26 Jun '11, 2pm

Why Movies Cost So Much To Make

Annie Mueller , On Friday 24 June 2011, 0:45 SGT The movie business is a big business, garnering around $450 billion in 2007 globally. But even that huge number doesn't mean that all movies are money makers. Although there are thousands of movies made every year, only a percentage of those become feature films with the big budgets we often associate with the Hollywood movie-making business. And though the occasional independent, low-budget film will break out and become a runaway hit ("Napoleon Dynamite," "Super Size Me" and "Paranormal Activity" are all fairly recent examples), most blockbusters are on the high-budget end. In 2007, for example, the average cost to produce a major studio movie was around $65 million. But the production costs don't cover distribution and marketing, which was another $35 million or so, on average, in 2007, bringing the total cost to produce ...

Full article: http://sg.finance.yahoo.com/news/Why-Movies-Cost-So-Much-...

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