People vs Algorithms The End of the Hollywood Model
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Dec 12, 2025 The podcast dives deep into the crumbling Hollywood business model, spotlighting the impact of streaming on traditional scarcity. It debates the potential ownership of Warner Bros by Netflix or Paramount, and critiques extravagant blockbuster budgets. The social stigma surrounding AI-generated content sparks a heated discussion, alongside intriguing conversations about font wars and Australia’s teen social media ban. With insights on Shopify's AI integration and a nod to Scorsese's artistry, the hosts explore the intricate balance between creativity and commercialism.
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Streaming Snapped Hollywood's Distribution Monopoly
- Streaming destroyed Hollywood's scarcity-driven distribution monopoly and upended cable economics.
- Platforms like YouTube and TikTok now compete for attention, forcing studios to rethink the high-cost IP/talent model.
Financializing Warner Became A Massive Win
- David Zaslav treated Warner as an asset to be financially optimized and created a multi-player bidding war.
- That financializing approach turned a $40B purchase into a potential $100B sale, highlighting deal-making power over creative stewardship.
Deal Makers Versus Cultural Builders
- Deal people extract value and often outperform creative builders financially while lacking equivalent social capital.
- The episode contrasts makers who build cultural objects with deal makers who optimize assets for investor returns.
