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Paramount Pictures

 
Hoover's Profile: Paramount Pictures Corporation
 
Contact Information
Paramount Pictures Corporation
5555 Melrose Ave., Ste. 121
Hollywood, CA 90038
CA Tel. 323-956-5000

Type: Subsidiary
On the web: http://www.paramount.com

When entertainment is paramount, many people turn to Paramount Pictures Corporation. A subsidiary of media firm Viacom, the company produces and distributes films through Paramount Pictures (Iron Man) and Paramount Vantage ("Arctic Tale"). It maintains the Paramount Pictures library of some 3,500 films, including classic hits from the "Star Trek, Godfather," and "Indiana Jones" series, and releases about a dozen new titles annually. Paramount Pictures distributes movies on video and DVD through Paramount Home Entertainment. The studio ceased to own former subsidiary DreamWorks in 2008. Paramount was founded as Famous Players Film Company by Adolph Zukor in 1912; it was acquired by Viacom in 1994.

Key numbers for fiscal year ending December, 2007:
Sales: $5,205.6M
One year growth: 28.5%

Officers:
Chairman and CEO: Brad Grey
COO: Frederick D. Huntsberry
EVP and CFO: Mark Badagliacca

Competitors:
Fox Filmed Entertainment
Disney Studios
Warner Bros.

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Company History: Paramount Pictures Corporation
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Incorporated: 1916 as Famous Players-Lasky Corporation
NAIC: 512110: Motion Picture and Video Production
SIC: 7812 Motion Picture & Video Production

Paramount Pictures Corporation is the last major movie studio located in Hollywood, California, the iconic locale having been vacated by Paramount's former neighbors, including MGM and Disney. With annual revenues in excess of $3.1 billion, Paramount is one of the largest film and television companies in the United States. Paramount's development from a privately owned company distributing films in California to a wholly owned subsidiary of Viacom, Inc., one of the world's largest media conglomerates, has been marked by alternating fits of financial feast and famine. Emerging from a financial low at the end of the 1990s, Paramount has been on the rise, engineering partnerships with a number of television and animation studios to produce innovative projects for the 21st century.

Foundation and Early History: 1912-23

Adolph Zukor, the founder of Paramount Pictures, spent most of his life establishing and supervising one of the largest and most successful motion-picture companies in the history of the entertainment industry. Zukor was born in Hungary in 1873, but immigrated to the United States at age 15. He arrived in New York with $40 hidden inside his waistcoat, and got a job sweeping floors in an East Side fur store. By the dawn of the 20th century, he was the owner of a prosperous fur business in Chicago.

Eventually Zukor returned to New York in search of new investment opportunities. There he met Mitchell Mark, an owner of penny arcades. These arcades, where customers paid pennies to see a short moving picture, were both popular and profitable. Zukor and Mark soon formed the Automatic Vaudeville Arcades Company with Zukor's friend Marcus Loew. A short time later, they were operating their own separate companies as owners of nickelodeons, where for a nickel customers could see a short movie.

It was a short step from nickelodeons to full-scale variety shows for Zukor and Loew. Combining movies and vaudeville acts, the men pooled their resources and established Loew's Consolidated Enterprises in 1910 with Loew as president and Zukor as treasurer. By 1912 they controlled a growing number of theaters, including New York's Crystal Hall on 14th Street. Zukor became intrigued by the possibilities of film production, particularly for longer shows (until that time, films had been arbitrarily kept to one reel, or ten minutes, by a consortium of the largest film distributors and licensers). He sold his interest back to Loew for a handsome profit and bought the U.S. distribution rights to a four-reel French production of Queen Elizabeth, starring Sarah Bernhardt.

After a tremendously successful opening of Queen Elizabeth at New York's Lyceum Theatre, Zukor founded a new company, Famous Players in Famous Plays (later shortened to just Famous Players), to begin producing movies. The company's first four releases--The Count of Monte Cristo, The Prisoner of Zenda, His Neighbor's Wife, and Tess of the d'Urbervilles--were moderately successful, but it was not until Zukor signed Mary Pickford that Famous Players started producing hits and making money. By 1913, his firm had increased its production to 30 pictures a year.

In 1914, Zukor met Jesse Lasky. Lasky had established the Jesse L. Lasky Feature Play Company in 1913 with himself as president and Cecil B. DeMille as director general. The firm's first production effort was The Squaw Man, directed by DeMille, and was soon followed by Rose of the Rancho and The Virginian. In its second year, the company released 36 pictures. When Zukor offered a 50-50 partnership in a joint Famous Players-Lasky company in 1916, Lasky did not hesitate to accept the opportunity. Flattered by the offer and foreseeing a lucrative future for the combine, Lasky allowed Zukor to appoint himself president; Lasky, vice-president in charge of production; and Cecil B. DeMille, director general. Samuel Goldfish (later Goldwyn) was made chairman of the board.

Two months later, Zukor bought a majority of the Paramount Company, the film-distribution company that both Zukor and Lasky had signed with in 1914. Meanwhile, the creative tempo was so great at Famous Players-Lasky that an average of more than two pictures emerged every week between 1916 and 1921. The awkward name of Zukor's firm was soon replaced with Paramount, the distribution company's name and trademark. One of the most familiar slogans in the film industry--"If it's a Paramount Picture it's the Best Show in Town"--was created soon after.

Struggling to Build an International Empire 1923-50

Paramount's large organization began to expand rapidly in the early and mid-1920s. At first Zukor began to build a large theater chain by buying or building showplaces for the company. In 1924 he went overseas and opened the Paris Paramount and the London Plaza. At the same time, Paramount developed a worldwide distribution network and opened studios in London, Berlin, and Bombay, in addition to its U.S. ones.

The studio reached its peak in the field of silent film making with DeMille's blockbuster The Ten Commandments in 1923. However scandal cast a shadow over Paramount and the movie industry in general when one of its stars, Fatty Arbuckle, was accused of rape and manslaughter and then acquitted in a much-publicized trial. This and several other events caused a public outcry against immorality in the movies, and DeMille's spectacular productions came under criticism. After an argument with Zukor over artistic differences and rising production costs, DeMille left the company.

Even though Paramount was making more money--a steady $5 million a year--than Warner, Fox, and Universal, Zukor was obsessed with maintaining his company's supremacy in the industry. He began a theater-buying campaign that amassed single houses and entire circuits, paying for many of the acquisitions with Paramount stock. By 1930, the firm's movie-house division had grown to include almost 2,000 units and was named Publix Theaters; that year the company's name was changed to Paramount-Publix.

The significance of the Warner Brother's 1927 movie The Jazz Singer, with its brief sequences of song and dialogue, was not lost on Paramount. Warner Brothers had used the Vitaphone sound system for this movie, but Zukor decided to go with Fox's new development, sound-on-film Movietone, which was more technically reliable and easier to handle. Paramount used it in Wings and won the first Oscar for best picture, in 1929.

In 1930 the company's stable of stars was one of the most impressive in Hollywood; it included Fredric March, Claudette Colbert, Maurice Chevalier, Kay Francis, Walter Huston, Gary Cooper, William Powell, Carole Lombard, Harold Lloyd, W. C. Fields, and the Marx Brothers. Over the next few years, Paramount also contracted Tallulah Bankhead, Marlene Dietrich, and the inimitable Mae West.

Prosperity and success at Paramount did not last long, however. In 1930 the firm recorded a profit of $18 million, but by 1932 the Great Depression was at its height and the studio ran a deficit of slightly more than $15 million. The main problem was the Publix theater chain. Many deals during its growth were made by paying owners of theaters Paramount stock, fully redeemable at a fixed price and fixed date. However, too many redemption dates came in the middle of the Depression, and the company could not pay. Hundreds of company employees were forced to leave, while others accepted huge salary cuts. Paramount-Publix went into receivership in 1933. When in 1935 it emerged from bankruptcy as Paramount Pictures Inc., John Otterson assumed the position of president, Emanuel Cohen was named studio chief, and Adolph Zukor became chairman of the board. The one bright spot during these years was the return of DeMille.

Sustained by Bing Crosby musicals, DeMille spectacles, and sexy Mae West comedies, Paramount announced a $3 million profit in 1936, a profit of $6 million the following year, and $12 million the next. Despite this turnaround, both Otterson and Cohen were drummed out of the company; Barney Balaban became president in 1936 and Y. Frank Freeman took over as vice-president in charge of production in 1938. They lasted until 1966 and 1959, respectively.

The stability that Balaban and Freeman gave Paramount led to a $13 million profit in 1941; by the end of the war, its profits had topped $15 million. The hits of Crosby, DeMille, and West in the 1930s had given way to the more sophisticated and elegant comedies of Ernst Lubitsch, Mitchell Leisen, and Preston Sturges. The number of Paramount releases also dropped, from 71 in 1936 to 19 in 1946 as the studio concentrated on quality over quantity. Leo McCarthy's Going My Way won the Oscar for best picture in 1944--the company's first win since Wings--and Billy Wilder's Lost Weekend won it in 1945. These successes led to a phenomenal $39 million profit for 1946.

In 1948 Paramount, along with all the other major film companies, was found guilty of antitrust-law violations and ordered by the U.S. government to divest itself of all its theater holdings. Within a year, the company had sold the properties that Zukor had collected--and profits dropped from $20 million in 1949 to $6 million in 1950.

Adjusting to the Television Generation 1950-93

By this time, the company was feeling the effects of a growing television audience. The entire movie industry tried to fight back with visual inventions that the smaller screen could not duplicate. Three-dimensional (3D) effects, Cinerama's huge concave screen, and Twentieth Century Fox's CinemaScope were some of the developments used to help increase box-office receipts. Paramount came up with its own panoramic big-screen system, Vista-Vision, which was acknowledged to be a significant improvement over previous systems. Nonetheless, these technical innovations failed to increase revenues. Even though Paramount reported a $12.5 million profit in 1958 (the largest since 1949), it continued to suffer from a decline in theater attendance through the 1960s.

In 1965 George Weltner, the executive vice-president of Paramount, led a group of dissident executives in a proxy battle to unseat the old management. (Freeman had retired in 1959, but Balaban had become chairman of the board in 1964.) While both sides were planning their strategies, Gulf + Western Industries (which became Paramount Communications) offered to purchase the company at $83 a share, nearly $10 more than the market price. The offer was accepted at the annual stockholders meeting, and on October 19, 1966, Paramount became the first major film company to be owned by a conglomerate.

Paramount was incorporated into Gulf + Western's leisure-time group. Charles Bluhdorn, the founder of Gulf + Western, appointed himself chairman of the board at his newest subsidiary, and Paramount began to produce hits like True Grit, The Odd Couple, Romeo and Juliet, Love Story, Rosemary's Baby, and Goodbye, Columbus.

In 1970 a deal of far-reaching significance between Paramount and Universal studios was made. Bluhdorn and Lew Wasserman, chairman of MCA, agreed to combine their companies' distribution outlets everywhere but in the United States. That new firm was enlarged ten years later when MGM became a joint owner. Since MGM had bought United Artists, foreign countries that had been served by four distribution networks were served by one, United International Pictures.

In 1974 Bluhdorn relinquished his position as chairman of the board at Paramount to Barry Diller, a change in leadership that in no way diminished the company's good fortune. The Godfather movies, each an Academy Award winner, were joined by The Conversation, Chinatown, Nashville, and Grease in audience popularity. It was also during this time that Gulf + Western added publisher Simon & Schuster and New York's Madison Square Garden to its leisure-time group. When Adolph Zukor died in 1976 at the age of 103, after having been chairman emeritus for 12 years, he had lived to see the rebirth of his company.

A 1980 Oscar winner for Paramount, Ordinary People, was a critical as well as a popular success. In 1981, the new champion of box-office profits, Raiders of the Lost Ark, raked in worldwide rentals totaling approximately $200 million. Raiders had been turned down by four other studios by the time Paramount president Michael Eisner decided to take the risk. The film's success was a tribute to his and chairman Barry Diller's instincts. Eisner told Business Week in 1984 that unlike other studios, Paramount did not believe in market research. "Everyone thinks they can find a magic wand. But I would rather fail on my own judgment than on the judgment of some man in Columbus, Ohio," he said. "I think about what I like not what the public likes. If I ask Miss Middle America if she wants to see a movie about religion she'll say yes. If I say 'Do you want to see a movie about sex,' she'll say no. But she'll be lying." Eisner and Diller had worked together for several years, first at the ABC television network, then at Paramount. Their instincts had brought the studio a consistent string of big successes.

In 1984, after the unexpected death of Gulf + Western Chairman Charles Bluhdorn, Martin S. Davis took the helm at the holding company. Davis clashed with Paramount chairman Diller, and in late 1984 Diller left to head Twentieth Century Fox. A day later Michael Eisner resigned to head Walt Disney Company. Half of the company's top executives followed them, leaving Paramount with a serious management crisis. Frank Mancuso, the former head of the marketing department, who had been with the company for 24 years, became Paramount's new chairman.

After a brief but severe slump in earnings (in 1985 the motion-picture group took the biggest write-off in its history) the soft-spoken Mancuso rebuilt the company's upper echelon and Paramount began churning out blockbusters once again. Hits like Beverly Hills Cop II and The Untouchables helped Paramount account for 22 percent of all box-office receipts in 1986.

Paramount's television division did extremely well in the later 1980s as well. Entertainment Tonight, a nightly entertainment news program, was a huge success breaking into the first-run syndication market for the company and was followed by Star Trek: The Next Generation, War of the Worlds, and Hard Copy. While a fourth network run by Rupert Murdoch's Fox Broadcasting Company provided a new outlet for Paramount's TV division, the company's network fare included such hits as Family Ties, Cheers, and MacGyver.

By the end of the decade Paramount was making consistently hefty profits on its television and motion-picture operations. Nonetheless, like many entertainment companies, Paramount was unsettled by the merger-mania that seemed to be sweeping the entertainment industry late in the decade. When Time Inc. announced its intention to merge with Warner Communications to create the world's largest media company, Paramount made its own bid for Time. Paramount's bid was ultimately rejected by Time, however, and after a brief court battle Time Warner was created.

Throughout the remainder of the 1980s and into the early 1990s, Paramount suffered from declining profits, and the company's management looked for ways to expand the revenue base. By 1993, Paramount's profits had fallen sufficiently that the board of directors was prepared to accept bids for a takeover. As news spread that the ailing studio was on the market, the stage was set for one of the most contentious acquisition scenarios of the 1990s.

Acquisition by Viacom and New Management

New York-based Viacom, Inc., owner of several television networks including Nickelodeon, MTV, and The Movie Channel (TMC), was the first company to make a serious bid for ownership of Paramount Communications (the company having been renamed in 1989). When news of the bid circulated through the entertainment industry, Barry Diller, founder and chairman of QVC Network leveraged his assets to counter Viacom's bid. Over the course of the next six months, Viacom and QVC battled for ownership, with each month bringing a new set of offers.

Viacom eventually won the bidding battle and promised to pay a total of $10 billion for Paramount. Viacom, however, was itself in a tenuous financial situation as it was also engaged in costly negotiations over a proposed merger with Blockbuster Entertainment. Immediately following the takeover, Viacom sold several assets in an effort to raise revenues to pay off debt to fund the company's merger proposals. Ultimately, Viacom completed both mergers, and by 1995, with both Paramount and Blockbuster as subsidiaries, Viacom was one of the largest media conglomerates in the nation.

Shortly after the Viacom takeover, the Viacom board named Jonathan Dolgen as chairman of the Viacom Entertainment Group, the division controlling Paramount's movie and television production operations. Dolgen inherited control of Paramount at a time when the company's financial outlook was relatively poor, with losses amounting to over $34 million in 1994. Dolgen developed several new financial strategies that were embraced by Sherry Lansing, the executive who had served as chair of Paramount's motion-picture group since 1992. Lansing had developed a reputation in the industry for picking film projects that had the mass appeal to become highly profitable.

From 1994 to 1999, Dolgen and Lansing presided over one of the most profitable periods in Paramount's history. Blockbuster successes such as Mission Impossible and Forrest Gump helped the studio to reach the top of box-office lists. In addition, Dolgen and Lansing were seen as innovators for their efforts to finance the company's operations through joint ventures with other companies. Dolgen and Lansing's highly profitable partnership with Twentieth Century Fox, for example, resulted in the hit movie Braveheart as well as in Titanic, which was the highest-grossing film of all time to that point. Together, Dolgen and Lansing managed to increase the studio's production while simultaneously succeeding in reducing costs, as directed from Viacom Chairman Sumner Redstone after the acquisition.

In 1999, Viacom purchased a controlling interest in CBS Corporation for a reported $37.3 billion, creating the world's second largest media empire after Time Warner Entertainment. In the acquisition, Viacom obtained 15 television stations and the nation's largest family of radio stations. With the purchase of CBS, Viacom again became involved in the ongoing debate over the legality of media mergers and the dangers of media monopolies. Despite objections from antimonopoly groups, the purchase signaled a new era for Viacom and the company entered the 21st century with an estimated stock value of over $72 billion and a dominant position in the national entertainment industry.

Paramount in the 21st Century

After a highly profitable run in the 1990s under Dolgen's and Lansing's leadership, Paramount's profits began to decline. A string of box-office disappointments, including The Stepford Wives and Sky Captain and the World of Tomorrow, offset profits from the company's more successful films such as Sponge Bob Square Pants and Lemony Snicket's A Series of Unfortunate Events. After three years of losses, rumors began to circulate that management changes were imminent.

In 2004, Dolgen resigned from Paramount. This came shortly after the announcement that he would not succeed the retiring Paramount President Mel Karmazin. Sumner Redstone appointed two of his high-level executives, Tom Freston, chairman of MTV Networks, and Les Moonves, chairman of CBS, as joint presidents after Karmazin's departure, stating in press releases that Dolgen's future with the company would be up to Freston and Moonves to decide. Analysts speculated that Dolgen's difficulties in working with both Freston and Moonves on past projects may have prompted his decision to leave the company. The following year, Lansing also left Paramount, stating in press releases that it was time for her to move on to new opportunities.

In January 2005, shortly after the announcement of Lansing's departure, Viacom announced that Brad Grey, formerly of Brillstein-Grey Entertainment, would become the new chairman and CEO of Paramount's motion-picture group. Grey pushed Paramount's revenues to their limits, investing in expensive but ultimately successful projects with major talent, including War of the Worlds starring Tom Cruise and a remake of The Longest Yard starring Adam Sandler. In addition, Grey diversified the division's offerings by teaming with Viacom subsidiaries MTV Networks and Comedy Central to produce films based on characters and television series from both networks. The summer of 2005 was Paramount's biggest summer to that point with box-office revenues reaching over $503 million.

In October 2005, Viacom announced that it would be reorganizing into two new divisions. While Paramount was grouped with MTV and the company's other cable television networks under the Viacom label, CBS and the company's radio and network television offerings would become a separate business. Paramount was reduced to approximately one-quarter of its original size, as the company's television production division was transferred to the control of Viacom's newly partitioned CBS division. As part of the split, Sumner Redstone's daughter, Shari Redstone, who had served on the Viacom board for over 11 years, was set to replace her father as vice-chairwoman of both units. The split also ended an ongoing succession battle between Moonves and Freston, who had been serving as co-presidents since the retirement of Karmazin. Moonves was promoted to president of CBS while Freston became president of Viacom.

At the end of 2005, Paramount announced the acquisition of DreamWorks SKG Inc., a company started 11 years earlier by Steven Spielberg, Jeffrey Katzenberg, and David Geffen. The purchase, reported at $775 million, gave Paramount production rights to DreamWorks' library of animated and feature films and the rights to produce all future projects by the company. The company's most significant gain in the purchase was the acquisition of DreamWorks Animation, the division that produced many of the decade's most successful animated films including the Shrek franchise.

Grey instituted several new initiatives designed to help Paramount regain a leading position in the industry. In 2007, Paramount entered into an agreement with Apple to sell some of the company's movies as downloads through Apple's iTunes store. Disney was the first studio to sign an agreement with Apple and the company received over $1 million in profits from the first week of the partnership. Paramount also announced that DreamWorks would begin producing animated features in the 3D format beginning in 2009. Newly developed technology that allowed 3D adjustment to digitally remastered films brought with it the possibility of converting some of the company's previous releases to 3D format. "I believe this is the greatest opportunity for movies and for the theatrical exhibition that has come along in 30 years," DreamWorks CEO Jeffrey Katzenberg said in a press release.

In January 2008, company representatives announced that Paramount would join a growing list of production studios that officially supported the transition to Blu-Ray technology over the more standard high-definition DVD format. The debate over Blu-Ray and HD-DVD had intensified, with distribution companies and movie studios feeling pressure to side with one or the other format to simplify the distribution process. Blu-Ray technology offered significant advantages in the capacity for high-quality data storage but came at a higher price for both packaging and production.

Since ascending to the top spot in 2005, Grey helped to redefine Paramount as a company that was willing to take risks to stay ahead of industry developments. With several high-profile projects and releases during this time, Paramount remained profitable, although changes in the movie market posed a continued risk to the company's overall stability. In 2008, Paramount was the last movie studio to retain its Hollywood, California, location, after its competition had either shut down or moved to new locations. Through its transition from a pioneer in the industry to its position as part of one of the 21st century's largest media empires, Paramount remained a leader and one of the most recognized studio names in the history of U.S. cinema.

Principal Subsidiaries

Paramount Home Video Inc.; Paramount Television; Paramount Vantage; DreamWorks SKG.

Principal Competitors

Sony Pictures Entertainment Inc.; Universal Studios Inc.; Warner Bros. Entertainment Inc.; New Line Cinema Corporation; Miramax Film Corporation.

Further Reading

Carter, Bill, and Lorne Manly, "Talent Manager Named Paramount Chief," New York Times, January 7, 2005.

Dick, Bernard F., Engulfed: The Death of Paramount Pictures and the Birth of Corporate Hollywood, Lexington: University Press of Kentucky, 2001.

"Dreamworks Animation Goes 3D," http://www.paramount.com/paramount.php, press release, March 13, 2007.

Eames, John Douglas, The Paramount Story, New York: Crown, 1985.

Edmonds, J. G., and Reiko Mimura, Paramount Pictures and the People Who Made Them, New York: A.S. Barnes, 1980.

Fabrikant, Geraldine, "Another Viacom Executive Quits After Management Shakeup," New York Times, June 3, 2004.

Mack, Gracian, "Inside the Viacom-Paramount Deal," Black Enterprise, December 1994.

Mifflin, Lawrie, "Making a Media Giant: The Overview; Viacom to Buy CBS, Forming 2d Largest Media Company," New York Times, September 8, 1999.

Siklos, Richard, "Family Feud at CBS and Viacom," New York Times, July 20, 2007.

"Viacom Explains Split into Units," Bloomberg News Online, October 6, 2005.

Weinraub, Bernard, "Profiles: The New Man in the Hollywood Hot Seat," New York Times, July 24, 1994.

— Cindy Pearlman; Updated by Micah L. Issitt


 
Wikipedia: Paramount Pictures
Top
Paramount Pictures Corporation
Type Subsidiary
Founded 1912
Headquarters Hollywood, California, U.S.
Key people Brad Grey, Chairman and CEO
Frederick D. Huntsberry, COO
Industry Motion pictures
Revenue $3.0 billion USD (2005)
Operating income $62.1 million USD (2005)
Owner(s) Gulf+Western (1966-1989)
Paramount Communications (1989-1994)
"Old" Viacom (now CBS Corporation, 1994-2006)
"New" Viacom (2006-present)
Parent Paramount Motion Pictures Group
Website www.paramount.com

Paramount Pictures Corporation is an American motion picture production and distribution company, located at 5555 Melrose Avenue in Hollywood, California. Founded in 1912 and currently owned by media conglomerate Viacom, it is the oldest existing Southern California film studio, beating NBC Universal's Universal Studios by a month; it is also the last major film studio still headquartered in Hollywood. Paramount is consistently ranked as one of the top grossing movie studios.[1]

Contents

History

Early history

1910s

Paramount Pictures can trace its beginning to the creation in May, 1912, of the Famous Players Film Company. Founder Hungarian-born Adolph Zukor, who had been an early investor in nickelodeons, saw that movies appealed mainly to working-class immigrants. With partners Daniel Frohman and Charles Frohman he planned to offer feature-length films that would appeal to the middle class by featuring the leading theatrical players of the time (leading to the slogan "Famous Players in Famous Plays"). By mid-1913, Famous Players had completed five films, and Zukor was on his way to success.

That same year, another aspiring producer, Jesse L. Lasky, opened his Lasky Feature Play Company with money borrowed from his brother-in-law, Samuel Goldfish, later known as Samuel Goldwyn. The Lasky company hired as their first employee a stage director with virtually no film experience, Cecil B. DeMille, who would find a suitable location site in Hollywood, near Los Angeles, for his first film, The Squaw Man.

Beginning in 1914, both Lasky and Famous Players released their films through a start-up company, Paramount Pictures Corporation, organized early that year by a Utah theatre owner, W. W. Hodkinson, who had bought and merged several smaller firms. Hodkinson and actor, director, producer Hobart Bosworth had started production of a series of Jack London movies. Paramount was the first successful nation-wide distributor; until this time, films were sold on a state-wide or regional basis. Not only was this inefficient, but it had proved costly to film producers. Also while Famous Players and Lasky were privately owned Paramount was a corporation so the other two companies were merged into Paramount.

Soon the ambitious Zukor, unused to taking a secondary role, began courting Hodkinson and Lasky. In 1916, Zukor maneuvered a three-way merger of his Famous Players, the Lasky Company, and Paramount. The new company, Famous Players-Lasky Corporation, grew quickly, with Lasky and his partners Goldfish and DeMille running the production side, Hiram Abrams in charge of distribution, and Zukor making great plans. With only the exhibitor-owned First National as a rival, Famous Players-Lasky and its "Paramount Pictures" soon dominated the business.

1920s

Because Zukor believed in stars, he signed and developed many of the leading early stars, including Mary Pickford, Douglas Fairbanks, Gloria Swanson, Rudolph Valentino, and Wallace Reid. With so many important players, Paramount was able to introduce "block booking," which meant that an exhibitor who wanted a particular star's films had to buy a year's worth of other Paramount productions. It was this system that gave Paramount a leading position in the 1920s and 1930s, but which led the government to pursue it on anti-trust grounds for more than twenty years.

The driving force behind Paramount's rise was Zukor. All through the teens and twenties, he built a mighty theatrical chain of nearly 2,000 screens, ran two production studios, and became an early investor in radio, taking a 50% interest in the new Columbia Broadcasting System in 1928. By acquiring the successful Balaban & Katz chain in 1926, he gained the services of both Barney Balaban, who became Paramount's president, and Sam Katz, who ran the Paramount-Publix theatre chain. Zukor also hired independent producer B. P. Schulberg, an unerring eye for new talent, to run the West Coast studio. In 1927, Famous Players-Lasky took on the name Paramount-Famous Lasky Corporation. Three years later, because of the importance of the Publix theater chain, it was later known as Paramount-Publix Corporation.

Also in 1927, Paramount began releasing Inkwell Imps animated cartoons produced by Max & Dave Fleischer's Fleischer Studios in New York City. The Fleischers, veterans in the animation industry, would prove to be among the few animation producers capable of challenging the prominence of Walt Disney. The Paramount newsreel series Paramount News ran from 1927 to 1957.

1930s

Lasky's original studio, aka: "The Barn"; as it appeared in 1913

Eventually Zukor shed most of his early partners; the Frohman brothers, Hodkinson and Goldfish/Goldwyn were out by 1917 while Lasky hung on until 1932, when, blamed for the near-collapse of Paramount in the Depression years, he too was tossed out. Zukor's over-expansion and use of overvalued Paramount stock for purchases led the company into receivership in 1933. A bank-mandated reorganization team, led by John Hertz and Otto Kahn kept the company intact, and, miraculously, kept Zukor on. In 1935, Paramount Publix went bankrupt. in 1936, Barney Balaban became president, and Zukor was bumped up to chairman of the board. In this role, Zukor reorganized the company as Paramount Pictures, Inc. and was able to successfully bring the studio out of bankruptcy.

As always, Paramount films continued to emphasize stars; in the 1920s there were Swanson, Valentino, and Clara Bow. By the 1930s, talkies brought in a range of powerful new draws: Marlene Dietrich, Mae West, Gary Cooper, Claudette Colbert, the Marx Brothers, Dorothy Lamour, Carole Lombard, Bing Crosby, the band leader Shep Fields and the famous Argentine tango singer Carlos Gardel among them. In this period Paramount can truly be described as a movie factory, turning out sixty to seventy pictures a year. Such were the benefits of having a huge theater chain to fill, and of block booking to persuade other chains to go along. In 1933, Mae West would also add greatly to Paramount's success with her movies She Done Him Wrong and I'm No Angel [1][2]. However, the sex appeal West gave in these movies would also lead to the enforcement of the Production Code, as the newly formed organization the Catholic Legion of Decency threatened a boycott if it wasn't enforced[3]. Paramount cartoons produced by Fleischer Studios continued to be successful, with characters such as Betty Boop and Popeye the Sailor becoming widely successful. One Fleischer series, Screen Songs, featured live-action music stars under contract to Paramount hosting sing-alongs of popular songs. However, a huge blow to Fleischer Studios occurred in 1934, after the Production Code was enforced and Betty Boop's popularity declined as she was forced to have a more tame personality and wear a longer skirt. [4]. The animation studio would rebound with Popeye, and in 1935, polls showed that Popeye was even more popular than Mickey Mouse [5]. After an unsuccessful expansion into feature films, as well as the fact that Max and Dave Fleischer were no longer speaking to one another, Fleischer Studios was acquired by Paramount, which renamed the operation Famous Studios and continued cartoon production until 1967.

The original Paramount logo during the 1930s airings of Popeye.

1940s

In 1940, Paramount agreed to a government-instituted consent decree: block booking and "pre-selling" (the practice of collecting up-front money for films not yet in production) would end. Immediately Paramount cut back on production, from sixty-plus pictures to a more modest twenty annually in the war years. Still, with more new stars (like Bob Hope, Alan Ladd, Veronica Lake, Paulette Goddard, and Betty Hutton), and with war-time attendance at astronomical numbers, Paramount and the other integrated studio-theatre combines made more money than ever. At this, the Federal Trade Commission and the Justice Department decided to reopen their case against the five integrated studios. Paramount also had a monopoly over Detroit movie theaters through subsidiary company United Detroit Theaters as well [6]. This led to the Supreme Court decision United States v. Paramount Pictures, Inc. (1948) holding that movie studios could not also own movie theater chains. This decision broke up Adolph Zukor's amazing creation and effectively brought an end to the classic Hollywood studio system.

The 1950s to the 1970s

1950s

With the separation of production and exhibition forced by the U.S. Supreme Court, Paramount Pictures Inc. was split in two. Paramount Pictures Corporation was formed to be the production distribution company, with the 1,500-screen theater chain handed to the new United Paramount Theaters on December 31, 1949. Leonard Goldenson, who had headed the chain since 1938, remained as the new company's president. The Balaban and Katz theatre division was spun off with UPT. The Balaban and Katz trademark is now owned by the Balaban and Katz Historical Foundation. Cash-rich and controlling prime downtown real estate, Goldenson began looking for investments; barred from film-making, he acquired the struggling ABC in February, 1953.

Paramount Pictures had been an early backer of television, launching experimental stations in 1939 in Los Angeles (later to become KTLA) and Chicago (which was sold off as part of UPT and eventually became WBBM-TV). It was also an early investor in the pioneer DuMont Laboratories and through that, the DuMont Television Network, but because of anti-trust concerns after the 1948 ruling, proved to be a timid and obstructionist partner, refusing to aid DuMont as it sank in the mid-1950s.[2][3]

With the loss of the theater chain, Paramount Pictures went into a decline, cutting studio-backed production, releasing its contract players, and making production deals with independents. By the mid-1950s, all the great names were gone; only C.B. DeMille, associated with Paramount since 1913, kept making pictures in the grand old style. Despite Paramount's losses, DeMille would, however, give the studio some relief and create his most successful film at Paramount, a 1956 remake of his 1923 film The Ten Commandments[7]. Like some other studios, Paramount saw little value in its film library (see below for more info on the early Paramount library). DeMille died in 1959.

1960s

By the early 1960s Paramount's future was doubtful. The high-risk movie business was wobbly; the theater chain was long gone; investments in DuMont and in early pay-television came to nothing. Even the flagship Paramount building in Times Square was sold to raise cash, as was KTLA (sold to Gene Autry in 1964 for a then-phenomenal $12.5 million). Founding father Adolph Zukor (born in 1873) was still chairman emeritus; he referred to chairman Barney Balaban (born 1888) as 'the boy'. Such aged leadership was incapable of keeping up with the changing times, and in 1966, a sinking Paramount was sold to Charles Bluhdorn's industrial conglomerate Gulf and Western Industries. Bluhdorn immediately put his stamp on the studio, installing a virtually unknown producer, Robert Evans, as head of production. Despite some rough times, Evans held the job for eight years, restoring Paramount's reputation for commercial success with The Odd Couple, Love Story, Chinatown, Rosemary's Baby.

Gulf and Western Industries also bought the neighboring Desilu television studio (once the lot of RKO Pictures) from Lucille Ball in 1967. Using Desilu's established shows like Star Trek, Mission: Impossible and Mannix as a foot in the door at the networks, the newly-reincorporated Paramount Television eventually became known as a specialist in half-hour situation comedies.

1970s

In 1970, Paramount teamed with Universal Studios to form Cinema International Corporation, a new company that would distribute films by the two studios outside the United States. Metro-Goldwyn-Mayer would become a partner in the mid 1970s. Both Paramount and CIC entered the video market with Paramount Home Video (now Paramount Home Entertainment) and CIC Video, respectively.

Robert Evans quit as head of production in 1974; his successor Richard Sylbert, was too literary and tasteful for Gulf + Western's Bluhdorn. By 1976, a new, television-trained team was in place: Barry Diller, and his 'killer-Dillers,' associates Michael Eisner, Jeffrey Katzenberg, Dawn Steel and Don Simpson. The specialty now was simpler, 'high concept' pictures like Saturday Night Fever, Grease, Mario Puzo's The Godfather and Mario Puzo's The Godfather Part II. With his television background, Diller kept pitching an idea of his to the board: a fourth commercial network. But the board, and Bluhdorn, wouldn't bite. Neither would Bluhdorn's successor, Martin Davis. Diller took his fourth-network idea with him when he moved to Twentieth Century-Fox in 1984, where the new proprietor, Rupert Murdoch, was a more interested listener.

Paramount Pictures was unconnected to Paramount Records, until it purchased the rights to use Paramount Records' name (but not its catalogue) in the late 1960s. The Paramount name was used for soundtrack albums and some pop re-issues from the Dot Records catalogue. Paramount had acquired the pop-oriented Dot in 1958, but by 1970 Dot had become an all-country label. [8] In 1974, Paramount sold all of its record holdings to ABC Records, which in turn was sold to MCA in 1978.

From the 1980s to 1994

Paramount's successful run of pictures extended into the 1980s and 1990s, generating hits like Flashdance, Footloose, Fatal Attraction, the Friday the 13th slasher series, as well as Raiders of the Lost Ark and its sequels. Other examples are the Star Trek series and a string of films starring comedian Eddie Murphy (such as Beverly Hills Cop). While the emphasis was decidedly on the commercial, there were occasional less commercial but more artistic and intellectual efforts like I'm Dancing as Fast as I Can, The Elephant Man, Atlantic City, and Terms of Endearment. During this period responsibility for running the studio passed from Eisner and Katzenberg to Ned Tanen (1984) to Stanley Jaffe (1988) and Sherry Lansing (1992). More so than most, Paramount's slate of films included many remakes and television spinoffs; while sometimes commercially successful, there have been few compelling films of the kind that once made Paramount the industry leader.

In 1981, Cinema International Corporation was reorganized as United International Pictures. This was necessary because MGM had merged with United Artists which had its own international distribution unit, but MGM was not allowed to leave the venture at the time (they finally did in 2001, switching international distribution to 20th Century Fox).

In 1985, Dawn Steel became head of Motion Picture Production.

When Charles Bluhdorn died unexpectedly, his successor Martin Davis dumped all of G+W's industrial, mining, and sugar-growing subsidiaries and refocused the company, renaming it Paramount Communications in 1989. With the influx of cash from the sale of G+W's industrial properties in the mid-1980s, Paramount bought a string of television stations and KECO Entertainment's theme park operations, renaming them Paramount Parks.

In 1993, Sumner Redstone's entertainment conglomerate Viacom made a bid for Paramount; this quickly escalated into a bidding war with Barry Diller. But Viacom prevailed, ultimately paying $10 billion for the Paramount holdings.

Paramount is the last major film studio located in Hollywood proper. When Paramount moved to its present home in 1927, it was in the heart of the film community. Since then, former next-door neighbor RKO closed up shop in 1957; Warner Bros. (whose old Sunset Boulevard studio was sold to Paramount in 1949 as a home for KTLA) moved to Burbank in 1930; Columbia joined Warners in Burbank in 1973 then moved again to Culver City in 1989; and the Pickford-Fairbanks-Goldwyn-United Artists lot, after a lively history, has been turned into a post-production and music-scoring facility for Warners, known simply as "The Lot". For a time the semi-industrial neighborhood around Paramount was in decline, but has now come back. The recently refurbished studio has come to symbolize Hollywood for many visitors, and its studio tour is a popular attraction.

1994-2004: The Dolgen/Lansing years

During this time period, Paramount Pictures went under the guidance of Jonathan Dolgan, chairman and Sherry Lansing, president.[4][5] During their administration over Paramount, the studio had an extremely successful period of films with two of Paramount's ten highest grossing films being produced during this period.[6] The most successful of these films, Titanic, went on to become the highest grossing film of all time grossing over $1.8 billion worldwide.[7] Also during this time, three Paramount Pictures films won the Academy Award for Best Picture; Titanic, Braveheart, and Forrest Gump. Dolgen and Lansing also presided over the prodction and release of other films including Saving Private Ryan (outside the US; Dreamworks handled American distribution), as well as the Mission: Impossible films.

In 1995, Viacom and Chris-Craft Industries' United Television launched United Paramount Network (UPN), fulfilling Barry Diller's 1970s plan for a Paramount network. In 1999, Viacom bought out United Television's interests, and handed responsibility for the start-up network to the newly acquired CBS unit, which Viacom bought in 1999 - an ironic confluence of events as Paramount had once invested in CBS, and Viacom had once been the syndication arm of CBS as well.[8]

In 2002, Paramount Pictures, Walt Disney Pictures, 20th Century Fox, Sony Pictures, Universal Studios, and Warner Brothers Studios joined together to form the Digital Cinema Initiative.[9] DCI was created, "to establish and document voluntary specifications for an open architecture for digital cinema that ensures a uniform and high level of technical performance, reliability and quality control."[10]

2005 to present

CBS Corporation/Viacom split

CBS Paramount Television logo

Reflecting in part the troubles of the broadcasting business, in 2005 Viacom wrote off over $28 billion from its radio acquisitions and, early that year, announced that it would split itself in two. The split was completed in January 2006.

The CBS television and radio networks, the Infinity radio-station chain (now called CBS Radio), the Paramount Television production unit (known as CBS Paramount (Network) Television) and the network UPN (replaced by The CW Television Network, co-owned with rival Time Warner's Warner Bros.) are part of CBS Corporation, as was Paramount Parks prior to its June 2006 sale by CBS to the Cedar Fair Entertainment Company. CBS Corporation also merged its television distribution arms, KingWorld, CBS Paramount International Television and CBS Paramount Television, into CBS Television Distribution in 2006.

Paramount Pictures is now lumped in with MTV, BET, and other highly profitable channels owned by the new Viacom.

With the announcement of the split of Viacom, Dolgen and Lansing were replaced by former television executives Brad Grey and Gail Berman. The decision was made to split Viacom into two companies, which in turn led to a dismantling of the Paramount Studio/Paramount TV infrastructure. The current Paramount is about one-quarter the size it was under Dolgen and Lansing and consists only of the movie studio. The famed Paramount Television studio was made part of CBS in the split. The remaining businesses were sold off or parceled out to other operating groups. Paramount's home entertainment unit continues to distribute the Paramount TV library through CBS DVD, as both Viacom and CBS Corporation are controlled by National Amusements.

DreamWorks, LLC

DreamWorks DVD logo

On December 11, 2005, Paramount announced that it had purchased DreamWorks SKG (which was co-founded by former Paramount executive Jeffrey Katzenberg) in a deal worth $1.6 billion. The announcement was made by Brad Grey, chairman and CEO of Paramount Pictures, who noted that enhancing Paramount's pipeline of pictures is a "key strategic objective in restoring Paramount's stature as a leader in filmed entertainment." The agreement doesn't include DreamWorks Animation SKG Inc., the most profitable part of the company that went public the previous year.

Under the deal, Paramount is required to distribute the DreamWorks animated films for a small fee intended only to cover Paramount's out of pocket costs with no profit to the studio, including the Shrek franchise (and ending for the 2004 installment, Shrek 2). The first film distributed under this deal is Over the Hedge.

The deal closed on February 6, 2006. This acquisition was seen at the time as a stopgap measure as Brad Grey had been unsuccessful in assembling sufficient films for production and distribution and the DreamWorks films would fill the gap.

On October 6, 2008, Paramount and DreamWorks announced the joint venture was ending and that DreamWorks would be seeking new distributors for its films.[11]

UIP, Famous Music and Digital Entertainment

Grey also broke up the famous UIP international distribution company, the most successful international film distributor in history, after a 25-year partnership with Universal Studios and has started up a new international group. As a consequence Paramount fell from #1 in the international markets to the lowest ranked major studio in 2006 but recovered in 2007 if the Dreamworks films, acquired by Paramount, are included in Paramount's market share.

Grey has also launched a Digital Entertainment division to take advantage of emerging digital distribution technologies. This led to Paramount becoming the 2nd movie studio to sign a deal with Apple to sell its films through the iTunes store. They also signed an exclusive agreement with the failed HD-DVD consortium and subsequently gave up the guarantees they had received and will now release in the Blu Ray format.

Also, in 2007, Paramount sold another one of its "heritage" units, Famous Music, to Sony-ATV Music Publishing (best known for publishing many songs by The Beatles), ending a nearly-eight decade run as a division of Paramount, being the studio's music publishing arm since the period when the entire company went by the name "Famous Players." :)

This inexplicable sale is considered in the industry a sign of the emerging role of Philippe Daumann, Viacom's CEO since 2006, whose lack of knowledge of the movie, TV and music industries and consequent preference for cable TV drives the company's strategy.

Paramount Home Entertainment

Paramount Home Entertainment (formerly Paramount Home Video and Paramount Video) is the division of Paramount Pictures dealing with home video and was founded in 1976.

PHE distributes films by Paramount (under its own label) and DreamWorks (under the DreamWorks Pictures Home Entertainment label), shows from MTV Networks (under the MTV DVD, Nickelodeon DVD, Nickelodeon Movies DVD, Comedy Central DVD and Spike DVD labels), PBS (under the PBS Home Video label), Showtime (under its own label), and CBS-owned programs (under the CBS Home Entertainment label) on DVD. Films from Republic Pictures, Paramount's other subsidiary, are not distributed on video and DVD by PHE (with some exceptions), but are distributed on video and DVD by Lionsgate Home Entertainment, which recently signed a deal to distribute some of Paramount's own films on DVD (in addition to the aforementioned Republic library). Also, as a result of this deal, Lionsgate has recently relased "triple features" of their own library of films on DVD using the package design originated by Paramount.

PHE have developed a well-known trademark, by giving their Special Edition/Director's Cut editions different names rather than the usual "Special Edition," or "Director's Edition". Paramount Home Entertainment gives them different names such as Grease: The Rockin' Rydell Edition, Beavis & Butthead Do America: The Edition That Doesn't Suck and Airplane!: The "Don't Call Me Shirley" Edition.

Internationally, PHE holds the DVD rights to several shows on HBO. PHE also distributes in Germany the DVD releases of films distributed theatrically by Prokino Filmverleih.

As Paramount Home Video, the company once distributed several Miramax releases on video - the video rights to some of these films (such as Hellraiser III: Hell on Earth) are still owned by Paramount.[12]

Recently, PHE launched a direct-to-video label, Paramount Famous Productions (with the "Famous" part of the name a throwback to the days when the company was called Famous Players).

HD DVD & Blu-ray support

Paramount brands the majority of its HD content under the label 'Paramount High Definition' which is seen both on the title box cover and as an in-movie opening. Films from Paramount subsidiaries such as Nickelodeon Movies and MTV Films as well as from sister studio DreamWorks SKG use no special branding, Paramount Vantage (another subsidiary) releases only select titles under the Paramount High Definition banner such as Babel.

In October 2005, Paramount announced that it would be supporting the HD video format Blu-ray Disc in addition to rival format HD DVD, becoming the first studio to release on both formats.[13] Its first four HD DVD releases came in July 2006,[14] and it released four titles on Blu-ray two months later.[15] In August 2007, Paramount (along with DreamWorks SKG and DreamWorks Animation) announced their exclusive support for HD DVD.[16] However, when other studios eventually dropped HD DVD and players for the technology stopped being manufactured, Paramount switched to Blu-ray. In May 2008, it released 3 titles on Blu-ray and continues to release its high-definition discs in that format exclusively.[17]

The Paramount library

Through a series of mergers and acquisitions, many of Paramount's early cartoons, shorts, and feature films are owned by numerous entities.

In 1955, Paramount acquired Frank Capra's production company, Liberty Films, which produced only 2 films in the late 1940s: It's a Wonderful Life, released originally by RKO Radio Pictures, and State of the Union, released originally by Metro-Goldwyn-Mayer.

Around that same time, as mentioned before, Paramount saw little value in its library, and decided to sell off its back catalog.

The Paramount cartoons and shorts went to various television distributors, with U.M.&M. T.V. Corp. acquiring the majority of the cartoons and live action short subjects made before 1951. Some lesser known features were included in this deal as well, as was It's a Wonderful Life. However, the Popeye cartoons were sold to Associated Artists Productions, and the Superman cartoons went to Motion Pictures for Television, producers of the Superman television series. U.M.&M. was later sold to National Telefilm Associates (or NTA). NTA changed its name to Republic Pictures (which was previously the name of a minor film studio, whose backlog had been sold to NTA) in 1984, and was sold to Viacom in 1999, hence all the material sold to U.M.&M. would return to Paramount (though, except for It's a Wonderful Life, video rights belong to Lionsgate).

The Popeye cartoons passed on to United Artists after its purchase of a.a.p., then to MGM after they purchased UA. After Ted Turner failed in an attempt to buy MGM/UA in 1986, he settled for ownership of the library, which included the a.a.p. material. Turner Entertainment, the holding company for Turner's film library, would later be sold to Time Warner. Turner technically holds the rights to the Popeye cartoons today, but sales and distribution is in the hands of Warner Bros. Entertainment. WB also owns Superman's publisher, DC Comics, and although the Superman cartoons are now in the public domain, WB owns the original film elements.

The rest of the cartoons made from 1950-1962, were sold to Harvey Comics and are now owned by Classic Media. Except for the Superman cartoons and the features sold to MCA (to end up with Universal), most television prints of these films have had their titles remade to remove most traces of their connection to Paramount (The original copyright lines were left intact on Popeye cartoons). The Popeye cartoons have been restored for DVD release with the original Paramount titles.

When the talent agency Music Corporation of America (better known as MCA), then wielding major influence on Paramount policy, offered $50 million for 750 pre-1949 features (with payment to be spread over many years), a cash-strapped Paramount thought it had made the best possible deal. To address anti-trust concerns, MCA set up a separate company, EMKA, Ltd., to sell these films to television. The deal included such notable Paramount films as the early Marx Brothers films, most of the Bob Hope-Bing Crosby "Road" pictures, and such Oscar contenders as Double Indemnity, The Lost Weekend, and The Heiress. MCA later admitted that over the next forty years it took in more than a billion dollars in rentals of these supposedly "worthless" pictures. MCA later purchased the US branch of Decca Records, which owned Universal Studios (now a part of NBC Universal), and thus Universal now owns these films, though EMKA continues to hold the copyright.

Several other feature films ended up in Republic Pictures's possession, yet others had been retained by Paramount due to other rights issues (such as The Miracle of Morgan's Creek). As for Paramount's silent features, some still are under Paramount ownership -- for example, 1927's Wings, the first "Best Picture" Academy Award winner -- but many others are either lost or in the public domain. Also, one additional pre-1950 film, the 1931 version of Dr. Jekyll and Mr. Hyde, was sold to Metro-Goldwyn-Mayer in 1941 who filmed a remake that same year - this film is also now owned by WB/Turner Entertainment.

Rights to some of Paramount's films from 1950 onward would also change hands. Most notably, the rights to five Paramount films directed by Alfred Hitchcock -- Rear Window, The Trouble with Harry, The Man Who Knew Too Much, Vertigo and Psycho - eventually reverted to ownership by the director himself with the exception of Psycho, which was sold directly to Universal in 1968. Following Hitchcock's death, Universal eventually acquired the rights to the four other films in 1983 from the Hitchcock estate (which is overseen by his daughter, Patricia). However, one Hichcock film, To Catch A Thief, is still under Paramount's ownership.

The later Bob Hope films originally released by Paramount (including The Seven Little Foys and The Lemon Drop Kid) are now co-owned by Sony Pictures Television and FremantleMedia, both successors-in-interest to a joint venture called Colex Enterprises, which had consisted of respective predecessor companies Columbia Pictures Television and LBS Communications.

A number of films merely distributed by Paramount would also end up with other companies - for example, the 1971 film Willy Wonka & the Chocolate Factory was produced by Wolper Productions; Warner Bros. acquired the rights to the film from the film's financer The Quaker Oats Company in 1977, after Paramount no longer had any interest to own the distribution rights to the film due to the initial failure of Willy Wonka. WB also owns the rights to several films originally distributed by Paramount that were produced by Lorimar Productions, which was sold to WB in 1989. Some other films from 1950 onward went into the public domain as well.

Paramount's association with the comedian Jerry Lewis, which produced The Nutty Professor among other films ended in the 1970s, and the rights to these films were given back to Lewis. As a consequence, the hit remakes starring Eddie Murphy were released by Universal Pictures. This reversion to Jerry Lewis resulted from a promise made by then-Paramount CEO Barney Balaban who gratuitously offered to give the rights back to Lewis as a birthday present. Paramount, however, has retained full distribution rights to the Lewis films.

Balaban, consistent with his other decisions to sell off rights and dismantle Paramount's library, was of the opinion that there was no future economic value to 'old' movies. This "strategy" of gradual dismantling Paramount's assets and library has continued under current Viacom CEO Philippe Dauman who not only split the company in half and gave the television library and distribution rights to the feature films to CBS, but also sold off the Company's music library, Famous Music.

In the 1970s, Paramount acquired the rights to the Frank Capra film Broadway Bill, which was originally released by Columbia Pictures. Paramount had remade the film as Riding High in 1950. Then in 2004, Paramount bought all worldwide rights to the original 1975 version of The Stepford Wives (also released by Columbia), in connection with the release of the remake.

Paramount owns DVD rights to many films produced by Full Moon Entertainment, due to a deal made with the company years before. Paramount also owns DVD rights to several films released by Miramax Films prior to that firm's acquisition by Disney in 1993, also a result of a deal.

Paramount now represents independent company Hollywood Classics in the theatrical distribution of all the films produced by the various motion picture divisions of CBS over the years, as a result of the Viacom/CBS merger. This also includes US rights to the 1951 film The African Queen, originally distributed by United Artists (the international rights are with ITV Global Entertainment Ltd.). Paramount (via CBS DVD) has outright video distribution to the aforementioned CBS library with few exceptions-for example, the original Twilight Zone DVDs are handled by Image Entertainment, while the video rights to My Fair Lady are now with original theatrical distributor Warner Bros., both above titles under license from CBS.

As for distribution of the material Paramount itself still owns, it has been split in half, with Paramount themselves owning theatrical rights, while what became CBS Paramount Television handles television distribution (under CBS Television Distribution).

In early 2008, Paramount partnered with Los Angeles-based developer FanRocket to make short scenes taken from its film library available to users on Facebook. The application, called VooZoo, allows users to send movie clips to other Facebook users and to post clips on their profile pages.[18] Paramount engineered a similar deal with Makena Technologies to allow users of vMTV and There.com to view and send movie clips. [19]

The logo

Paramount's water tower bears the studio's famous logo

The distinctively pyramidal Paramount mountain has been the company's logo since its inception and is the oldest surviving Hollywood film logo. Legend has it that the mountain is based on a doodle made by W. W. Hodkinson during a meeting with Adolph Zukor. It is said to be based on the memories of his childhood in Utah. Some claim that Utah's Ben Lomond is the mountain Hodkinson doodled, and that Peru's Artesonraju[20] is the mountain in the live-action logo.

The logo began as a somewhat indistinct charcoal rendering of the mountain ringed with superimposed stars. The logo originally had twenty-four stars, as a tribute to the then current system of contracts for actors, since Paramount had twenty-four stars signed at the time. In 1952, the logo was redesigned as a matte painting. The current mountain style debuted in 1954. In 1974 the logo was simplified, adopting the design of the then-current television version, and the number of stars was changed to twenty-two; this version of the logo is still in use as Paramount's current print logo. The visual logo was replaced in 1987, Paramount's 75th Anniversary, by a version created by Apogee, Inc. with a computer generated lake and stars. For Paramount's 90th anniversary in 2002, a new, completely computer-generated logo was created.[21][22] This current visual opening to Paramount titles usually has no sound, occasionally sound from the film may play in the final seconds of the opening. Occasionally, however; the fanfare used since 1975 (and on home video releases since 1987) is heard during the opening; one instance of this is the 2004 film Mean Girls. A very rare opening fanfare is used on the 2005 remake of The Longest Yard.

The logo has sometimes been incorporated into a film. In the beginning of Raiders of the Lost Ark, the logo dissolves into a shot of a silhouetted mountain peak, subtitled simply "South America", to begin the first scene of the film. The same idea would be incorporated into the beginnings of Indiana Jones and the Temple of Doom (the mountain on a gong in Club Obi-Wan), Indiana Jones and the Last Crusade (the mountain turns into a cliff in Utah) and Indiana Jones and the Kingdom of the Crystal Skull (a pile of dirt where a gopher lives that is crushed by a moving truck). Also, the logo (with the opening notes of "Mountain Town" playing over the sequence) dissolves into an opening shot in the animated film South Park: Bigger Longer & Uncut, turning into a mountain in the cartoon's animation style. As well as in The Core, the camera zooms down and goes to the core of the mountain. And in Four Brothers, there is snow falling on top of the mountain (with Jefferson Airplane's "Somebody to Love" as background music). During the opening credits of Coming to America, the camera flies past the mountain, over foothills and into the jungle where the fictional palace of Zamunda is located. Another variation is in the movie Scrooged with the normal Paramount logo but with the Paramount font and the stars as half-tint, but it flies past the mountain quickly, to go to the star just in time for the opening credits, and it also has a spooky-like Christmas music playing which resembles the theme song for the movie. Also, in Team America: World Police, the Paramount logo animates backwards, appearing fully formed, with the Viacom byline disappearing and the stars flying backwards through the word "Paramount" and disappearing into the sky as the opening credits of the film begin. There is an even more direct self-reference in Road to Utopia, a 1946 Paramount picture. Bing and Bob are riding along on a dogsled, and they see a mountain in the distance. Bob says, "There it is, bread and butter!" Bing says, "That's just a mountain." Cut to the mountain, and the circle of stars winks in around it, identifying it as the Paramount logo. Bob says to Bing, "It may be just a mountain to you, but it's 'bread and butter' to me!"

A similar self-reference appears in the 1951 Popeye cartoon Alpine for You. At the end of this cartoon, Popeye punches Bluto and he lands on the peak of a mountain top which then sprouts stars to create the Paramount logo.[9]

Not long before the United Paramount Network (UPN) was merged with The WB to form the CW Network, there were plans to re-brand UPN as The Paramount Network, featuring a stylized mountain/stars logo to identify the newly-named network with the studio, but the plans were scrapped. In contrast, UPN's initial logo from its January 1995 launch featured its initials in geometric shapes. The "U" (for "United") was in a circle, the "P" ("Paramount") in a triangle, and the "N" ("Network") in a square, with the "P" triangle being a nod to the Paramount mountain.

Visiting Paramount

Those wishing to visit Paramount can take daily studio tours. The tours operate Monday through Friday. Reservations are required, and can be made by calling the studio. Most of the buildings are named for historical Paramount executives or the many great artists that worked at Paramount over the years. Many of the legendary stars' dressing rooms are still standing today, converted into working offices. The stages where Samson and Delilah, Sunset Blvd., White Christmas, Rear Window, Sabrina, Breakfast at Tiffany's, and many other classic films were shot are still in use today. The studio's massive remaining backlot set, "New York Street," features numerous blocks of facades that depict a number of New York locales: "Washington Square," (where The Heiress, starring Olivia de Havilland, was shot) "Harlem," "Financial District," and others.

See also

References

Notes

  1. ^ http://boxofficemojo.com/studio/
  2. ^ Spadoni, M. (June 2003). DuMont: America's First "Fourth Network". Television Heaven. Retrieved on December 28, 2006.
  3. ^ McDowell, W. (March 30, 2001). Remembering the DuMont Network: A Case Study Approach. College of Mass Communication and Media Arts. Southern Illinois University. Retrieved on December 28, 2006.
  4. ^ http://www.hollywoodreporter.com/hr/search/article_display.jsp?vnu_content_id=1000523764
  5. ^ http://www.ew.com/ew/article/0,,750351,00.html
  6. ^ http://boxofficemojo.com/studio/chart/?view=company&view2=allmovies&studio=paramount.htm
  7. ^ http://boxofficemojo.com/movies/?id=titanic.htm
  8. ^ http://www.solarnavigator.net/films_movies_actors/paramount.htm
  9. ^ http://www.dcimovies.com/
  10. ^ http://www.dcimovies.com/
  11. ^ DreamWorks Executives Sever Ties With Paramount to Form a New Company
  12. ^ :: Paramount Pictures ::
  13. ^ Paramount says yes to both Blu-ray and HD DVD - Engadget
  14. ^ Historical HD DVD Release Dates | High Def Digest
  15. ^ Historical Blu-ray Release Dates | High Def Digest
  16. ^ "Two Studios to Support HD DVD Over Rival". New York Times. August 21, 2007. http://www.nytimes.com/2007/08/21/technology/21disney.html?ei=5088&en=d4e1f285e2f41437&ex=1345348800&adxnnl=1&partner=rssnyt&emc=rss&adxnnlx=1187698143-B5wO3L/F+4r1NyAsum87vQ. Retrieved on 2007-08-21. 
  17. ^ Blu-ray releases on May 20th, 2008 - Engadget HD
  18. ^ Facebook app lets users send movie clips
  19. ^ Paramount to open virtual movie vault
  20. ^ SummitPost - Artesonraju - Climbing, Hiking & Mountaineering
  21. ^ Paramount Film Preservation
  22. ^ Hollywood Lost and Found - Studio Logos - Paramount

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  • Gabler, Neal. An Empire of Their Own: How the Jews Invented Hollywood. New York: Crown Publishers, 1988.
  • Lasky, Jesse L. with Don Weldon, I Blow My Own Horn. Garden City NY: Doubleday, 1957.
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  • Schatz, Thomas. The Genius of the System. New York: Pantheon, 1988.
  • Sklar, Robert. Movie-Made America. New York: Vintage, 1989.
  • Zukor, Adolph, with Dale Kramer. The Public Is Never Wrong: The Autobiography of Adolph Zukor. New York: G.P. Putnam's Sons, 1953.

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