Apple plans to present feature films in theaters



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Apple
Inc.

AAPL -0.52%

seeks to make a sensation in Hollywood by presenting feature films in theaters before broadcasting them on its streaming television service, according to people close to these plans.

The company made openings to film channels and consulted with an entertainment industry executive as part of its theatrical release program that would keep its movies in theaters for weeks before becoming available on Apple TV +, said these people.

By now speaking to theater industry representatives and by broadcasting movies very early, Apple hopes to attract great directors and producers and avoid the tension created by another newcomer to Hollywood,

Netflix
Inc.

people familiar with Apple's strategy have said.

Netflix typically asks movie theater owners to stream movies that they own or produce while they are available on the streaming service. This approach limits the company's ability to play its films in large theaters, which generally insist that films are not broadcast online for about three months after their theatrical debut. In recent months, discussions between theater companies and Netflix on the presentation of contenders for prizes such as Martin Scorsese's upcoming drama "The Irishman" in their cinemas collapsed after both sides reached a consensus on l & # 39; exclusivity.

Apple's strategy looks more like that of

Amazon.com Inc.
,

who started releasing films in 2015. Amazon has given films such as "Manchester by the Sea" a theatrical window of three months, while others are filming two weeks.

Apple's efforts are led by its co-leaders of video programming,

Zack Van Amburg

and

Jamie Erlicht,

report to the service manager of the iPhone manufacturer, Eddy Cue. They typed

Greg Foster,

the former head of entertainment at

IMAX
Corp.

, as a consultant to help with the plan.

One of Apple's first major theatrical releases is Sofia Coppola's "On the Rocks", in which Rashida Jones is a young woman reconnecting with her eccentric father played by Bill Murray. Apple is planning an exit mid-2020, perhaps after a premiere at a major event such as the Cannes Film Festival, said people familiar with the situation.

"On the Rocks" is produced by the partnership between Apple and A24, an independent film production company renowned for its theatrical releases as the winner of the best film "Moonlight" and "Hereditary". Apple and A24 signed a multi-year partnership last year.

SHARING YOUR THOUGHTS

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A24, although well-known in Hollywood and among critics, is not famous for breaking box office records: its most popular release, Lady Bird, has raised $ 49 million in the United States and Canada .

Apple has also spoken to movie representatives about a documentary titled "The Queen of Elephants," which it plans to release this year. The documentary – about an elephant driving his flock across Africa – is expected to debut on November 1 on television and be broadcast in theaters so that he is eligible for awards, according to people familiar with the world. plans.

Rather than considering the theatrical strategy as a money taker, Apple is more interested in the prestige and construction of the brand that can result in a lavish theatrical release, according to people informed of its plans, a strategy similar to that of Amazon Studios. Like Apple, Amazon has focused on character-based movies largely abandoned by major studios, producing big budget features in the vein of "The Avengers" or "The Fast and the Furious ".

Apple has imposed itself as a place where artists can share their stories with the world, lobbying for a theatrical release plan for producers and filmmakers, said agents and advisers. ; Hollywood. According to them, a strategy would help society to woo content creators who still want to see their work on the big screen and be taken more seriously as a player in the film.

J.J. Abrams, the director of "Star Wars: The Force Awakens", recently ignored the opening made by Apple to the film, television and digital projects of the company. Instead, Abrams signed with WarnerMedia as part of a deal worth less than Apple's offer, in part because Apple did not have a movie distribution model, according to people familiar with it. with the negotiations.

The films could enhance the appeal of Apple TV +. Apple's subscription-based streaming service, which debuts on Nov. 1, will initially offer a handful of original series, making it a difficult sell against rivals' deeper streaming libraries like Netflix, Amazon and

Walt Disney
Co.

Apple has tried to counter its shallower offer by reducing the prices of its competitors. TV + will cost $ 4.99 a month, less than the $ 6.99 Disney plans to charge for Disney + and a fraction of the Netflix commission price of $ 12.99. The iPhone maker can afford not to benefit from this service because of the profits it generates on the hardware and its ability to distribute on more than 1.4 billion active devices in the world.

Apple's push to Hollywood has created challenges for established players. The day he announced his TV + tariffs, Disney General Manager Robert Iger resigned as Apple's board director to avoid potential conflict with growing corporate competition.

Mr. Foster brings to Apple nearly two decades of experience with some of Hollywood's most popular filmmakers, such as James Cameron and Mr. Abrams, who shot their films with IMAX technology, as well as large operators such as AMC Entertainment Holdings Inc.

Foster's tenure at IMAX coincided with the development of the company beyond science-museum documentaries to include auditoriums in all major theater chains, dedicated to screening the biggest Hollywood releases at a higher price on large screens. Because IMAX only shows one movie at a time, studios now schedule their releases at times when they know they can secure the IMAX auditoriums.

Write to Tripp Mickle at [email protected] and Erich Schwartzel at [email protected]

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