Sunday, July 31, 2016

"Ghostbuster" Flopping Led to Sony Layoffs

You know what happens when movie executives try to ram their social agendas down everyone's throats, their movie will flop at the box office. What happens next is easily predictable: pink slip galore.

This is what happened after the rebooted "Ghostbusters" movie failed to lived up to its creator's expectations. Instead of building from the two previous versions, Sony executives from its Hollywood studio decided that it should be the vehicle to promote diversity and women empowerment to its less enthusiastic viewers. Unfortunately for them, "Ghostbusters" had a lukewarm opening and Sony Corporation’s Tokyo main headquarters is telling its US operation to fire those responsible.

Michael Lynton, Sony’s top man in the US, has been implementing a host of cuts, including layoffs, and he has left no sacred cow untouched.

According to The NY Post, Sony Corporation of America (SCA) has already pink-slipped roughly 100 from its 700-person workforce as it looks to consolidate back-office functions and it is just a start.

"Most of the senior vice president titles and above are going," said one source familiar with the moves. "The parent company is taking over. They don’t need a corporate structure in the US."

SCA oversees Sony Pictures, Sony Music and Sony Electronics. The layoffs occurred a few days ago, sources confirmed.

Marketing budgets on current movie projects have been slashed to get costs in line with spending, a separate source close to Sony said. Staffers are expecting layoffs at the studio, though no one knows how significant they will be.

"The new CFO has got his knife out," said one source. "It would have been helpful if 'Ghostbusters' got off OK."

The "Ghostbusters" remake brought in a deplorable US$ 46 million on its opening weekend, which is not enough to counterbalance its US$ 144 million budget, excluding marketing costs.

Sony is currently in fifth place in studio market share in 2016 with 6.6 percent, according to

Sony Corp. CEO Kazuo Hirai told The Hollywood Reporter in June that it will take "two to three years to produce results" at the studio.

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