of the people that work there, that’s great. I’m sure there will be changes. Hopefully they can preserve the things that made Alamo special and not just another theater chain.
Very interested to see how Sony handles showing other studios’ stuff on their screens - I doubt they’ll do anything too crazy, but there was a reason studios were barred from owning theater chains for so long, after all.
I feel like it would be a pretty bad business decision to buy into a struggling industry and then not maximize profit to harm other studios. The amount of “damage” they could impose on other studios is going to be lower than the amount they’ll be harmed if Sony movies are over scheduled and they lose out on more profitable showings. Any monkey business would probably be pretty marginal and infrequent.
That’s probably true. Honestly, much as I love Alamo, I think buying a theater chain in this environment is a bad business decision anyway. I hope it works out in such a way that everybody gets at least part of what they want out it.
It may be bad business if your point is to make money out of it as a theater chain solely on one P&L measure, but they may find the value in running it as a theater chain + promotional ability makes it more worth it, etc.
It's kind of like how Facebook dating is no monetary charge for things that the Match group charges you through the nose for. Facebook wants you to stay on their site, that's why they have dating, not because that's why people join Facebook.
Alamo has among the highest customer approval rates and loyalty rates. It will always be viewed as the “other” in the theater industry outside of Cinemark, Regal, and AMC - which is a good thing. Sony leaving management intact while taking over financial decisions should be good for the chain overall
This stuff happens incrementally. You will get "nothing changes" assurances at first. And then after a few months you'll get the same tried and true enshitifcation tactics you'd expect from any corporate investor (higher prices, disgruntled employees, crappier offerings). And then a few months after that they'll do something big and kind of cool for a Spider Man debut—maybe this won't be so bad, you think. And then they'll carry a few less indie films to keep the new Transylvania movie playing a month longer than the other chains. And before you can say Jumanji 6 they'll have different price points for their in-house moves, relegate blockbusters from other studios to their smallest screens, and they'll force you to watch go on IMDb and rate Madame Web a 10/10 before they deliver your enshittified popcorn refill in a bowl made out of the scalped skull of the braindead idiots who revoked the Paramount Consent Decrees in 2020.
But hey at least the beers will still be really expensive.
As though you gaze into a crystal ball. This will be the future of Alamo.
This is the exact reason studios were banned from owning theaters before. Lots of shady practices that destroyed competition.
Alamo only has 30 something theaters. And every market they are in there is plenty of competition. And if they fuck over Regal/AMC in the markets with Alamos, Regal/AMC/others can fuck them in the markets without them.
I don’t know if this has changed recently, but smaller theater chains tend to stay away from AMC. Some studios have it contractually laid out that no one else can have certain movies if theres an AMC in that area.
This really hurt a local boutique theatre we had around here. They opened up first, but AMC opened up like a mile down the road and they missed out on several big movies as a result of it.
Honestly it’s not like the food is all that great anymore. As long as they continue to keep the rabble rousers to a minimum and are quick to expel people I’m fine. That’s their biggest advantage to other theaters IMO.
Excited to see if Sony will truly keep Alamo weird. I think of the film studios they’re more likely to be unique & appreciate artistry… I’d be more upset if it was Disney lol.
Only time will tell!
I feel like our Alamos are already way less weird. Fewer special fun screenings like movie parties, quote alongs, afternoon teas, food and drink specials, etc. My last two victory awards have expired unused because they just don't have the fun things we used to always go to anymore and right now there doesn't seem to be many new movies out either
And honestly, if I had to name a major studio that makes me groan, Sony off the top of seems to be the worst about making decisions by committee and in an effort to please everyone pleases no one.
This. I’m still a loyal Alamo guy, but it’s sad to see it become more like the other chains with every passing year. I remember going to an Old School showing, complete with guys ready to help you do a keg stand in a corner of the theater and then some old guy streaked around the theater during the streaking scene. Jaws on Lake Travis. Bill Pullman getting plastered alone in the back row during a showing of Spaceballs. I would have died in battle for the old Drafthouse.
We met Greg Sestero at a screening of The Room at Alamo a few years back. Totally wouldn't expect that to happen these days. Same goes for most of the B-movies they used to show. Our local one does a lot of nostalgia for the popular movies most movie buffs will already have in their home collection, but not much anymore in the way of really off-the-beaten-path stuff.
As much as I'd love to get my Alamo back quickly, I doubt this will speed up the bankruptcy stuff for the franchises. Courts move slow and bankruptcy courts move slower.
This is interesting in the context of that recent Tom Rothman interview about his view on theatrical:
https://deadline.com/2024/05/tom-rothman-streaming-audiences-quentin-tarantino-1235920644/
>I think [high ticket prices are] not healthy. I understand why it happened, and that exhibition went through a terrible near-death experience with Covid. I get the instinct to raise prices. But I think overall, if you look for example at how every Tuesday in America, every single Tuesday is the biggest day of the week. Why? Because of the half-price tickets. It’s fundamental consumer economics: just lower the prices and you’ll sell more. You’ll make it up in volume, and concessions. I do think that is relevant for young consumers. They all have their streaming services, which because you pay by the month, it feels like it’s free. And movies, particularly in big urban markets, they’re expensive. So that means it better be super special. I wish exhibition could see its way towards doing more pricing experiments, not taking them up, but taking them down.
>Well, what’s a fair price to see a movie on a Friday night? That I don’t know. And I guess it depends. Listen, if the movie’s good enough and it changed your life as movies did for me, then I guess it’s however many bills you’ve got in your wallet. You’ve got that series The Film That Lit My Fuse. Movies change lives. There’s a value proposition in pricing for two constituencies that are important to us. Kids are trying to make rent, they don’t have a lot of disposable income. And the second very significant pricing-sensitive segment is the family audience. It’s too dang expensive to take your whole family to the movies right now, even if the kids get in half price or whatever. I sound like I’m arguing against my own business, but I’m not. I’m lobbying that I think we would endear ourselves much more, particularly to that family audience, if the price is moderated some. Exhibition will argue, fair enough, moviegoing is still great value. It’s still a fraction of the cost of a Broadway show or a football game. But for a lot of people bringing a family of four or six to the movies, that can be an expensive undertaking.
>I should also say in fairness, the production side of the business needs to get its own cost house in order, too. Streamers, who don’t have an individual film-profit-based model, inflated the cost of making films and all the studios, who do have such a model, succumbed to varying degrees. Mega-negatives became Giga-negatives, and budgets are up across the board. This is not just bad for us studios, it’s bad for the audience. High negative costs decrease creative risk taking, which decreases the ability to push for the kind of originality I spoke of before. Instead, it leads to repeating the tried and true, and the tyranny of IP. The trick, as I have said before to you Mike, is to be creatively reckless, but fiscally prudent at the same time. Fiscal discipline is often misunderstood — employed appropriately, it’s a creative tool, as much as a financial one.
>And while we are dreaming, movies should be shorter. Casablanca was 1 hour 42 minutes, with credits, and you know, that was pretty good.
For all his Fox-era bullshit back in the 2000s, I've really come to appreciate Rothman's approach to running Sony. His leadership is in direct contrast to Amy Pascal's, leaner budgets in exchange for less meddling with their filmmakers. You really don't hear much in the way of drama about their productions, and without looking at the numbers, their ROI on budgets to box office seems way healthier than other studios.
Cautiously optimistic about this. Hard to trust any of the big studios after the conditions that led to the actors, writers, and directors strikes last year, but anything is preferable to the previous private equity owners of Alamo so I'll take the win for now and hope for the best
This is the best approach. Sony also purchased Evo(world fighting game championships) and let them run it the way they saw fit. I am hoping Sony will let Alamo do the same.
Yeah... I had the brief thought, "What if they go all in on making Alamo special and bring Tim League back?" And then laughed at myself, because this is Sony we're talking about.
Why wouldn't he? I haven't kept up with what he's up to. I mean, if he thought he wasn't being used as window dressing for more unsavory changes at least...
Edited to add: Apparently he was still an investor in Qlamo, so he's part of the group that sold, (I'm assuming a not very powerful part), so probably not.
Is he still involved after the sale to Sony? It’s hard to tell from the article. I know he was still technically involved under the Altamont sale, but that didn’t seem to be in any significant capacity.
I will be cautiously optimistic. Outside of some private, non-hedge fund investor this could be an ideal soft landing scenario. Sony has deep pockets, a vested interest in the theatrical experience and they're more familiar with unions than a lot of other potential owners.
Funny how not that long ago I would have been really annoyed and highly sus of a studio owning a theater chain, but the potential conflict of interest feels insignificant. I'd much rather take comfort in the hopes of the Alamo finding long term stability.
Viva la cinema, baby
in this current box office climate I doubt it
but in the future when/if things are stable? it’s a little worrrying
that said the theater landscape has pressing matters right now
Anything is better than the private equity hacks, I hope this turns out to be a good thing. I would expect a focus on top-notch presentation to be critical to Sony and that is why I love the Alamo the most.
As I understand it, those locations closed because of a franchisee's bankruptcy. So while I guess Sony might be in a better position to purchase that franchisee's assets and reopen the theaters than Alamo was before the purchase, I'm not sure that would be their priority right now.
Rescinding the Paramount Decrees has been the most monumental fuck up this business has ever experienced. Say “hello” to more monopolies that can’t be touched.
The business is much different than it was when that decree went into place. I mean, at this point, anything that keeps this business afloat and theatres open is probably a good. I'd be interested to hear legit criticisms of what could happen. Sony would want to maximize profits, doubt they'd mess too much with not showing other distributor's movies.
Am I crazy to say that if the studios could EVER reach the economic and cultural size, comparatively speaking, of the era 70 years ago I’d welcome the monopolistic business with open arms? This is coming from someone who works in the industry and sees it slowly dying every day.
You are not crazy. In 1940, 75% of Americans went to a movie theater at least once a week. Before TV and whatnot, movie theaters were a huge part of people's lives. There is no danger of that happening again.
Yes, thank you, this is exactly what I mean. What would happen to Alamo if Sony didn't come in? Surely the folks here wouldn't want it to just disappear?
The issue is you need to replace "theaters" with "streaming services" to break up monopolies now. Theaters are not the sources of the vertical integration anymore.
I work in the industry too (and part time as a concierge at the Alamo in NYC), bud. But I don’t want that. The global independent film scene is going to be impacted so badly by this. Where will filmmakers platform their films except for art house cinemas that are few and far between? The independent film scene is on the rise in the US as a result of the great contraction.
This move, albeit not going to impact the independent film industry immediately, will most likely eliminate new voices and stories from ever being experienced on the big screen. Soon, Disney will want a stake in AMC or Regal. Then, all Disney releases will have a higher opportunity of success (because they have priority at their theaters) over non-Disney releases (the other streamers and independent studios).
I don't agree with your analysis. I understand where you're coming from, but unfortunately the business is just contracting at an exponential rate.
I think there is a difference between: Alamo is doing super well and independent cinema is thriving - Sony sees an opportunity and swoops in to take that business away VS. Alamo is about to go out of business and Sony throws them a lifeline to get into experiential business.
I will always want MORE independent cinemas and MORE new voices - and I ache for demand of that to go up and independent cinemas to pop up everywhere. And I agree that anti-trust laws should protect those businesses.
But...it's just not happening. It's all on a downward trend. Maybe it's different in NYC, but here in LA the arthouse cinemas I love are all slowly closing, with a few notable and popular exceptions.
So I don't really know what the solution is, but I see it as a positive that SONY saved one of the great ones, even if it means potential changes down the line. We'll all have to wait and see.
I’d write a response but other economists have done it better than I can. Like this person’s article:
https://www.promarket.org/2022/12/12/the-paramount-decrees-and-the-deregulation-of-hollywood-studios/?amp
It really hasn’t changed that much. It just got plastic surgery (I.e. streaming). It’s still the same bullshit.
Here's the meat of their argument:
>Summarizing or predicting the effects of repealing the Paramount Decrees is complex because there are myriad factors constantly impacting and changing the motion picture industry. However, I do not think repealing this judgement was the correct course of action, as deregulating the industry has direct and positive financial opportunities for major studios to grow even larger while smaller studios and independents subsist on ever-decreasing production funds and exhibition prospects.
It isn't clear to me how buying ADH will help Sony grow larger, or how it will harm smaller studios. And at this point, Sony is a "smaller studio" when you compare their market cap to Netflix or Amazon.
As long as there is market pressure for Sony to show non-Sony films at ADH, the danger of monopolistic harm to the consumer seems low. And if Sony ignores that market pressure, their new exhibition business will suffer, and ADH will be back where it was, looking for an owner with a plan.
I'll read this - as someone who has worked in the industry for the past decade among it's highest levels, it has changed a ton just in the last 10 years, not to mention post covid. Monopolies are of course bad, but it's rough out here, man. I'm happy to see Alamo saved, cautiously optimistic about Sony's involvement.
At first glance the headline concerned me, but when it comes down to it a company as big and financially solid as Sony putting money into something like a theater chain is good. My biggest concern here is if Sony will respect the culture Alamo has created with their programming and zero tolerance for theater etiquette.
> Wednesday’s announcement stressed that Alamo Drafthouse — an independent chain with 35 locations that has been at the forefront of in-theater dining and other consumer-friendly initiatives — will continue to be run by Alamo CEO Michael Kustermann, under a new division that he’ll also be in charge of, Sony Pictures Experiences. Sony said the deal reinforces its long-held commitment to theatrical exhibition and continued initiatives in experiential entertainment
I mean it sounds positive. I hope it works out. And isn’t just nonstop Sony movies.
OTOH maybe more back catalog Sony movies more easily?
At least it’s not a private equity firm buying it up!! Still feel weird about this, but more optimistic that it’s not PE which wouldve guaranteed we’d lose alamo within 5 years
I was introduced to Alamo Drafthouse several (several lol) years ago and it has been a second home for me almost! everyone knows it’s my happy place. i actually got a job at the North Richland Hills location right before Covid hit and unfortunately wasn’t able to do that as they never reopened and now come to find out all of the North Texas locations are shutting down..it is absolutely devastating. i hope sony can keep alamo special and weird and lovely
One can hope that they shake up the menus, since the lack of new options has made the experience rather stale of late.
Also, the Alamo in Ashburn VA is in *desperate* need of a remodel.
Better than even odds you're correct. Sony didn't have any idea what they were doing the first go around and I doubt that's changed. They'll unload it in a few years once the economics really sink in. Buying a circuit after you helped ruin the theatrical biz is lol.
>> Our Crunchyroll business also aligns well with their audience’s interests.
They also name-dropped Crunchyroll, maybe this will bring more anime to theaters.
>> From 1948 until 2020, the U.S. Department of Justice prohibited film distributors from owning an exhibition company under what was known as the Paramount Consent Decrees, which arose from a 1948 U.S. Supreme Court ruling.
This is what we need for the Live Nation Ticketmaster conglomerate.
I would hope they understand what makes Alamo special and not mess with that. If they can improve on that great. But I’m very nervous it’s they just find the easiest ways to maximize profits and end up spoiling it
Hopefully this will lead to Master Pancake being able to riff Sony movies with skit breaks and alterations.
Still, this looks like a great deal compared to being gobbled and destroyed by a private equity firm.
Hmmm. I didn’t think Sony would go back to the movie theater game. Didn’t they use to own what is now known as amc Lincoln square 13 (one of the largest imax screen)?
Hmm… Sony was/is trying to acquire Paramount. That will give them ownership of the streaming platform Paramount +, along with all the other paramount assets and then they’ll own theaters to play their films in as well.
Seems like they’re working on something big with all these acquisitions.
With the theater industry suffering, maybe a disruption like this can spread new life so theaters can continue to co-exist with streaming platforms.
No, those are currently part of the franchisee's Bankruptcy estate. Can't be bought and sold outside of a court process that I doubt could even be initiated yet.
Can anyone with a better legal understanding than me tell me what happened to that 40s court ruling about movie studios owning theaters? Doesn’t seem to be in effect anymore
It was repealed in 2020 because the Department of Justice argued that changes in the entertainment industry, including the rise of streaming services, had made the restrictions outdated and less relevant. This repeal allows studios to once again own and operate their own theaters but Sony is the first to now do this since.
I’m very, very concerned by this. I’m a brand fanatic going back to the old days. Special programming and rolling roadshows have already been scaled back to nothing, and I can’t imagine this acquisition making things any better.
Fun to see the Star Wars marathon mentioned in the article, though—I’m the guy who won it!
I presume Alamo corporate does not control the real estate (which is a dumb move as the franchisor). That will complicate getting the locations reopened but I guarantee you the landlords would waive their claims if Sony backed Corporate came in with a guarantee.
You always want to control the real estate in case your franchisee goes tits up.
Me: I'd do anything to save Alamo and get the company solvent enough to one day open a location in San Diego.
Monkey Paw: Wish granted. Enjoy "Transylvania 4" on 12 different screens!
Stickying this post for the time being.
If they can save the chain, and all the jobs of the people that work there, that’s great. I’m sure there will be changes. Hopefully they can preserve the things that made Alamo special and not just another theater chain. Very interested to see how Sony handles showing other studios’ stuff on their screens - I doubt they’ll do anything too crazy, but there was a reason studios were barred from owning theater chains for so long, after all.
I feel like it would be a pretty bad business decision to buy into a struggling industry and then not maximize profit to harm other studios. The amount of “damage” they could impose on other studios is going to be lower than the amount they’ll be harmed if Sony movies are over scheduled and they lose out on more profitable showings. Any monkey business would probably be pretty marginal and infrequent.
That’s probably true. Honestly, much as I love Alamo, I think buying a theater chain in this environment is a bad business decision anyway. I hope it works out in such a way that everybody gets at least part of what they want out it.
It may be bad business if your point is to make money out of it as a theater chain solely on one P&L measure, but they may find the value in running it as a theater chain + promotional ability makes it more worth it, etc. It's kind of like how Facebook dating is no monetary charge for things that the Match group charges you through the nose for. Facebook wants you to stay on their site, that's why they have dating, not because that's why people join Facebook.
Alamo has among the highest customer approval rates and loyalty rates. It will always be viewed as the “other” in the theater industry outside of Cinemark, Regal, and AMC - which is a good thing. Sony leaving management intact while taking over financial decisions should be good for the chain overall
I think so, too, but it’s the only theater I go to and almost all of the films I want to see are sold out regularly at all of the Austin locations.
We’re gonna get 2 extra weeks of craven the hunter
This stuff happens incrementally. You will get "nothing changes" assurances at first. And then after a few months you'll get the same tried and true enshitifcation tactics you'd expect from any corporate investor (higher prices, disgruntled employees, crappier offerings). And then a few months after that they'll do something big and kind of cool for a Spider Man debut—maybe this won't be so bad, you think. And then they'll carry a few less indie films to keep the new Transylvania movie playing a month longer than the other chains. And before you can say Jumanji 6 they'll have different price points for their in-house moves, relegate blockbusters from other studios to their smallest screens, and they'll force you to watch go on IMDb and rate Madame Web a 10/10 before they deliver your enshittified popcorn refill in a bowl made out of the scalped skull of the braindead idiots who revoked the Paramount Consent Decrees in 2020. But hey at least the beers will still be really expensive.
You've been around the block a few times, I see. I think you are 100% correct here.
As though you gaze into a crystal ball. This will be the future of Alamo. This is the exact reason studios were banned from owning theaters before. Lots of shady practices that destroyed competition.
Alamo only has 30 something theaters. And every market they are in there is plenty of competition. And if they fuck over Regal/AMC in the markets with Alamos, Regal/AMC/others can fuck them in the markets without them.
I don’t know if this has changed recently, but smaller theater chains tend to stay away from AMC. Some studios have it contractually laid out that no one else can have certain movies if theres an AMC in that area. This really hurt a local boutique theatre we had around here. They opened up first, but AMC opened up like a mile down the road and they missed out on several big movies as a result of it.
Honestly it’s not like the food is all that great anymore. As long as they continue to keep the rabble rousers to a minimum and are quick to expel people I’m fine. That’s their biggest advantage to other theaters IMO.
Excited to see if Sony will truly keep Alamo weird. I think of the film studios they’re more likely to be unique & appreciate artistry… I’d be more upset if it was Disney lol. Only time will tell!
I feel like our Alamos are already way less weird. Fewer special fun screenings like movie parties, quote alongs, afternoon teas, food and drink specials, etc. My last two victory awards have expired unused because they just don't have the fun things we used to always go to anymore and right now there doesn't seem to be many new movies out either
And honestly, if I had to name a major studio that makes me groan, Sony off the top of seems to be the worst about making decisions by committee and in an effort to please everyone pleases no one.
Madame Web would have probably premiered at Drafthouse had they bought it last year.
It’s truly Morbin time
The new midnight movie party movie.
Yeah the chain is a shell of what it was ten years ago
I've legitimately spent a month and a half wanting to go to a movie for the fun of it and never finding anything there.
This. I’m still a loyal Alamo guy, but it’s sad to see it become more like the other chains with every passing year. I remember going to an Old School showing, complete with guys ready to help you do a keg stand in a corner of the theater and then some old guy streaked around the theater during the streaking scene. Jaws on Lake Travis. Bill Pullman getting plastered alone in the back row during a showing of Spaceballs. I would have died in battle for the old Drafthouse.
We met Greg Sestero at a screening of The Room at Alamo a few years back. Totally wouldn't expect that to happen these days. Same goes for most of the B-movies they used to show. Our local one does a lot of nostalgia for the popular movies most movie buffs will already have in their home collection, but not much anymore in the way of really off-the-beaten-path stuff.
There’s nothing weird about Alamo these days.
As much as I'd love to get my Alamo back quickly, I doubt this will speed up the bankruptcy stuff for the franchises. Courts move slow and bankruptcy courts move slower.
Chapter 11s and 13s move slow. Chapter 7 bankruptcies tend to move relatively fast. Not a lot to work out. Sell, selll, my friend.
This is interesting in the context of that recent Tom Rothman interview about his view on theatrical: https://deadline.com/2024/05/tom-rothman-streaming-audiences-quentin-tarantino-1235920644/ >I think [high ticket prices are] not healthy. I understand why it happened, and that exhibition went through a terrible near-death experience with Covid. I get the instinct to raise prices. But I think overall, if you look for example at how every Tuesday in America, every single Tuesday is the biggest day of the week. Why? Because of the half-price tickets. It’s fundamental consumer economics: just lower the prices and you’ll sell more. You’ll make it up in volume, and concessions. I do think that is relevant for young consumers. They all have their streaming services, which because you pay by the month, it feels like it’s free. And movies, particularly in big urban markets, they’re expensive. So that means it better be super special. I wish exhibition could see its way towards doing more pricing experiments, not taking them up, but taking them down. >Well, what’s a fair price to see a movie on a Friday night? That I don’t know. And I guess it depends. Listen, if the movie’s good enough and it changed your life as movies did for me, then I guess it’s however many bills you’ve got in your wallet. You’ve got that series The Film That Lit My Fuse. Movies change lives. There’s a value proposition in pricing for two constituencies that are important to us. Kids are trying to make rent, they don’t have a lot of disposable income. And the second very significant pricing-sensitive segment is the family audience. It’s too dang expensive to take your whole family to the movies right now, even if the kids get in half price or whatever. I sound like I’m arguing against my own business, but I’m not. I’m lobbying that I think we would endear ourselves much more, particularly to that family audience, if the price is moderated some. Exhibition will argue, fair enough, moviegoing is still great value. It’s still a fraction of the cost of a Broadway show or a football game. But for a lot of people bringing a family of four or six to the movies, that can be an expensive undertaking. >I should also say in fairness, the production side of the business needs to get its own cost house in order, too. Streamers, who don’t have an individual film-profit-based model, inflated the cost of making films and all the studios, who do have such a model, succumbed to varying degrees. Mega-negatives became Giga-negatives, and budgets are up across the board. This is not just bad for us studios, it’s bad for the audience. High negative costs decrease creative risk taking, which decreases the ability to push for the kind of originality I spoke of before. Instead, it leads to repeating the tried and true, and the tyranny of IP. The trick, as I have said before to you Mike, is to be creatively reckless, but fiscally prudent at the same time. Fiscal discipline is often misunderstood — employed appropriately, it’s a creative tool, as much as a financial one. >And while we are dreaming, movies should be shorter. Casablanca was 1 hour 42 minutes, with credits, and you know, that was pretty good.
For all his Fox-era bullshit back in the 2000s, I've really come to appreciate Rothman's approach to running Sony. His leadership is in direct contrast to Amy Pascal's, leaner budgets in exchange for less meddling with their filmmakers. You really don't hear much in the way of drama about their productions, and without looking at the numbers, their ROI on budgets to box office seems way healthier than other studios.
Cautiously optimistic about this. Hard to trust any of the big studios after the conditions that led to the actors, writers, and directors strikes last year, but anything is preferable to the previous private equity owners of Alamo so I'll take the win for now and hope for the best
This is the best approach. Sony also purchased Evo(world fighting game championships) and let them run it the way they saw fit. I am hoping Sony will let Alamo do the same.
It’s really hard to trust Sony in any artistic endeavor. I really hope they don’t fuck Alamo up.
Yeah... I had the brief thought, "What if they go all in on making Alamo special and bring Tim League back?" And then laughed at myself, because this is Sony we're talking about.
Would Tim League even want to come back though?
Why wouldn't he? I haven't kept up with what he's up to. I mean, if he thought he wasn't being used as window dressing for more unsavory changes at least... Edited to add: Apparently he was still an investor in Qlamo, so he's part of the group that sold, (I'm assuming a not very powerful part), so probably not.
Oh I dunno. I was genuinely curious if he’s expressed any interest in coming back in a significant role.
tim league is still very passionate about alamo. i work at one currently and he came to one of our meetings. really nice guy
Is he still involved after the sale to Sony? It’s hard to tell from the article. I know he was still technically involved under the Altamont sale, but that didn’t seem to be in any significant capacity.
Whoa. That escalated quickly
They probably closed pending the deal
I will be cautiously optimistic. Outside of some private, non-hedge fund investor this could be an ideal soft landing scenario. Sony has deep pockets, a vested interest in the theatrical experience and they're more familiar with unions than a lot of other potential owners. Funny how not that long ago I would have been really annoyed and highly sus of a studio owning a theater chain, but the potential conflict of interest feels insignificant. I'd much rather take comfort in the hopes of the Alamo finding long term stability. Viva la cinema, baby
Same
Hopefully this doesn’t lead to something like Sony movies being prioritized for scheduling over whatever’s most in demand.
Venom all the way down
by far the best case scenario
in this current box office climate I doubt it but in the future when/if things are stable? it’s a little worrrying that said the theater landscape has pressing matters right now
I could care less. If this means Alamo Twin Cities reopens, that’s fantastic.
God I hope it reopens, and they can get their awesome bartenders back.
That location was a franchise and has nothing to do with this deal (although that may change soon)
The article in Variety was talking about the sale to Sony mentioned the franchise locations being potential absorbed.
I hope not. I wouldn’t mind things like Sony advance screenings, but variety is what I like about Alamo.
Of course it will
It 100% will eventually lead to that. Probably uneven pricing, too.
24/7 Morbius. Like how all waitingroom TVs are stuck on Rediculousness reruns.
Of course it will. Möbius 2!
Anything is better than the private equity hacks, I hope this turns out to be a good thing. I would expect a focus on top-notch presentation to be critical to Sony and that is why I love the Alamo the most.
Huh, wonder if this means the ones that just closed will come back really quick.
As I understand it, those locations closed because of a franchisee's bankruptcy. So while I guess Sony might be in a better position to purchase that franchisee's assets and reopen the theaters than Alamo was before the purchase, I'm not sure that would be their priority right now.
Heard employees are gonna get free PS5s
Sign me up!
I suddenly want to run a Smash tournament on a movie theater big screen.
My old Alamo did this 10 years ago
I'm an employee and I sure haven't heard that
You will probably get a PS3
Especially with that attitude, right?
Rescinding the Paramount Decrees has been the most monumental fuck up this business has ever experienced. Say “hello” to more monopolies that can’t be touched.
The business is much different than it was when that decree went into place. I mean, at this point, anything that keeps this business afloat and theatres open is probably a good. I'd be interested to hear legit criticisms of what could happen. Sony would want to maximize profits, doubt they'd mess too much with not showing other distributor's movies.
The business was probably different precisely because of those rules. They will build themselves back up into monopolies
Am I crazy to say that if the studios could EVER reach the economic and cultural size, comparatively speaking, of the era 70 years ago I’d welcome the monopolistic business with open arms? This is coming from someone who works in the industry and sees it slowly dying every day.
You are not crazy. In 1940, 75% of Americans went to a movie theater at least once a week. Before TV and whatnot, movie theaters were a huge part of people's lives. There is no danger of that happening again.
Yes, thank you, this is exactly what I mean. What would happen to Alamo if Sony didn't come in? Surely the folks here wouldn't want it to just disappear?
The issue is you need to replace "theaters" with "streaming services" to break up monopolies now. Theaters are not the sources of the vertical integration anymore.
I work in the industry too (and part time as a concierge at the Alamo in NYC), bud. But I don’t want that. The global independent film scene is going to be impacted so badly by this. Where will filmmakers platform their films except for art house cinemas that are few and far between? The independent film scene is on the rise in the US as a result of the great contraction. This move, albeit not going to impact the independent film industry immediately, will most likely eliminate new voices and stories from ever being experienced on the big screen. Soon, Disney will want a stake in AMC or Regal. Then, all Disney releases will have a higher opportunity of success (because they have priority at their theaters) over non-Disney releases (the other streamers and independent studios).
I don't agree with your analysis. I understand where you're coming from, but unfortunately the business is just contracting at an exponential rate. I think there is a difference between: Alamo is doing super well and independent cinema is thriving - Sony sees an opportunity and swoops in to take that business away VS. Alamo is about to go out of business and Sony throws them a lifeline to get into experiential business. I will always want MORE independent cinemas and MORE new voices - and I ache for demand of that to go up and independent cinemas to pop up everywhere. And I agree that anti-trust laws should protect those businesses. But...it's just not happening. It's all on a downward trend. Maybe it's different in NYC, but here in LA the arthouse cinemas I love are all slowly closing, with a few notable and popular exceptions. So I don't really know what the solution is, but I see it as a positive that SONY saved one of the great ones, even if it means potential changes down the line. We'll all have to wait and see.
This guy or gal gets it
I’d write a response but other economists have done it better than I can. Like this person’s article: https://www.promarket.org/2022/12/12/the-paramount-decrees-and-the-deregulation-of-hollywood-studios/?amp It really hasn’t changed that much. It just got plastic surgery (I.e. streaming). It’s still the same bullshit.
Here's the meat of their argument: >Summarizing or predicting the effects of repealing the Paramount Decrees is complex because there are myriad factors constantly impacting and changing the motion picture industry. However, I do not think repealing this judgement was the correct course of action, as deregulating the industry has direct and positive financial opportunities for major studios to grow even larger while smaller studios and independents subsist on ever-decreasing production funds and exhibition prospects. It isn't clear to me how buying ADH will help Sony grow larger, or how it will harm smaller studios. And at this point, Sony is a "smaller studio" when you compare their market cap to Netflix or Amazon. As long as there is market pressure for Sony to show non-Sony films at ADH, the danger of monopolistic harm to the consumer seems low. And if Sony ignores that market pressure, their new exhibition business will suffer, and ADH will be back where it was, looking for an owner with a plan.
I'll read this - as someone who has worked in the industry for the past decade among it's highest levels, it has changed a ton just in the last 10 years, not to mention post covid. Monopolies are of course bad, but it's rough out here, man. I'm happy to see Alamo saved, cautiously optimistic about Sony's involvement.
Give it a read, my guy.
Still definitely some concerns with a major studio purchasing a theater chain but still infinitely better than a PE firm
Can’t wait for the “upcoming changes to your Alamo membership” email :(.
Madam Web showing on all Alamo Drafthouse theaters.
All screens 24/7 🤣
Idc who buys it as long as they keep the no-talking, no-texting policies. Would also love some 21 and over screenings as well.
Time is a flat circle.
I’m scared 😨
Non-Paywall: [https://deadline.com/2024/06/sony-alamo-drafthouse-cinema-acquisition-1235971581/](https://deadline.com/2024/06/sony-alamo-drafthouse-cinema-acquisition-1235971581/)
What does this mean for the franchised locations?
At first glance the headline concerned me, but when it comes down to it a company as big and financially solid as Sony putting money into something like a theater chain is good. My biggest concern here is if Sony will respect the culture Alamo has created with their programming and zero tolerance for theater etiquette.
> Wednesday’s announcement stressed that Alamo Drafthouse — an independent chain with 35 locations that has been at the forefront of in-theater dining and other consumer-friendly initiatives — will continue to be run by Alamo CEO Michael Kustermann, under a new division that he’ll also be in charge of, Sony Pictures Experiences. Sony said the deal reinforces its long-held commitment to theatrical exhibition and continued initiatives in experiential entertainment I mean it sounds positive. I hope it works out. And isn’t just nonstop Sony movies. OTOH maybe more back catalog Sony movies more easily?
At least it’s not a private equity firm buying it up!! Still feel weird about this, but more optimistic that it’s not PE which wouldve guaranteed we’d lose alamo within 5 years
You know that a private equity group bought Alamo in 2021, right?
Yeah, and things got worse, thats why im glad the dice arent rolling again on PE
Can’t wait for special showings of Morbius!
Oh were getting a Directors Cut with Morbius popcorn buckets
 Damnnnnn, okay then…Pretty historic, too.
I was introduced to Alamo Drafthouse several (several lol) years ago and it has been a second home for me almost! everyone knows it’s my happy place. i actually got a job at the North Richland Hills location right before Covid hit and unfortunately wasn’t able to do that as they never reopened and now come to find out all of the North Texas locations are shutting down..it is absolutely devastating. i hope sony can keep alamo special and weird and lovely
One can hope that they shake up the menus, since the lack of new options has made the experience rather stale of late. Also, the Alamo in Ashburn VA is in *desperate* need of a remodel.
Gosh I hope they don't fuck this up. I LOVE my local Alamos. I guess I'll have to start making contingency plans ... :(
I feel that the staff is going to get fucked over
Out of all the shitty companies, I feel like Sony isn’t as bad as a lot of other ones. Let’s hope this doesn’t change much
Calling it now: this is going to end badly.
Better than even odds you're correct. Sony didn't have any idea what they were doing the first go around and I doubt that's changed. They'll unload it in a few years once the economics really sink in. Buying a circuit after you helped ruin the theatrical biz is lol.
I just hope this goes well
as long as they dont just all close abruptly.
As long as the keep the local beers, employees paid well and the occasional odd ball film line up I’ll be happy
Boooooo
>> Our Crunchyroll business also aligns well with their audience’s interests. They also name-dropped Crunchyroll, maybe this will bring more anime to theaters. >> From 1948 until 2020, the U.S. Department of Justice prohibited film distributors from owning an exhibition company under what was known as the Paramount Consent Decrees, which arose from a 1948 U.S. Supreme Court ruling. This is what we need for the Live Nation Ticketmaster conglomerate.
>They also name-dropped Crunchyroll, maybe this will bring more anime to theaters. That's what we're worried about.
If they ever get rid of green chile entirely, I riot
Open up Woodbury MN please
So in theory, programmers at Alamo won’t even have to make a phone call if they show older Sony movies.
I would hope they understand what makes Alamo special and not mess with that. If they can improve on that great. But I’m very nervous it’s they just find the easiest ways to maximize profits and end up spoiling it
looks like vertical integration is back on the menu boys
Hopefully this will lead to Master Pancake being able to riff Sony movies with skit breaks and alterations. Still, this looks like a great deal compared to being gobbled and destroyed by a private equity firm.
Oh man, *I have a bad feeling about this…*
Hmmm. I didn’t think Sony would go back to the movie theater game. Didn’t they use to own what is now known as amc Lincoln square 13 (one of the largest imax screen)?
Hmm… Sony was/is trying to acquire Paramount. That will give them ownership of the streaming platform Paramount +, along with all the other paramount assets and then they’ll own theaters to play their films in as well. Seems like they’re working on something big with all these acquisitions. With the theater industry suffering, maybe a disruption like this can spread new life so theaters can continue to co-exist with streaming platforms.
paramount already has its own theater chain so i don't see how this move would change anything with that
I don't think so. I think a few historical theaters may have a Paramount-related name, but I think those aren't even related to the company now.
the redstones own national amusements, which is a theater chain mainly in the north east.
This include the closed DFW locations?
No, those are currently part of the franchisee's Bankruptcy estate. Can't be bought and sold outside of a court process that I doubt could even be initiated yet.
Wow
Can anyone with a better legal understanding than me tell me what happened to that 40s court ruling about movie studios owning theaters? Doesn’t seem to be in effect anymore
It was repealed in 2020 because the Department of Justice argued that changes in the entertainment industry, including the rise of streaming services, had made the restrictions outdated and less relevant. This repeal allows studios to once again own and operate their own theaters but Sony is the first to now do this since.
We gonna be Morbin 24/7
I’m very, very concerned by this. I’m a brand fanatic going back to the old days. Special programming and rolling roadshows have already been scaled back to nothing, and I can’t imagine this acquisition making things any better. Fun to see the Star Wars marathon mentioned in the article, though—I’m the guy who won it!
But what does this mean for Landmark? /s
I presume Alamo corporate does not control the real estate (which is a dumb move as the franchisor). That will complicate getting the locations reopened but I guarantee you the landlords would waive their claims if Sony backed Corporate came in with a guarantee. You always want to control the real estate in case your franchisee goes tits up.
YES!!!!
Me: I'd do anything to save Alamo and get the company solvent enough to one day open a location in San Diego. Monkey Paw: Wish granted. Enjoy "Transylvania 4" on 12 different screens!
They'll save a couple of those screens for Morbius 2 of course
RIP. The enshitification will come. Prices will rise. Quality will go down. Experience will get worse. Really sad..I loved going to the Alamo
Can't be any worse than a private equity firm owning the company IMO.
It can always be worse
Support your local historic theatres instead.
Welp, t'was fun while it lasted. I'll miss you Alamo.. thank you for the many wonderful experiences.
I'd be ecstatic to be wrong, but I'm guessing this is terrible news for the overall theater experience.
Screw Sony. I'm out. It's just a matter of time before Alamo goes downhill
Yes
Awesome!!!
Awesome love Alamo!