Developing and investing in Intangible assets

Nowadays we see many examples of how IPs (intangible assets; simplified, assets that can not be "touched") increase in value and how you, as the owner, can manage, buy and sell different types of IPs. A clear example that we all encounter next to every day is movies and books that often change owners and develop into other products. We have also seen how mobile games like Angry Birds can evolve into movies, books, etc. Many who are not familiar with the industry of movies, books and games, or who have not been particularly involved in intellectual property, might not know that the rights of every movie and ideas, like books and games, are owned by someone. As in the case of many films today, companies or individuals often own the rights to these and the value of the brand or idea can be sold or in other ways earn money. This can be valuable, especially if you have an idea or intangible asset that is unique, popular or may have sold well in the past or as another product.

 
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why focus on IP?

One of the most common reasons why you choose to make movies of a game or book is almost exclusively for economic gain. Many times you see a greater value in expanding an IP's market than writing a new book or developing the next game. A new product under the same IP will often reach a new audience or otherwise exploit it's already established customer base to boost its revenue from an already existing product. One example is the books you make a movie of, the book sells the movie but the movie also sells the book to those who did not read it. Another strong advantage of intangible assets is that you can collaborate with companies in other industries to take their IP into a new market without having to invest resources in development and production costs of a new product. A clear example is Angry Birds whose owner made stuffed animals to further capitalize on Angry Birds and the movie they released during the same period.

A brand can therefore be incredibly valuable. Look at Star Wars who Disney owns or why not Swedish examples such as, "The man called Ove" or "Men who hate women. A perfect example on an IP is Valerian, a movie I wrote about some time ago. The horizon has become much broader and today you can see opportunities where you would not otherwise think that a brand or IP could fit, much thanks to great successes like the ones above. This has in turn increased the understanding and importance of protecting intangible assets. You should never underestimate the value of your intangible assets and take a day or two to figure out how to protect and use them to your advantage. I am convinced that we will see a greater willingness in expanding and protecting IPs in the future and that can only be good.

For more information in Sweden, please visit: Patent- och registreringsverket

For more information in the U.S, please visit: USPTO

And as always, thanks for visiting.


four Videos to watch

Quick post today.

Once in a while someone creates quite impressive videos or timelapses, here are four nice ones. I don't usually post videos but these are a tiny bit different and deserves a few more views. Perfect if you have a couple of minutes to kill.

Tiny Drone Muscle Beach - Los Angeles

Panorama | LA - 10K

Timelapse - Los Angeles

Flying at night

Thanks for visiting and have a great Wednesday.


The assembly bill 1839 - Status report

The economy and the Film & TV industry in California had a big win in January 2015 when bill 1839 was enacted. In this report I'm going to explain the bill and present an overview to see how and if the economy have changed since the start of 2015. The California Film commission released an extensive report a month ago; I've been reading it to see what can be presented here as a way of explaining the positive sides of how the industry was affected after it was approved. In the longer perspective we (I) hope Sweden will approve a tax rebate for foreign productions filmed in Sweden, my opinion is that we, Sweden, lose qualified productions and with that income which is extremely valuable to the community and industry.

Click here for my first post about Bill 1839 and click here for the post when Bill 1839 was approved.

 

The Bill

So what is bill 1839 all about? AB 1839 is designed to increase funding and eligibility for California’s Film & Television Tax Credit Program to make the state more competitive in attracting and retaining projects. During the years productions moved to other states because of their of tax incentives. Bill 1839 is an expanded tax credit program that means more jobs and an increase in tax revenue for state and local governments. For example, a tax rebate or credit is many times the reason to why countries attract foreign productions and sometimes companies. If handled correctly, this can be a successful strategy.

The first-generation tax credit program 1.0 retained the targeted projects, those who where most susceptible to runaway production. Program 1.0 generated roughly $4.5 billion of additional spending on film production in the State of California, this became the first film tax credit program. The Program 1.0 could only help a small fraction of the productions that wanted to film in California. The state continued to experience losses of big-budget feature films and TV dramas due to the high demand and to compete even more effectively on a global scale, state lawmakers and Governor Brown created the expanded Program 2.0. This program tripled Program 1.0 funding and added parts to attract additional types of projects.

Cinema

Changes

Have the bill changed anything? Well, during year 2015-16, approximately $230 million in tax credits were allocated to 55 film and television projects. Based on the budgets submitted by applicants, these projects are estimated to expend $1.5 billion in direct in-state spending, including $600 million in qualified wages, a note here; Qualified wages do not include wages paid to actors, writers, producers, directors, or other “above the-line” workers, as these salaries do not qualify for credits.

After its first year, the results are encouraging as six TV series have relocated to California. All of these series had received tax credits in the state where they originated, that is definitely a win for the economy and industry in California. These six series are on track to spend more than $328 million collectively in state. Most series film multiple seasons, if this is the case, then their spending impact will be even more significant.

The changes reported by unions and employee organisations:

  • After one year, key entertainment industry labor organizations reported increased levels of employment. An analysis of hours worked by members of California’s below-the-line unions shows a 12.45% increase for the first quarter of 2016 compared to the same period in year 2015.
  • Employment data from SAG-AFTRA showed background actors working in scripted film and television in California increased to around 19.7% from the first quarter of 2015 compared to the same quarter in 2016.
  • Teamsters reported that members are working at “full employment” for the first time since 2007 and non-member workers are being hired “off permit.”
  • IATSE Local 44 has seen a 4.9% growth in membership for the first quarter of 2016 compared to the same period in 2015. The organization hasn’t experienced membership growth this substantial since the 1990s.
  • The non-profit film office, Film L.A., reported a 9.7% increase in on-location feature film production in the Greater Los Angeles region compared to the same period in 2015 and the film office credited the state’s tax credit program for the growth. Film L.A. also reported in their recent Pilot production study that in 2015, approximately half of L.A.’s TV Drama production was incentive-driven.

It might be early to say but it is encouraging to see the positive numbers and hopefully they will increase even more during the years. I will come back to this later, let's cross our fingers that Sweden gets the memo.

Continue reading here If you would like to see an update I wrote in 2018.

As always, thank you for visiting and join the newsletter if you want more of these updates.


Farm Sanctuary’s 30th Anniversary Gala

Tonight was the 30th Anniversary Gala for Farm Sanctuary. Farm Sanctuary work towards a more humane society and are helping thousands of farm animals every year to get a better life, far away from industries and slaughterhouses. I helped Farm Sanctuary develop a relationship with HTC Vive and create a 360 video that showed a different story when it comes to animal handling.

I am a strong supporter of their work towards a more humane society and I think that could easily be one of the most important things you can spend your time and resources on today, helping animals and the environment. Hopefully more people will realize this and start changing their behavior towards animals. I will talk more about this some other time.

 
 Daniel Bramme & James Costa Farm Sanctuary 30th Anniversary Gala

Daniel Bramme & James Costa Farm Sanctuary 30th Anniversary Gala

 

I was invited to celebrate the 30th anniversary together with all the other supporters and everyone had a wonderful evening. I wear a suit from Moods of Norway on the picture, great quality suits if you are looking for something different but still Scandinavian design. James are holding a HTC Vive headset a perfect product to use for testing and experiencing VR today.

See what Variety had to say about the gala and read the press release from Farm Sanctuary. I look forward to continue the support of this great organization, if you have any questions regarding my work with environmental issues or want to get in contact with Farm Sanctuary, please don't hesitate to ask me or contact Farm Sanctuary directly on the link below.

Visit Farm Sanctuary and support the organization if you can. It's worth your time, everything helps. By the way, James is holding the HTC Vive VR-headset on the picture above, it is probably the best VR headset today.

HTC VIVE Virtual Reality System
HTC Virtual Reality System

Screening at Lionsgate

This week we had a screening for the film, Ophelia, a film Grimm Films co-produced. The professional actors, Mary Pat Gleason and Larry Cedar performed very well and I look forward to see them in another film soon. For more information about Ophelia click here.

opheliafilm
 Daniel Bramme and Marten Eckerstrom 2017

Daniel Bramme and Marten Eckerstrom 2017

As always, Lionsgate is a wonderful studio and love the lobby. Unfortunately they are renovating it right now so I can't show any pictures. Anyways, I always have a great time a Lionsgate and this screening did not change that. Anyways, its always nice to visit the studios, they still have that "Hollywood Flair" that is hard to come by these days.

Thanks for visiting, have a nice day.