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- After Nearly Getting Sunk by Bankruptcy, Marvel Plots a Course Towards Iron Man
- Blade Was Much More Responsible for the MCU Than You Think
- Kevin Feige’s Marvel Takeover Made Downey Jr. the Man
- Iron Man Changed Movies for the Following Two Decades
- Avengers: Endgame Rewrote Hollywood Economics
- Marvel Fell From the Top but Remains a Preeminent Property
As a film enthusiast who has witnessed the rise and fall of various cinematic giants, I must say that the Marvel Cinematic Universe (MCU) has undeniably left an indelible mark on the industry. Having grown up with these characters, their stories have not only entertained me but also shaped my love for storytelling.
It was hard to imagine, back in the 1980s, that Marvel Comics would one day dominate the film industry. This was despite the success of DC Comics’ movies like Superman and Batman during the ’70s and ’80s. At that time, Marvel Comics wasn’t really a force in movie production. Their only significant foray into films had been the black-and-white Captain America serials from 1944, followed by selling the Red Sonja comic for a 1985 film that was linked to Conan the Barbarian. Stan Lee had relocated to Los Angeles in the early ’80s, aiming to develop Marvel’s TV and movie projects, but the early failures like Howard the Duck made Marvel’s cinematic future seem bleak at best.
In the late ’90s, Lee established Stan Lee Media, an internet-focused marketing firm for his comic book characters, alongside a wealthy business partner named Peter Paul. However, as it turned out, Paul was involved in various questionable business practices, and by the end of 2000, investigators uncovered illegal stock manipulation by Paul and corporate officer Stephan Gordon at Lee Media. As a result, Stan Lee Media sought Chapter 11 bankruptcy protection, and the prospect of creating a Marvel film studio seemed bleak from Lee’s perspective (Lee, nonetheless, had wisely signed essential contracts to protect his intellectual property in the ’80s).
After Nearly Getting Sunk by Bankruptcy, Marvel Plots a Course Towards Iron Man
During Stan Lee’s tenure as Chairman Emeritus, Marvel Comics continued to gain wisdom in the film industry. Just eight years after Lee’s bankruptcy filing, the fortunes of the fledgling Marvel Studios took a dramatic turn for the better with the release of Iron Man, a movie that became a massive hit and paved the way for the Marvel Cinematic Universe to become one of the most valuable intellectual properties in the film business during the 2010s (excluding multimedia properties such as Pokémon and Mickey Mouse & Friends).
Previously, in the 2000s, Stan Lee held more of a symbolic position at Marvel, retaining a seat on the board, receiving an substantial yearly salary, and contributing creatively – however, he was gradually being sidestepped from the company’s daily management. The well-received 1998 film release of Blade, a character developed by Marvel in the 70s, demonstrated to Marvel executives that establishing their own studio could be financially rewarding. By preserving Stan Lee’s legacy, they believed, would serve as an entry point.
In the ’90s, they lacked the necessary infrastructure and ended up giving a significant portion of the earnings from “Blade” to New World Pictures, who held the license for it. Despite a decline in DC’s box office success due to issues like the infamous Clooney nipples in the Batman franchise, Marvel believed that their intellectual properties had immense potential for profit beyond the rough-edged, R-rated characters like Blade or another money-making Spider-Man movie.
Blade Was Much More Responsible for the MCU Than You Think
One significant milestone in the progression of Marvel movies was the success of the Blade series, even though Marvel Comics had sold the film rights to New World Pictures before establishing their own studio. The success of this franchise played a pivotal role in demonstrating that Marvel characters could be financially successful on the big screen. However, it was also a missed chance as Marvel only received a flat fee of $25,000 for the movie’s success. After this oversight, Marvel learned from their mistake and didn’t repeat such a dramatic licensing error. The next critical step towards Marvel’s cinematic triumph was the acquisition of Spider-Man’s IP by Sony Pictures. Just a year after Blade was released, Sony bought the rights for $7 million – a far greater sum compared to what Marvel initially received. Despite underestimating the value of this property, nobody at that time could have foreseen the rise of the superhero-centric market in Hollywood.
The continued success of Spider-Man served as a stark reminder for Marvel Comics. Although they had made a substantial amount from the film, they had once more overlooked the potential value of a major movie franchise. By 2005, Marvel Entertainment, the precursor to the MCU, decided to take matters into their own hands and start producing films independently, with Paramount Pictures handling distribution. Avi Arad, who was in charge at that time, made the bold move to establish Marvel’s independent film studio (the first notable studio launched since DreamWorks, founded by Steven Spielberg and Jeffrey Katzenberg, in 1994).
Afterward, Arad initiated the financial backing for the emerging IP giant (Intellectual Property). Initially, Marvel obtained more than half a billion dollars from Merrill Lynch, with the intention of producing a movie featuring superheroes crossover – similar to Avengers: Endgame in concept, though that didn’t happen until much later. However, the timing wasn’t suitable for a superhero revival in 2005, but Marvel’s CEO Kevin Feige’s strategic thinking would eventually demonstrate not only foresight – but also industry-changing.
Kevin Feige’s Marvel Takeover Made Downey Jr. the Man
In the mid-2000s, Kevin Feige, who was second-in-command at Arad’s studio, eventually assumed control of Marvel Studios in 2007. He renamed it the Marvel Cinematic Universe as part of a strategic marketing plan. Since the late ’90s, several Iron Man movie scripts had circulated in Hollywood, and Feige hired Jon Favreau to direct the new Iron Man film in early 2006. This marked the beginning of Phase One of the Marvel Cinematic Universe’s release of feature films. However, this project encountered significant challenges, as the comic book IP wasn’t yet a proven success. For instance, Favreau was determined to cast Robert Downey Jr. as Tony Stark, who had struggled with substance abuse and had a tarnished reputation in the media. Despite Favreau’s strong advocacy, Feige initially hesitated due to Downey Jr.’s troubled past.
A significant challenge faced during production was the absence of a finalized Iron Man screenplay. Director Jon Favreau primarily structured the filming process around the creation of stunning CGI set pieces, allowing the cast to improvise many lines while filming scenes that were rich in action, drama, and visual appeal. The script was largely developed during the filming process, and Favreau showcased Downey Jr.’s talent to the studio by highlighting his improvisational skills and the actor’s real-life experiences, which reinforced Tony Stark’s duality. As Favreau put it, “My role as a director was to demonstrate that this was the best creative decision,” and everyone involved recognized Downey’s talent. By delving into the Iron Man role and crafting the script, Favreau discovered that the character shared many positive and negative traits with Robert Downey Jr.
Iron Man Changed Movies for the Following Two Decades
Relieving all their concerns, the studio found immense success when Iron Man was released in 2008, grossing $585 million and catapulting Phase One of the MCU to unprecedented heights. Robert Downey Jr.’s performance demonstrated a fresh strategy to the executives – casting big-name stars as superheroes instead of relying on lesser-known actors such as Tobey Maguire and Wesley Snipes for new franchises. This approach had proven effective in movies like Blade and Spider-Man, but Marvel, burdened by debt, couldn’t risk a single major failure at that time, making every film release crucial to the company’s survival.
In 2008, Terrence Howard’s role as War Machine was particularly timely following the success of “Hustle & Flow” during the previous year’s film festival and award seasons. This period also saw the launch of Phase One, which included fresh movies such as “Thor,” “Captain America: The First Avenger,” and two more installments of “Iron Man.” These films significantly boosted their budgets, demonstrating the wisdom of Feige and Arad’s strategy of overspending. The climax came in 2019 when the Marvel Cinematic Universe’s decade-long vision for a superhero ensemble film was realized with “Avengers: Endgame,” which at that time held the record for highest box office earnings (until “Avatar” took over).
Avengers: Endgame Rewrote Hollywood Economics
By 2019, Feige and Arad had skillfully constructed the Marvel Cinematic Universe (MCU) into the world’s highest-earning movie franchise, generating a total box office revenue of over $28 billion. As reported by Marca, the franchise is roughly valued at $54 billion. Feige masterfully played the long game by leveraging Marvel’s full control over the IP for The Avengers and strategically maintaining the MCU’s supremacy in Hollywood. However, since then, sustaining such dominance has been challenging. Phase Two encountered significant difficulties in matching the initial phase’s box-office earnings (Phase Three ultimately regained momentum). It is important to note that despite facing years of economic hardships, the company thrived during periods of adversity, much like theatrical films typically do.
A significant portion of advancements in the Marvel Cinematic Universe occurred during two critical periods of financial instability in Hollywood. The transformation brought about by the 2020 pandemic, once more, presented an opportunity for MCU – they shifted their focus towards streaming and were able to lead the correction of the streaming market for superhero films over ‘true crime’ series and excess online content during COVID. These new streaming platforms didn’t have the same financial constraints as Marvel movies, making them more profitable. Additionally, Marvel was unable to film planned projects during some crucial periods in the early 2020s due to company-specific issues.
Marvel Fell From the Top but Remains a Preeminent Property
The COVID-19 pandemic significantly reshaped the streaming landscape, without a doubt. With Marvel movies performing exceptionally well and their intellectual properties fitting seamlessly with Netflix and Disney+’s enhanced viewing platforms, Marvel continued to thrive. Despite a decrease in film production in 2020, there was a surge in viewership as audiences turned to binge-watching older Marvel series such as ‘The Punisher’, from the comfort of their homes during the COVID-induced home revolution. Simultaneously, the Marvel Cinematic Universe sustained substantial profits even when film crews were prohibited from gathering, while potential Marvel projects faced significant risks due to WGA/SAG/AFTRA strikes.
It’s no accident that some of the MCU’s least profitable films (considering inflation) were released during a critical juncture in Hollywood. Marvel responded by canceling numerous film and TV projects to limit losses, but they haven’t regained their pre-2020 supremacy entirely since then. This is partly due to the impact of COVID, but also because they didn’t fully exploit the shift towards streaming services becoming inevitable. Phase Four didn’t meet the company’s expectations either, largely because the younger generation, who are maturing, may not value cinema releases as much as their predecessors did.
The staggering $2.8 billion earnings of Avengers: Endgame might have set a new peak for Marvel films, possibly even for movie releases overall. It seems that movies as we know them could be nearing extinction. However, one studio that has shown remarkable agility in adapting to the medium and format is this comic book powerhouse. Despite criticism towards superhero films’ impact on Hollywood, it may well be these characters that keep the industry thriving. Marvel will undoubtedly continue leading the pack. By the way, you can stream the Marvel Cinatic Universe on Disney+.
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2024-10-16 01:02