Adabs/Reliance - first to distribute films by fiber optic cable commercially

Distribution of digital cinema films to multiplexes by fibre optic cable has long been the (pipe) dream of the movie industry. Qwest and Fox tested it in 2000. Japan's NTT West tested it in 4K with WB, Paramount and Sony in 005-2006. But as of May this year, Adlabs together with Reliance Communication are doing it on a weekly commercial basis - week in, week out. From Indiantelevision.com:

Adlabs Digital Cinema adds that it has also established a world first by becoming the first and only operator in the world to-date to commercially distribute digital cinema films over the optic fiber cable (OFC). Using the network of Reliance Communications, over 2000 digital cinema shows to-date have come from digital copies delivered via OFC on a weekly commercial basis.

Films are encoded at Adlabs Digital Cinema Mastering Facility at Film City in Mumbai and sent over a 200Mbps connection to its Content Distribution and Logistics (CDL) Hub at Dhirubhai Ambani Knowledge City (DAKC) in Navi Mumbai, from where they are sent further via dedicated 100Mbps OFC to cinemas as far as Ahmedabad. OFC allows for transportation of digital cinema films that is faster, more reliable and more secure than any other form of delivery.

With Reliance Communication having laid down 80,000 kilometers of fiber all across India, we could not have asked for a better partner (and it helps having the same parent company in Reliance ADAG), though the 'last mile' to the multiplex we've had to install.

So forget hard drives or satellite. If you want to see the future of film distribution, book a ticket to Mumbai and come and visit us. We will treat you to a nice meal as well.

UPDATE: This news was covered by both Variety and THR.com.

Spielberg-Reliance deal signed - Paramount reaction is very gracefull

So at last the deal has been signed. Spielberg is officially exiting Paramount and setting up DreamWorks SKG as an independent entity with the backing of Anil Ambani's Reliance ADA Group. THR.com broke the news:

Steven Spielberg has finalized a deal to secure at least $500 million in funding from Mumbai-based Reliance Big Entertainment.

In a related transaction, JPMorgan Securities will lead a bank loan syndication giving Spielberg another $500 million or more for a total $1 billion-plus to re-create DreamWorks as a private company, allowing it to sever its current ties with Paramount. Documents were finalized Friday after representatives of the various parties reached a handshake agreement on deal terms Thursday night.

The pleasant surprise was how gracious Paramount was about Spielberg's exit:

In a surprise move, Paramount issued a statement saying that the departing DreamWorks principals were also free to take their employees with them. While the DreamWorks brass had exit clauses in their current contracts, they needed permission to bring other execs or staff along to a reconstituted DreamWorks.

"To facilitate a timely and smooth transition, Paramount has waived certain provisions from the original deal to clear the way for the DreamWorks principals and their employees to join their new company without delay," the studio said.

Spielberg, DreamWorks partner David Geffen and CEO Stacey Snider are expected to quickly tender their resignations from Paramount. A DreamWorks spokesman declined comment on the developments.

Paramount even issued a letter wishing the exiting team well. The studio has had time to prepare for this departure and plan its reaction. It may also be angling for a future distribution pact with the new DreamWorks. But I would like to believe that the good people at Paramount are sincere. However, others are already busy wooing Spielberg to distribute through them:

Next comes a distribution deal, which is why GE's Jeffrey Immelt and Universal's Ron Meyer were dining with Spielberg and Snider last Thursday and why NBC Universal boss Jeff Zucker spent the better part of that afternoon with Steven planning out the rebuild of the fire-ravaged Uni backlot. Given how Spielberg sees Universal as his professional home (he never moved his offices even after Paramount bought DreamWorks), I've always assumed he'd land there. Now, with Immelt and Zucker paying homage, it looks like another done deal no matter how much Geffen would dearly love to play one studio off of the other and mastermind a bidding war for Spielberg/Snider. And David himself? He keeps telling everyone that all he wants is to say goodbye to the movie biz.

The effectively reveres acquisition of DremWorks in 2005 - which infused new talent and vigor into the seemingly moribund Paramount - was what the studio needed and it is under Brad Gray's leadership much stronger as a result today. So much so that they can afford to see Spielberg leave.

Now the interesting thing will be to see what the Reliance and JP Morgan-backed DreamWorks does. Just don't expect Spielberg to start shooting a masala film with SRK next.

Adlabs awarded FACT's anti-piracy certification

I am very chuffed to announce that Adlabs has been awarded certification by UK's Federation Against Copyright Theft (FACT). This makes us not just the only film services company in India receive this recognition, but the the first one in all of Asia. This demonstrates our absolute seriousness about protecting our clients films and that we do not benchmark ourselves against India but against the best in the world. The certificate was only awarded after a rigorous on-site two day inspection, audit and a series of interviews by a FACT officer who flew in from London especially for this purpose.

Bollywood or Hollywood, the same high standards of security and quality are what I push for in digital cinema and my colleagues at Adlabs insist on for DI and for the print lab. From The Hollywood Reporter:

NEW DELHI -- Adlabs Films, India's largest film processing facility, said Monday that it is the first such facility in Asia to be certified by U.K.-based industry body Federation Against Copyright Theft.

A large number of film service companies in the U.K. and Europe are now accredited by FACT, making it easier for studios and filmmakers to know they are dealing with a secure facility.

The Adlabs deal marks the first time in FACT's 25-year history that a company has been accredited outside the U.K. or Europe.

The certification applies to Adlabs' film processing and print lab, digital lab and digital cinema mastering facility along with Adlabs' preview theater, all housed within its Film City premises in Mumbai.

More details on the international implicatins of this deal from Indiantelevision.com:

Adlabs Films, the entertainment arm of Reliance Anil Dhirubhai Ambani Group, is stepping up to tap the international film processing markets, specifically the US, UK and Europe.

Already one of the biggest end-to-end digital post-production services provider in India, Adlabs feels there is potential to have a strong outsourcing model for Hollywood studios due to a low-cost advantage.

As a first step towards achieving this ambition, Adlabs has got "International Anti-Piracy Certification" by the UK body - FACT (Federation Against Copyright Theft). With the accreditation in place, Adlabs is hopeful of getting the foreign projects outsourced to its Film City premises in Mumbai.

"In the US, UK and other European countries, studios do not outsource processing because of piracy. Now after getting a certificate from an international body like FACT, studios and film-makers will know that they are dealing with a secure facility and we will be able to market ourselves better," Adlabs motion picture processing and allied services president Shankar Dutta tells Indiantelevision.com.

Already one Hollywood studio is doing its release prints in India with us and we are in discussions with others for print, DI and digital cinema work. You can now find us under the list of accredited members (screen shot above from sub-section of accredited digital cinema members).

And as the press release says, this is not the end but the tart of our efforts to ensure and demonstrate our commitment to copyright protection. Watch this space for more developments and announcements in the future.

Middle East woes Hollywood with financing

Now the petro-dollars are flowing back to the US, with Middle Eastern states taking an interest in Hollywood. It seems like $1bn is the minimum starting sum these days. The government owned Abu Dhabi Media (ADM) will spend that amount on making movies and theme parks in partnership with the likes of Warner Bros. From THR.com:

ADM unit Imagenation Abu Dhabi aims to partner on international film projects and invest in regional talent to create Arabic- and mixed-language content with crossover appeal.

The deal adds to ADM's growing global portfolio, which includes a previously announced film and video deal with Warner Bros. as well as plans for theme park and movie theater projects. ADM's first film under its Warner deal -- the Robert Rodriguez-helmed "Shorts" -- recently went into postproduction.

Based in the UAE capital of Abu Dhabi, Imagenation will assume oversight of the Warners deal, launched last year with twin $500 million funds covering film and video productions. The latest ADM funding is expected to cover 40 projects toting budgets of up to $50 million.

I am now waiting for one of the two US presidential candidates to take a swipe at Hollywood's dependence of foreign oil financing for its all-American entertainment.

Meanwhile the wait for the announcement about the signing of the Ambani-Spielberg/Reliance ADAG-DreamWorks deal continues. It is imminent, I am reliably told.