Does high tech plus high art produce high profit? - Animation - Cover Story

Post, Dec, 2003 by Ken McGorry

animators agree--the boom in low-cost hardware and easy-to-use software is enabling the generation of more and more animated content. But is this a good thing? Some worry that a glut of animated product will dilute viewer interest in the next big (deserving) CG film while others say there will always be an audience for excellent animation. The industry has indeed become a breeding ground for excellence--including excellence in storytelling--with so many talented designers, artists and 2D animators now able to quickly pick up 3D animation software tools and master them. Also, well-known actors are eager to lend their voices to animated projects.

However, there are market forces in place that drive down productions' budgets and animators' profit margins. One thing is certain in 2004: there will be more animated fare than ever and it will, for the most part, look very, very good.

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ROB CAZIN

President, So! Animation (www.so-animation.com), NYC

STRENGTHS: "The greatest strength our industry enjoys now is the advance of technology. Software has matured toward robust production pipelines, allowing for ever-reduced production costs. Decreased cost of hardware, storage and software ensure the continued cost-effectiveness of animation over live action as a storytelling medium. And the US--the birthplace of animation--still possesses the greatest talent pool of visual storytellers, animators and animation writers."

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WEAKNESSES: "The bad economy is a threat that quickly becomes a weakness. Our industry suffers from conservative artistic development due to stressful economy, resulting in the replication of successful formulae in style of storytelling, structure, tone and visual treatment. Our colleges structure programs toward seducing increased enrollment, rather than creating a valuable workforce by encouraging skills, developing work habits and communicating realistic student expectations. Software companies sacrifice development in favor of ease-of-use hobby sales."

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OPPORTUNITIES: "Animation has access to a tremendous opportunity in its own explosion of popularity. Demand has outpaced supply, and breadth of distribution channels--home theaters, Internet and expanding broadcast destinations--are tools we can use to generate even greater demand. HD promises a renewed viewer experience and an opportunity to apply the wealth and refinement of design and compositing. The spontaneous demand for short-format properties will allow us to develop entertainment animation in light that's much more natural and flattering to the art form than the 80-minute marathon imposed by theatrical distribution."

THREATS: "If the new demand for animation is our great opportunity, then answering that demand with poor quality production is our greatest threat. We can quickly spoil the honeymoon by subjecting our viewers to disappointing fare. As I see it, the primary threats to quality production are: overseas, un-supervised production, proliferation of "Chop Shop" studios using pirated software and the twin-punitive expenses of healthcare and unemployment taxes. A successful animation studio must be team-centric. It's difficult to build a functional animation team when the cost of firing inappropriate 'hires' stagnates your decisions."

So! Animation specializes in Softimage DS/HD animation with broadcast design credits for cablecasters and national spots.

BILL DAMASCHKE

Head of Creative Production, Dream Works Animation (www.dreamworks.com), Glendale, CA

STRENGTHS: "One of the great strengths [right now] is technology. Powerful tools are becoming easier and easier to use, which makes them available to folks [like] fine artists and 2D animators who are excelling beyond their expectations at 3D animation now. We're on the cusp of what will be some of the most amazing animation you'll see in films via these folks who have this background. We can bring the magic of 2D animation into 3D. Thanks to technology like videoconferencing, artists can make contributions to films regardless of location."

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WEAKNESSES: "There is definitely increased competition. More and more folks are making animated films, but how many films do people want to see? They will want to see all the good ones. There will be a boom in 3D animation, and one of the weaknesses is so many people getting into it at the same time."

OPPORTUNITIES: "How big and broad the audience for these films certainly is. Now you'll be seeing fully CG-animated films coming from Southern California. The opportunity was to take advantage of some amazing talent that live in Southern California that primarily was working in visual effects. The opportunity is to be able to use this number of really talented digital artists to make animated films. Take some of the best people in visual effects--brilliant engineers, technicians and animators, combined with the transitioning of folks from 2D to 3D--and you have some of the deepest talent in animation working in CG for the first time."