The IMAX Solution

By Gross, Daniel | Newsweek, March 1, 2013 | Go to article overview

The IMAX Solution


Gross, Daniel, Newsweek


Byline: Daniel Gross

A 'giant' way to save movies.

Americans are losing the taste for going to the movies. According to the Motion Picture Association of America, movie admissions in the U.S. and Canada dropped 18 percent between 2002 and 2011. Domestic admissions per capita were 3.9 in 2011, down from 5.2 in 2002.

Flat is the new up. But not at IMAX, which builds giant-screen movie systems and remasters films to be shown in those venues. Just before the Oscars, IMAX reported that its 2012 revenues had increased a smart 20 percent to $284.3 million, and that it had installed 125 new theater systems last year. "The network has grown around 25 percent for the last four years, compounded," says Richard Gelfond, a former lawyer and Drexel Burnham banker who has been running the firm since 1996. IMAX's stock has quadrupled in the past five years, giving it a value of $1.7 billion.

Why? IMAX is playing a different game than some of its struggling counterparts. It is essentially a technology company. IMAX doesn't produce its own films, nor does it build or operate multiplexes. Rather, it markets a film-going experience--a huge screen, dramatic pictures, fantastic sound, and expensive tickets. Add in 3-D, and IMAX turns a trip to the movies into an immersive, tactile, enveloping event that can't easily be replicated on smaller devices outside the theater. And while Regal Entertainment and AMC, the two largest U.S.-based theater owners, have no operations outside America, IMAX has successfully persuaded the burgeoning ranks of foreign theater developers to include it in their spanking-new multiplexes.

That ability to get into the foreign market matters--a lot. Middle-class Americans may be falling out of love with movies. But middle-class Chinese, Indians, and Russians are just starting to pick up the habit. Today about two thirds of Hollywood's box office comes from overseas. The number of screens in China has risen fivefold over the past several years.

Boston Consulting Group refers to the discretionary spending of emerging-market middle-class consumers as the "$10 trillion prize." "We had a minimal international presence seven years ago," says Gelfond, a youthful 58, with wavy, brown hair and a residual Long Island accent. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

The IMAX Solution
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.