1 00:00:08,000 --> 00:00:11,080 Speaker 1: Welcome to Daily Variety, your daily dose of news and 2 00:00:11,119 --> 00:00:15,800 Speaker 1: analysis for entertainment industry insiders. It's Tuesday, November fourth, twenty 3 00:00:15,840 --> 00:00:19,400 Speaker 1: twenty five. I'm your host, Cynthia Lyttleton. I am co 4 00:00:19,560 --> 00:00:23,040 Speaker 1: editor in chief of Variety alongside Ramin Setuda. I'm in 5 00:00:23,239 --> 00:00:26,560 Speaker 1: LA He's in New York, and Bridy has reporters around 6 00:00:26,560 --> 00:00:29,840 Speaker 1: the world covering the business of entertainment. On today's episode, 7 00:00:29,960 --> 00:00:32,640 Speaker 1: we'll talk with Variety's Todd Spangler on the collision of 8 00:00:32,760 --> 00:00:37,519 Speaker 1: AI and white collar jobs in big tech. Fourteen thousand 9 00:00:37,560 --> 00:00:40,639 Speaker 1: layoffs planned at Amazon will take a bite, and then 10 00:00:40,680 --> 00:00:43,560 Speaker 1: we'll hear from Jennifer Moz on the growth of Dropout. 11 00:00:43,880 --> 00:00:48,199 Speaker 1: That's an independent streamer that taps into underserved fan niches 12 00:00:48,720 --> 00:00:51,920 Speaker 1: like out There, improv comedy troops, and the Dungeons and 13 00:00:52,000 --> 00:00:56,080 Speaker 1: Dragons crowd. The company just implemented a price increase and 14 00:00:56,160 --> 00:00:59,680 Speaker 1: no one complained, as Jennifer explains. But before we get 15 00:00:59,720 --> 00:01:02,840 Speaker 1: to that, here's a few headlines just in this morning 16 00:01:02,880 --> 00:01:05,440 Speaker 1: that you need to know. Spotify delivered a heck of 17 00:01:05,480 --> 00:01:08,360 Speaker 1: a third quarter when it comes to engagement. They jumped 18 00:01:08,400 --> 00:01:12,240 Speaker 1: up to five million paid subscribers, bringing total paying customers 19 00:01:12,280 --> 00:01:15,400 Speaker 1: to two hundred and eighty one million. Monthly active users 20 00:01:15,480 --> 00:01:19,160 Speaker 1: jumped eleven percent to seven hundred and thirteen million. Engagement 21 00:01:19,280 --> 00:01:23,200 Speaker 1: was impressive, but advertising revenue was soft. South Korea's cj 22 00:01:23,440 --> 00:01:25,840 Speaker 1: E and MS trying to do more business in Taiwan. 23 00:01:26,040 --> 00:01:29,319 Speaker 1: The company has set a thirty million dollar content development 24 00:01:29,400 --> 00:01:33,960 Speaker 1: fund with the Taiwan Creative Content Agency, Far East Tone 25 00:01:34,000 --> 00:01:39,480 Speaker 1: Telecommunications and pay TV broadcaster TVBS. Media Variety is on 26 00:01:39,560 --> 00:01:43,240 Speaker 1: the ground in Taiwan covering the busy Taiwan Creative Content 27 00:01:43,319 --> 00:01:47,760 Speaker 1: Festival where this news was announced. Australia has implemented content 28 00:01:47,840 --> 00:01:50,880 Speaker 1: quotas for non local streamers in a bid to boost 29 00:01:50,920 --> 00:01:54,120 Speaker 1: its local production economy. The government has passed a bill 30 00:01:54,160 --> 00:01:58,440 Speaker 1: that will compel streaming platforms including Netflix, Disney Plus, Amazon 31 00:01:58,480 --> 00:02:03,120 Speaker 1: Prime Video and Apple TV Plus to invest a predetermined 32 00:02:03,160 --> 00:02:08,560 Speaker 1: amount of their Australian revenue into locally homegrown programs. My 33 00:02:08,680 --> 00:02:12,240 Speaker 1: colleague nomen Rama Chandron has all the details and finally 34 00:02:12,480 --> 00:02:16,440 Speaker 1: rip Diane Ladd. She was a great actress who embodied 35 00:02:16,480 --> 00:02:20,919 Speaker 1: a kind of tough, smart, savvy post war American woman 36 00:02:20,960 --> 00:02:24,640 Speaker 1: who was nobody's fool. Her relationship with daughter Laura Dern 37 00:02:24,919 --> 00:02:27,480 Speaker 1: played out in the public eye for decades, and you 38 00:02:27,639 --> 00:02:31,520 Speaker 1: never saw anything but love and respect exchanged between them. 39 00:02:31,800 --> 00:02:34,600 Speaker 1: That is a proud legacy. All of these stories and 40 00:02:34,760 --> 00:02:37,519 Speaker 1: so much more can be found on Variety dot com 41 00:02:37,600 --> 00:02:45,120 Speaker 1: right now. Now we turn to conversations with Friday journalists 42 00:02:45,120 --> 00:02:47,960 Speaker 1: about news and trends and show business. Next up, Fridy 43 00:02:48,000 --> 00:02:51,400 Speaker 1: Business editor Todd Spangler unpacks the wave of layoff news 44 00:02:51,680 --> 00:02:55,520 Speaker 1: unleashed last week by big tech firms. Amazon delivered more 45 00:02:55,560 --> 00:02:58,400 Speaker 1: than twenty billion in profits in the third quarter and 46 00:02:58,600 --> 00:03:01,840 Speaker 1: it's still cutting heads by the thousands to brace for 47 00:03:01,880 --> 00:03:05,519 Speaker 1: the AI revolution to come. Dodd Spangler, thanks for joining 48 00:03:05,520 --> 00:03:08,680 Speaker 1: me today. Hello, well, Todd, you were chained to your 49 00:03:08,720 --> 00:03:12,880 Speaker 1: computer all last week dealing with the avalanche of big 50 00:03:12,960 --> 00:03:16,440 Speaker 1: tech earnings reports, and this time around for big tech 51 00:03:16,520 --> 00:03:19,680 Speaker 1: it was a very new zy frame you pepper story 52 00:03:19,800 --> 00:03:22,720 Speaker 1: for this week's edition that looks at the juxtaposition of 53 00:03:22,919 --> 00:03:27,760 Speaker 1: everybody talking about AI, everybody trying to invest tens of 54 00:03:27,840 --> 00:03:31,560 Speaker 1: billions of dollars in AI, and of course the wave 55 00:03:31,720 --> 00:03:36,000 Speaker 1: of layoff notices that we also saw last week. The 56 00:03:36,040 --> 00:03:39,520 Speaker 1: big number that has stuck in everybody's mind is fourteen 57 00:03:39,680 --> 00:03:43,760 Speaker 1: thousand white collar jobs are going to be eliminated from Amazon. 58 00:03:44,080 --> 00:03:46,520 Speaker 1: As I often say to you, Todd, what's really going 59 00:03:46,560 --> 00:03:46,960 Speaker 1: on here. 60 00:03:47,280 --> 00:03:50,000 Speaker 2: First of all, the tech companies are trying to get 61 00:03:50,040 --> 00:03:53,840 Speaker 2: ready for what they see as we just future wave 62 00:03:54,160 --> 00:03:58,520 Speaker 2: of AI coming. So they're investing heavily, including Amazon billions 63 00:03:58,520 --> 00:04:02,600 Speaker 2: and billions and Meta, Microsoft, Google, and Amazon. They all 64 00:04:02,680 --> 00:04:07,320 Speaker 2: raised their capital expenditure estimates for the coming year because 65 00:04:07,360 --> 00:04:11,040 Speaker 2: they're investing more in data centers to power AI applications now. 66 00:04:11,080 --> 00:04:14,400 Speaker 2: At the same time, Amazon said that they're cutting about 67 00:04:14,440 --> 00:04:18,400 Speaker 2: four percent of their total white collar workforce fourteen thousand jobs. 68 00:04:18,440 --> 00:04:22,320 Speaker 2: That's a big number. And this came after a memo 69 00:04:22,400 --> 00:04:26,160 Speaker 2: that Jase CEO Andy Jase sent to the staff in 70 00:04:26,240 --> 00:04:29,240 Speaker 2: June saying we're going to get efficiency from using AI 71 00:04:29,600 --> 00:04:32,320 Speaker 2: and that's going to result in a net reduction in 72 00:04:32,360 --> 00:04:35,920 Speaker 2: our corporate headcount. So that's how this came down. And 73 00:04:35,960 --> 00:04:40,159 Speaker 2: then on the earnings call three days later, Jesse maybe 74 00:04:40,200 --> 00:04:45,080 Speaker 2: had second thoughts about being looking like the vanguard of 75 00:04:45,800 --> 00:04:48,640 Speaker 2: AI driven layoffs. What he said on the call was 76 00:04:48,680 --> 00:04:52,479 Speaker 2: that this was not really AI driven, not now at least, 77 00:04:52,720 --> 00:04:55,760 Speaker 2: He said, this is about culture, basically saying that they 78 00:04:56,120 --> 00:04:59,239 Speaker 2: overhired during the spike and demand that they saw during 79 00:04:59,279 --> 00:05:02,440 Speaker 2: the pandemic, and that produce more layers of job functions 80 00:05:02,440 --> 00:05:03,960 Speaker 2: that they can make more efficient. 81 00:05:04,200 --> 00:05:08,520 Speaker 1: Fourteen thousand jobs. That is quite a peremptory strike. Did 82 00:05:08,560 --> 00:05:11,799 Speaker 1: Amazon or any of the tech companies give any like concrete, 83 00:05:11,920 --> 00:05:15,320 Speaker 1: nitty gritty examples of AI is allowing us to do this, 84 00:05:15,680 --> 00:05:19,280 Speaker 1: so we need far fewer people in this area of 85 00:05:19,320 --> 00:05:20,000 Speaker 1: our business. 86 00:05:20,440 --> 00:05:23,880 Speaker 2: No, they haven't gotten that granular, but you know, certainly 87 00:05:23,920 --> 00:05:27,479 Speaker 2: it improves their efficiencies on writing code, which is. 88 00:05:27,480 --> 00:05:30,520 Speaker 1: Probably one of the most labor intensive things that any 89 00:05:30,560 --> 00:05:31,919 Speaker 1: tech company does, right. 90 00:05:31,800 --> 00:05:33,960 Speaker 2: So they can do millions of lines of code a 91 00:05:34,000 --> 00:05:37,960 Speaker 2: lot more easily. Now, you know, the techno utopian school 92 00:05:38,000 --> 00:05:41,480 Speaker 2: of thoughts says, hey, this isn't necessarily going to result 93 00:05:41,480 --> 00:05:44,920 Speaker 2: in job declines. You know, even on Amazon said this 94 00:05:44,960 --> 00:05:48,200 Speaker 2: will free up their ability to hire people to do 95 00:05:48,279 --> 00:05:52,200 Speaker 2: other tasks and grow the business. Overall. We'll see how 96 00:05:52,200 --> 00:05:55,680 Speaker 2: this all shakes out. And the Amazon did indicate that 97 00:05:55,839 --> 00:06:00,240 Speaker 2: more cutbacks are going to come next year. And again, 98 00:06:00,320 --> 00:06:05,120 Speaker 2: Amazon isn't hurting financially. They had enormous profits more than 99 00:06:05,160 --> 00:06:08,000 Speaker 2: twenty one billion dollars for the most recent quarter of 100 00:06:08,160 --> 00:06:12,280 Speaker 2: thirty eight percent, so they're not cutting heads because they 101 00:06:12,320 --> 00:06:16,520 Speaker 2: have to. They're trying to stay agile as this AI 102 00:06:17,040 --> 00:06:18,719 Speaker 2: title wave is coming down the pipe. 103 00:06:18,839 --> 00:06:22,240 Speaker 1: Let me ask you about Meta, Facebook and Instagram. I've 104 00:06:22,240 --> 00:06:25,960 Speaker 1: been reading the reports that Mark Zuckerberg is writing gigantic 105 00:06:26,120 --> 00:06:28,800 Speaker 1: checks to bring in AI talent. You know, Meta is 106 00:06:28,839 --> 00:06:31,919 Speaker 1: an interesting company because they played a little bit in 107 00:06:32,000 --> 00:06:35,360 Speaker 1: the area of content and original programming and they pretty 108 00:06:35,440 --> 00:06:39,480 Speaker 1: quickly retreated. But do you get any read that this 109 00:06:39,720 --> 00:06:42,839 Speaker 1: huge investment that they are also making in AI is 110 00:06:43,279 --> 00:06:46,719 Speaker 1: going to maybe bring them closer to the content business now? 111 00:06:46,800 --> 00:06:49,960 Speaker 2: I think for now have a very profitable business not 112 00:06:50,080 --> 00:06:55,000 Speaker 2: producing original content or acquiring So I think for Meta 113 00:06:55,200 --> 00:06:58,839 Speaker 2: social media company, primarily where they're really leaning into AI 114 00:06:59,160 --> 00:07:03,200 Speaker 2: is on content where they can scan you know, millions, 115 00:07:03,279 --> 00:07:06,279 Speaker 2: if not billions of user posts to make sure that 116 00:07:06,600 --> 00:07:09,400 Speaker 2: everything is in compliance with their policies. So I think 117 00:07:09,400 --> 00:07:12,680 Speaker 2: they're going to see real efficiencies that will this result 118 00:07:12,800 --> 00:07:16,840 Speaker 2: in headcamp reduction. Admitt We'll see how it all in 119 00:07:16,920 --> 00:07:19,640 Speaker 2: that sound, but as you point out they're staffing up 120 00:07:19,680 --> 00:07:21,800 Speaker 2: on the AI front, MAYBEED be able to run those 121 00:07:21,840 --> 00:07:25,880 Speaker 2: things actually, so you know, one area shrinks and another 122 00:07:25,920 --> 00:07:26,320 Speaker 2: goes up. 123 00:07:26,280 --> 00:07:29,120 Speaker 1: For exactly as you point out in your story, this 124 00:07:29,200 --> 00:07:32,440 Speaker 1: thing called Google did not exist before nineteen ninety eight, 125 00:07:32,520 --> 00:07:35,520 Speaker 1: and today it employs almost two hundred thousand people around 126 00:07:35,520 --> 00:07:37,880 Speaker 1: the world. So I think what we are going through 127 00:07:37,960 --> 00:07:42,680 Speaker 1: is the definition of Joseph Schumpter's creative destruction. Dob, what 128 00:07:42,720 --> 00:07:45,160 Speaker 1: do you think all of what's going on with big tech? 129 00:07:45,560 --> 00:07:48,080 Speaker 1: How is that going to impact big media? I mean, 130 00:07:48,120 --> 00:07:50,400 Speaker 1: these are two sectors that are frenemies. 131 00:07:50,680 --> 00:07:54,640 Speaker 2: I think everybody wants to operate more efficiently, and how 132 00:07:54,720 --> 00:07:57,000 Speaker 2: you get there there are a lot of different paths. 133 00:07:57,040 --> 00:08:01,760 Speaker 2: I think efficiency for a studio might mean taking advantage 134 00:08:01,760 --> 00:08:04,520 Speaker 2: of AI to do things with fewer people. But you know, 135 00:08:04,560 --> 00:08:07,640 Speaker 2: we hear a lot of this sort of rose colored 136 00:08:07,640 --> 00:08:12,240 Speaker 2: glasses chatter of like, hey, it's just another generation of 137 00:08:12,440 --> 00:08:16,760 Speaker 2: tools technology that lets filmmakers execute on their creative vision 138 00:08:17,000 --> 00:08:20,840 Speaker 2: faster and more easily and more flexibly. That's true, I'm sure, 139 00:08:20,840 --> 00:08:23,800 Speaker 2: But I think AI and the kinds of generative AI 140 00:08:23,880 --> 00:08:27,960 Speaker 2: advances that we're seeing are like no technology step change 141 00:08:27,960 --> 00:08:29,680 Speaker 2: that we've seen in history. 142 00:08:29,920 --> 00:08:32,240 Speaker 1: What a time to be alive, and we're the lucky 143 00:08:32,280 --> 00:08:34,720 Speaker 1: ones that get to cover it. A variety from the 144 00:08:34,760 --> 00:08:39,520 Speaker 1: get go is an irreplaceable chronicle of the advancement of 145 00:08:39,600 --> 00:08:43,120 Speaker 1: mass media, and we are but small contributors to this 146 00:08:43,360 --> 00:08:47,319 Speaker 1: one hundred and twenty plus year history. Todd, thank you 147 00:08:47,400 --> 00:08:55,480 Speaker 1: as always. Now we'll hear from Jennifer Mobs, Variety's senior 148 00:08:55,520 --> 00:09:00,559 Speaker 1: business writer about the independent streaming service Dropout. It has 149 00:09:00,600 --> 00:09:04,000 Speaker 1: a rabbit fan base that is literally asking to pay 150 00:09:04,040 --> 00:09:07,960 Speaker 1: more for the service. I'm happy to see some semblance 151 00:09:08,000 --> 00:09:12,120 Speaker 1: of indie activity in a sector that is increasingly consolidated. 152 00:09:12,360 --> 00:09:14,320 Speaker 1: Jennifer Moz, thanks for joining me. 153 00:09:14,559 --> 00:09:15,360 Speaker 3: Nice to be back. 154 00:09:15,559 --> 00:09:18,440 Speaker 1: You had quite the compelling lead on a recent story 155 00:09:18,480 --> 00:09:21,480 Speaker 1: of yours about the streaming service Dropout, something to the 156 00:09:21,520 --> 00:09:24,400 Speaker 1: effect of fans are finally getting what they ask for, 157 00:09:24,760 --> 00:09:27,840 Speaker 1: the chance to pay more for the service. Jenny, bring 158 00:09:27,920 --> 00:09:30,720 Speaker 1: us up to speed as to what's going on with Dropout. 159 00:09:30,800 --> 00:09:33,240 Speaker 1: You've been tracking their growth and tell us about the 160 00:09:33,280 --> 00:09:34,600 Speaker 1: milestone that they just hit. 161 00:09:34,760 --> 00:09:38,400 Speaker 3: So they just crossed one million subscribers, which is something 162 00:09:38,400 --> 00:09:41,160 Speaker 3: to be proud of for an indie small streaming service. 163 00:09:41,200 --> 00:09:43,800 Speaker 3: This is not Netflix, this is not Disney Plus. This 164 00:09:44,000 --> 00:09:47,560 Speaker 3: is a small service that has built itself from the 165 00:09:47,600 --> 00:09:51,280 Speaker 3: ground up from the ashes of college humor. College Humor 166 00:09:51,480 --> 00:09:55,040 Speaker 3: rebranded as Dropout in September twenty twenty three, and they've 167 00:09:55,080 --> 00:09:58,120 Speaker 3: had pretty steady subscriber growth as you've been reporting. SETI 168 00:09:58,200 --> 00:10:00,959 Speaker 3: is how I put it, which is still remarkable at 169 00:10:01,000 --> 00:10:04,200 Speaker 3: this point. So what they did interesting a lead this 170 00:10:04,320 --> 00:10:07,480 Speaker 3: month is earlier this year, they increased their price by 171 00:10:07,480 --> 00:10:09,840 Speaker 3: a dollar. They went from five ninety nine per month 172 00:10:09,880 --> 00:10:12,800 Speaker 3: to six ninety nine per month or sixty nine ninety 173 00:10:12,880 --> 00:10:16,680 Speaker 3: nine for the year. And so looking at that, they 174 00:10:17,040 --> 00:10:19,679 Speaker 3: had heard good feedback, which is remarkable. 175 00:10:19,760 --> 00:10:22,440 Speaker 1: When you raise your price to hear good feedback, usually 176 00:10:22,480 --> 00:10:28,199 Speaker 1: that brings screaming how as cancelation fire the CEO exactly. 177 00:10:28,480 --> 00:10:32,920 Speaker 3: And so they actually then used in a marketing announcement 178 00:10:33,040 --> 00:10:36,280 Speaker 3: to announce this new tier. They used all the social 179 00:10:36,320 --> 00:10:38,840 Speaker 3: media posts where people were saying, I would love to 180 00:10:38,840 --> 00:10:40,480 Speaker 3: pay you more money. I would love to pay more 181 00:10:40,520 --> 00:10:44,200 Speaker 3: for this. This is great, your content's great. So they said, okay, 182 00:10:44,240 --> 00:10:47,400 Speaker 3: we're launching a superfan tier. It will cost you one 183 00:10:47,440 --> 00:10:51,040 Speaker 3: hundred and twenty nine ninety nine annually. You will get 184 00:10:51,080 --> 00:10:53,440 Speaker 3: a few extra things here and there. You'll get like 185 00:10:53,600 --> 00:10:56,600 Speaker 3: access to exclusive merch you might get like early access 186 00:10:56,600 --> 00:10:59,960 Speaker 3: to ticket sales. Dropout is the home of Dimension twenty, 187 00:11:00,400 --> 00:11:03,000 Speaker 3: the D and D Show, and they took over a 188 00:11:03,080 --> 00:11:06,000 Speaker 3: Madson Square garden and sold it out. So if they 189 00:11:06,080 --> 00:11:07,800 Speaker 3: do more things like that, they said you could get 190 00:11:07,800 --> 00:11:10,880 Speaker 3: early access to those kind of tickets, but mainly here 191 00:11:11,080 --> 00:11:13,720 Speaker 3: that's it. They're just giving you an opportunity to pay 192 00:11:13,720 --> 00:11:17,000 Speaker 3: more as you asked for, because you won't get any 193 00:11:17,240 --> 00:11:21,120 Speaker 3: exclusive shows that someone on the regular tier doesn't have 194 00:11:21,200 --> 00:11:23,400 Speaker 3: access to. You could get maybe like a behind the 195 00:11:23,400 --> 00:11:26,040 Speaker 3: scene look here and there, but they've made the promise 196 00:11:26,240 --> 00:11:28,880 Speaker 3: that what you get on Dropout is what you'll get 197 00:11:28,920 --> 00:11:31,720 Speaker 3: on Super Fan, and you're just getting the opportunity to 198 00:11:31,760 --> 00:11:32,840 Speaker 3: pay more as you asked for. 199 00:11:33,000 --> 00:11:35,920 Speaker 1: Now that's a fandom, Yeah. Is there a sense of 200 00:11:36,040 --> 00:11:38,720 Speaker 1: ownership among the fans that it's the fans that have 201 00:11:38,800 --> 00:11:41,960 Speaker 1: allowed Dropout to succeed and therefore we're going to kick 202 00:11:42,000 --> 00:11:45,599 Speaker 1: in an extra fifty cents a dollar to support this platform. 203 00:11:45,760 --> 00:11:48,000 Speaker 1: From your reporting, I know that they even took a 204 00:11:48,000 --> 00:11:49,680 Speaker 1: swing at the Emmy Race this past year. 205 00:11:49,840 --> 00:11:53,120 Speaker 3: Definitely a sense of ownership. CEO Sam Raich was part 206 00:11:53,160 --> 00:11:55,800 Speaker 3: of the original College Humor and actually is the one 207 00:11:55,920 --> 00:11:59,679 Speaker 3: who bought the company when College Humor was shuttered by 208 00:11:59,720 --> 00:12:03,040 Speaker 3: Barry Yeller's company, and he bought it and built it 209 00:12:03,080 --> 00:12:05,200 Speaker 3: all back up. The people you saw in these videos 210 00:12:05,240 --> 00:12:08,240 Speaker 3: probably a great deal of nostalgia for most millennials. These 211 00:12:08,280 --> 00:12:10,880 Speaker 3: are the videos that you sent to each other on 212 00:12:10,920 --> 00:12:15,479 Speaker 3: YouTube before there was Dropout, showing your favorite college humor personalities, 213 00:12:15,520 --> 00:12:19,160 Speaker 3: and you knew these people parasocially. But that's a huge 214 00:12:19,200 --> 00:12:23,520 Speaker 3: element of this, that they are Internet first people. I 215 00:12:23,559 --> 00:12:25,719 Speaker 3: mean when they made this announcement and when they made 216 00:12:25,720 --> 00:12:28,440 Speaker 3: their price announcement as well. Instead of doing it like 217 00:12:28,520 --> 00:12:31,240 Speaker 3: Netflix or Disney Plus, where they send a press release 218 00:12:31,320 --> 00:12:33,600 Speaker 3: or they do it on an earnings call, Sam just 219 00:12:33,679 --> 00:12:37,760 Speaker 3: posted on Instagram and he did it himself directly to 220 00:12:37,800 --> 00:12:39,880 Speaker 3: the fans, and he said that was really important to 221 00:12:39,960 --> 00:12:42,200 Speaker 3: him to do it that way so that they know 222 00:12:42,480 --> 00:12:45,000 Speaker 3: this is not just a business move. That they're very 223 00:12:45,040 --> 00:12:47,600 Speaker 3: cautious about this kind of thing, and they don't they 224 00:12:47,600 --> 00:12:50,120 Speaker 3: don't want to upset fans. They really want you to 225 00:12:50,160 --> 00:12:52,080 Speaker 3: stay on board with them. Let me ask you to 226 00:12:52,080 --> 00:12:55,240 Speaker 3: take a step back. What is it about Dropout? What 227 00:12:55,480 --> 00:12:58,199 Speaker 3: is it that you and other fans just love so much? 228 00:12:58,360 --> 00:13:01,400 Speaker 3: Largely it's comedy, really, like they're very clear we are 229 00:13:01,640 --> 00:13:05,319 Speaker 3: comedy streaming service. Fans of improv love it, and that's 230 00:13:05,520 --> 00:13:08,120 Speaker 3: a lot of it. They have game shows, they have 231 00:13:08,520 --> 00:13:10,640 Speaker 3: game changers, a huge one for them. That was the 232 00:13:10,640 --> 00:13:13,400 Speaker 3: one that they went the hardest with for FYC stuff, 233 00:13:13,480 --> 00:13:16,320 Speaker 3: and I think eventually it will break through because it's 234 00:13:16,320 --> 00:13:18,480 Speaker 3: a totally different kind of thing from like a Wheel 235 00:13:18,480 --> 00:13:21,880 Speaker 3: of Fortune or a jeptor d these like stalwart things 236 00:13:22,000 --> 00:13:26,560 Speaker 3: where this game show, the game changes every time and 237 00:13:26,559 --> 00:13:28,720 Speaker 3: that's the format of it, and the players don't know 238 00:13:28,760 --> 00:13:30,719 Speaker 3: what game they're playing and have to figure it out 239 00:13:30,840 --> 00:13:33,680 Speaker 3: as the game goes on. Like that's that's a very 240 00:13:33,679 --> 00:13:34,760 Speaker 3: interesting concept. 241 00:13:34,800 --> 00:13:35,000 Speaker 1: You know. 242 00:13:35,040 --> 00:13:37,680 Speaker 3: The D and D community is huge because they have 243 00:13:37,800 --> 00:13:40,840 Speaker 3: dimension twenty, similar to like a critical role game. D 244 00:13:40,880 --> 00:13:44,480 Speaker 3: and D is a huge audience and it's underserved by 245 00:13:44,559 --> 00:13:48,440 Speaker 3: traditional media. And that's what Dropout has. They're offering something 246 00:13:48,480 --> 00:13:50,640 Speaker 3: that genuinely isn't being offered elsewhere. 247 00:13:50,840 --> 00:13:53,280 Speaker 1: So I have no doubt that Sam Reich and others 248 00:13:53,320 --> 00:13:55,679 Speaker 1: involved with Dropout, But I have no doubt that their 249 00:13:55,720 --> 00:13:59,480 Speaker 1: phone is ringing with acquisition offers because anything with Mojo 250 00:13:59,679 --> 00:14:02,640 Speaker 1: is going to get the attention of the heavyweights. When 251 00:14:02,720 --> 00:14:05,040 Speaker 1: that phone call comes in, what do you think they say? 252 00:14:05,200 --> 00:14:06,280 Speaker 1: It's a really good question. 253 00:14:06,480 --> 00:14:09,360 Speaker 3: We don't know, but at the moment, I think they're 254 00:14:09,720 --> 00:14:12,959 Speaker 3: very happy with what they have, and they'd already been 255 00:14:12,960 --> 00:14:16,240 Speaker 3: burned before, like Barry Dillars, I see that almost led 256 00:14:16,240 --> 00:14:19,240 Speaker 3: to the end of them. So I think they're just 257 00:14:19,480 --> 00:14:22,360 Speaker 3: too plugged into their fans right now and too plugged 258 00:14:22,400 --> 00:14:26,040 Speaker 3: into this like underdog growing community that they would be 259 00:14:26,080 --> 00:14:28,080 Speaker 3: willing to do that right now. Come back to me 260 00:14:28,080 --> 00:14:29,880 Speaker 3: in three years, we'll see what things look. 261 00:14:29,800 --> 00:14:32,880 Speaker 1: Like in a world where the majors are more consolidated 262 00:14:32,920 --> 00:14:35,720 Speaker 1: than ever. This is certainly one of the most prominent 263 00:14:35,840 --> 00:14:38,720 Speaker 1: independent outlets out there, and so I love that we 264 00:14:38,800 --> 00:14:41,160 Speaker 1: shine a light on it. That's our job as journalists. 265 00:14:41,280 --> 00:14:49,960 Speaker 1: Jennifer Moz, thank you, Thank you. As we close out 266 00:14:49,960 --> 00:14:53,280 Speaker 1: today's episode, here's a few things we're watching for there's 267 00:14:53,320 --> 00:14:55,960 Speaker 1: a bunch of interesting TV series rolling out in the 268 00:14:56,000 --> 00:14:59,000 Speaker 1: next couple of days. Today marks the debut of All's 269 00:14:59,040 --> 00:15:02,000 Speaker 1: Fair on Hulu. It's a legal drama from the Ryan 270 00:15:02,080 --> 00:15:06,280 Speaker 1: Murphy Shop, top lined by Kim Kardashian. On Wednesday, Sarah 271 00:15:06,280 --> 00:15:09,840 Speaker 1: snook OF's succession fame returns in All Her Fault, a 272 00:15:09,920 --> 00:15:13,120 Speaker 1: limited series on Peacock, and on Friday, It's the reunion 273 00:15:13,160 --> 00:15:16,720 Speaker 1: of Ray Seahorn and Vince Gilligan for Pluribus on Apple TV, 274 00:15:17,200 --> 00:15:21,320 Speaker 1: which looks very intriguing. Before we go, congrats to Sean Barber. 275 00:15:21,560 --> 00:15:25,119 Speaker 1: He's joined Paramount Pictures as head of domestic Theatrical Distribution. 276 00:15:25,440 --> 00:15:28,480 Speaker 1: Barber spent the past eighteen years as a senior executive 277 00:15:28,520 --> 00:15:31,920 Speaker 1: at Lionsgate and Summit, working on The Hunger Games and 278 00:15:32,040 --> 00:15:35,600 Speaker 1: Twilight and many other big movies. Thanks for listening. This 279 00:15:35,760 --> 00:15:38,960 Speaker 1: episode was written and reported by me Cynthia Littleton, with 280 00:15:39,120 --> 00:15:43,440 Speaker 1: contributions from Todd Spangler and Jennifer Mobs. Stick's next hick Picks. 281 00:15:43,760 --> 00:15:46,160 Speaker 1: Please leave us a review at the podcast platform of 282 00:15:46,200 --> 00:15:49,600 Speaker 1: your choice, and please tune in tomorrow for another episode 283 00:15:49,600 --> 00:15:50,400 Speaker 1: of Daily Variety.