View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
February 25, 1997updated 05 Sep 2016 12:45pm


By CBR Staff Writer

Pixar, the hot computer generated imagery (CGI) shop that gave us Buzz and Woody in 1995’s Toy Story, has cemented its already tight marketing agreement with Disney with a five-picture deal over the next 10 years. Disney is also buying 1 million Pixar shares at $15 a share, with an option for an additional 1.5 million shares (at a higher premium), which would give Michael Eisner 5% of Steve Jobs’ company. Pixar, formerly a division of George Lucas’s Industrial Light & Magic before its buyout by Jobs in 1987, was sole creative agency behind Toy Story. But given the fledgling company’s lack of clout in 1991, and the fact that CGI movies remained a fantasy until Toy Story, Jobs had to accept the terms he was offered – a stiff 85% of all the profits from the movie and spin-off merchandising of the flick go to the Magic Kingdom under the original distribution deal. The film has grossed $350m worldwide and the video cassette version is claimed to have sold 30 million copies so far, so Pixar has had to watch a lot of cash go to its big-eared distributor. Now both companies claim they will be equal partners in the future movies and related products. They already had two more offerings lined up under a 1991 three-picture deal, meaning that these will now become the first two pictures under the new, more equitable, framework. The next Pixar product is Bugs, not due until the end of next year. Pixar stock jumped over 48%, or nearly $7, to close the day at $21, following the news.

Content from our partners
Scan and deliver
GenAI cybersecurity: "A super-human analyst, with a brain the size of a planet."
Cloud, AI, and cyber security – highlights from DTX Manchester

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how Progressive Media Investments may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.