From The Hollywood Reporter:
Sharp-eyed moviegoers at the Sundance Film Festival in January might have noticed an unfamiliar title card before the Bruce Willis comedy Lay the Favorite: Random House Films, the movie production arm of the venerable book publisher.
Get used to it. While books long have been prime source material for movies (six of this year’s nine best picture Oscar nominees started as books), publishers traditionally have not participated in the development process or shared in the profits. Scholastic and Little Brown, for instance, make money from Harry Potter and Twilight only through book sales, not their billion-dollar box office.
But that’s changing. Facing financial pressures from everything from the rise of self-published e-books to Amazon’s move to become a publisher, Random House and another “big six” publisher, Macmillan, have set up in-house film divisions to bolster their bottom lines.
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Millions in producing fees and backend profits are just one side of the equation. Functioning as producers, they hope, will give publishers a voice in the marketing of films that could yield higher book sales.
Link to the rest at The Hollywood Reporter