FORGET WHAT YOU HAVE HEARD, things are not as bad for the movie industry as the Hollywood studios would have you think.
Although it is threatened by students and collections of links on web sites, the movie industry has a saviour in links on web sites and uploaded content.
The abacuses at IHS Isuppli have stopped clicking and the analysts tell us that consumer spending on movies will increase over the next six years and will grow across all areas.
Global spending on a market that feels threatened by hypertext will increase from $61.4bn in 2010 to $68.9bn in 2015 as people flock to watch comedy, romance, action thriller, sci-fi and vampire movies.
Emerging markets can be thanked for some of the increases, said the analysts, but growth has stalled in the west.
"The expansion in global movie spending is being driven almost entirely by consumers in the growing economies of Asia-Pacific, Latin America, and Central and Eastern Europe," observed Richard Cooper, senior analyst for video at IHS.
"This is occurring despite the fact that the three regions combined accounted for only about one-third of total global movie spending in 2011. The remaining two-thirds of the spending was generated by consumers in the mature markets of North America and Western Europe-where growth has stalled."
Developing markets do have "escalating 'piracy' rates", according to the research, which can affect home video sales. In the US though, home video rental remains "one of the most popular ways to view movies".
Whether it is down to 'piracy' or not, video on demand services account for just two per cent of spending in the US, while the figure is slightly less in Western Europe. It seems that people just cannot live without the experience of "going to the movies", and even in China, often seen as a hot spot of so-called 'piracy', as many as eight movie screens are being built every day.
Revenues are also being boosted by 3D movies, for which cinemas can charge premium ticket prices. By 2015 consumer spending at cinemas will total $41bn a year, or 59 per cent of all film revenues. µ
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