Monday, March 13, 2017

US-China Investment and Production Unclear

‪2 things in today's news cycle suggest the love affair between Chinese and US film industries could be cooling. Many outlets are trumpeting ‬these 2 points (links to an example article of each)

  1. Chinese stars are passing on Hollywood films because they can get good paydays at home
  2. Chinese investment in Hollywood is slowing

Both hitting the news cycle at the same time makes it temping to think it coincidence or actually reflects the industries' cooperation slowing. The reality is less clear and that is the key.

A few key deals falling through is enough to make things unclear. In truth, both those who watch such trends and people involved in the deals themselves are seeing uncertainty. Uncertainty can be corrosive to things, all by itself. While a real Chinese recession is not happening today, fear of any cooling of enthusiasm is real. Not knowing "what's there" can start hampering things all by itself.

Perhaps money and stars may not flow between the countries like they were, perhaps they will keep going or even grow. But worries they may not be as they had been changes things. Investors are often skittish in general, and it is partly their fear being made manifest in this news/social media cycle.

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this posted by David August at 8:01 PM 

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