A motion picture studio library. The term likely brings to mind the image of a large room with a high ceiling, filled with shelves of movies on various formats, perhaps tastefully decorated with vintage posters of The Maltese Falcon and A Place in the Sun. But in the lexicon of Hollywood-speak, the word "library" means something far different. The major Hollywood studios define their libraries as the films they own that have already gone through the roughly seven-year period of first cycle exploitation; that cycle encompasses separate windows for a theatrical release, home video, pay television, syndicated television, and so on. After seven years, a particular film's budget has already been fully depreciated from the company balance sheet, the executive responsible for the project has either been promoted or fired, and the movie has generated the vast bulk of its ultimate earnings. Any new money to come in as library value is largely profit. Multiply this by the huge volume of library titles-a fraction of which become "evergreens" that perform exceptionally well after the first cycle-and the studio can add hundreds of millions of dollars each year to its bottom line.
Libraries have become a crucial piece of infrastructure for the major Hollywood studios. Studios with large libraries, such as Warner Bros. and Universal (both of which exceed 5,000 titles), can count on their libraries to usher in cash flows exceeding $500 million per year. Unlike a major theatrical release-requiring tens of millions in marketing expenses-relatively few costs are involved in bringing library titles to market. As media industry commentators, such as Edward Jay Epstein have noted, these libraries give the classic Hollywood studios a comparative advantage against any new firms entering the marketplace for the new firms lack the annual library revenues that help cover overhead and offset any disastrous new productions.
Momentous is reviewing various film and content libraries which enables Momentous to own these assets and continue to monetize them through streaming media, VOD, and SVOD platforms globally.
Momentous plans on becoming a leading independent content distributor in the United States and the world for content licensing of film, music and sports content.