Katie MarsalThe Walt Disney Co. said Tuesday it has agreed to buy longtime partner Pixar Animation Studios Inc. for $7.4 billion in a deal that could restore Disney's dominance in animation while vaulting Pixar CEO Steve Jobs into a powerful role at the media conglomerate.
Jobs, who controls more than half of Pixar's stock and also heads Apple Computer Inc., will also join Disney's board.
Disney has co-financed and distributed Pixar's animated films for the past 12 years, with the two companies splitting the profits. However, that deal was set to expires in June after Pixar delivers its next feature animated film "Cars."
Disney and Pixar had been talking for months about a new relationship, with recent rumors suggesting Disney would offer a $7B bid for the Emeryville, Calif.-based animation studio.
Along with the acquisition, Pixar Executive Vice President John Lasseter will be become chief creative officer of Disney's animation studios and principal creative adviser at Walt Disney Imagineering, which designs and builds the company's theme parks.
Pixar President Ed Catmull will reportedly serve as president of the new combined Pixar and Disney animation studios, reporting to Disney chief executive Robert Iger and Dick Cook, chairman of The Walt Disney Studios.
AppleInsider Staff
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27 Comments
Now if Steve wants AAPL to buy DIS, he has shares and leverage to help make it happen. AAPL has a larger market cap, so got to believe he could make it happen.
The problem of course is that other media companies would jump ship on iTunes and ViTunes. Even w/o buying, no doubt AAPL will have good access to content from the many DIS companies. And the preferred hookup will likely help DIS long term as well.
I guess we can move the last thread dealing with this over to here.
I suppose I should say it again; I hope this deal doesn't impact Apple negatively. If Jobs has to recuse himself every time they discuss music, Tv, or movie deals, as well as DRM, distribution, etc., this will not be good for Apple (or Disney).
Now if Steve wants AAPL to buy DIS, he has shares and leverage to help make it happen. AAPL has a larger market cap, so got to believe he could make it happen.
The problem of course is that other media companies would jump ship on iTunes and ViTunes. Even w/o buying, no doubt AAPL will have good access to content from the many DIS companies. And the preferred hookup will likely help DIS long term as well.
And why would Apple possibly want to do that?
Let's hope this brings to an end Disney's straight-to-video issues recently. I saw earlier today a Lion King box set that looked like there were 6 movies in it! I thought they'd only made 1!
Of course I expect that a lot of Disney content will now be made available through iTunes.
Also I think that Disney were HD-DVD backers - that could change to BluRay now. I might be wrong here though, haven't been following this too closely.
Nope, Disney was backing BluRay.