Why Is Cloud9 Studios’ Pia Patatian So Bullish on the Indie Film Business?

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Based in Los Angeles, established producer Pia Patatian, with her extensive background in global sales, aims to reach new heights with the establishment of her innovative production, sales, and financing company, Cloud9 Studios. Previously known as Concord Studios at the American Film Market (AFM) last year, Patatian has recently rebranded to Cloud9, a more inspiring name to reflect her aspirations, and also to avoid any potential copyright issues. At this year’s European Film Market in Berlin, she is poised to offer some much-needed optimism to the struggling independent theatrical industry.

Born in Lebanon with Armenian roots, but raised in Spain and educated in Denmark, Patatian has been a globetrotter since her early days, residing in approximately four or five distinct countries across two continents. As she puts it, “I’ve spent most of my life traveling.”

Over the past two decades, this versatile figure has made a significant mark on the global film industry. She started her journey at Universal Pictures in Madrid, then moved on to roles such as director of international sales at Blue Box International and director of sales and marketing at Kathy Morgan International. Her career trajectory led her to Capstone Pictures, where she served as senior vice president of sales, followed by Arclight Films, where she held the position of president of worldwide sales until mid-2024.

Cloud9’s upcoming lineup in Berlin features a couple of Arclight productions: the romantic comedy “Under the Stars,” featuring Toni Collette and Andy Garcia, produced by Patatian, and the suspenseful JFK conspiracy drama “Assassination,” starring Jessica Chastain, Brendan Fraser, and Al Pacino, directed by Barry Levinson. Also included are fresh offerings such as the erotic thriller “Blurred” starring Guy Pearce and Alex Pettyfer.

She mentions that their initial movie releases feature prominent actors, but they’re also keen on nurturing fresh talent. She specifically highlights Spanish actress María Pedraza from the film “Blurred” as an example of the new talent they aim to introduce and develop further in the industry.

Patatian also talked to THR about Cloud9’s strategy, new approaches, and

Why the name change, and what is Cloud9 supposed to convey about your vision for the company?

Due to the fact that the name “Concord Studios” was already in use by Universal Music, we found it necessary to rebrand our company. To avoid any potential legal issues, we opted for a name that resonates with everyone. We wanted our new name, Cloud9, to symbolize the sense of optimism and joy that is at the heart of our company’s mission. Our aim is to evoke this positive feeling in both our customers and our audience through the movies we produce.

What’s the source of your optimism given that the conversations I usually have with professionals in the industry are centered around the struggle of the box office to recover post-COVID and the difficulty in securing funding for independent films? Can you share some insights about where you find reasons for optimism?

Indeed, it’s undeniable that the independent film sector has undergone a significant transformation lately. Frankly, this shift was long overdue. For years, there’s been an obvious need for a change in this industry as audiences grew weary of repetitive storylines, sequels, franchises, and remakes. Instead, they crave fresh narratives, emerging talents, and films with meaningful messages to lure them back to movie theaters. That’s precisely what Cloud9 aims to achieve – delivering movies that carry strong messages to viewers.

For instance, consider Angel Studios’ innovative approach with their film Sound of Freedom. I’m not referring to the film’s content here [the movie has been criticized for promoting the extremist QAnon conspiracy theory], but rather their groundbreaking business strategy and marketing tactics. In a unique move, if you purchased tickets online through Angel Studios, you could donate tickets to those who couldn’t afford them using their Pay It Forward scheme. The success they achieved is evident – Sound of Freedom grossed over $184 million domestically.

This industry requires a departure from traditional methods and practices, as demonstrated by Angel Studios. That’s the change we need to see!

So what is Cloud9 planning to do differently?

In the realm of financial management, we possess a modest investment pool that we aim to expand. Our intention is to utilize this capital to fund both our own productions and those from external creators. While presales serve as the foundation for our business model, I prefer not to resort to them unless absolutely necessary. The industry places great emphasis on presales, and I understand why, but if I’m fully convinced about a project and can finance it independently, why should I seek presales? Instead, we plan to combine presales with equity as our means of financing films. However, we will only produce or acquire movies that truly ignite my passion, projects where I am confident they will bring joy to both distributors and audiences. I won’t accept films from outside producers that I wouldn’t enjoy watching myself in theaters. Our ultimate objective is to establish a theatrical company, with an annual output of 12 to 15 movies, at least half of which should be intended for the big screen.

What approach can we observe in the lineup you’ve prepared for Berlin? It seems you have a few intriguing productions set to debut, such as a romantic comedy starring Toni Collette, and “Assassination,” which you’ve recently obtained.

Beneath the Starlit Sky, the delightful romantic comedy starring Toni Collette, Andy Garcia, Alex Pettyfer, and Eva De Dominici, offers a lively, enjoyable viewing experience. This film was filmed in Italy last year and is brimming with optimism, love, joy, and camaraderie for its viewers.

This thrilling movie revolves around a fresh perspective on the assassination of JFK, drawing inspiration from real events involving renowned journalist Dorothy Mae Kilgallen, portrayed by Jessica Chastain. Contrary to the mainstream narrative, she doubted what she saw on television regarding the assassination and embarked on her own investigation. The film’s conclusion is best left unsaid, but it promises an electrifying, dramatic adventure that will entice viewers back to the cinema. Alongside Chastain, Al Pacino, Brendan Fraser, Bryan Cranston, Barry Levinson, and David Mamet contribute to the star-studded cast.

As a gamer, I’m excited to share that our initial movie offerings are indeed high-profile, featuring heavyweight stars like Guy Pearce and Alex Pettyfer. But don’t forget, we’re also dedicated to nurturing fresh talent. Take “Blurred”, for instance – it’s an erotic thriller that boasts these well-known faces but also introduces María Pedraza, a Spanish actress who’s made waves in Netflix hits like “Elite” and “Money Heist”. While she’s yet to make a big impact in the film industry, this is her debut in a major international production.

As a gamer, I can’t help but feel involved in the latest development with my favorite game-turned-movie, Assassination. The screenwriter, Nicholas Celozzi, has filed a lawsuit against the production company, 308, alleging a breach of contract. I wonder if this legal battle might affect the movie’s future sales?

No. At the moment we don’t see any impact from the lawsuit on us.

It’s been nearly a month since President Trump took office. How has his administration affected your industry so far, and what changes do you anticipate moving forward?

I anticipate the new president will provide necessary incentives to keep movie production thriving within the U.S., as this has been my expectation from whoever holds that position. As of now, there’s no change I’ve observed. The movies I produce primarily take place in both the U.S. and Europe, and this trend will continue. Our upcoming film, Assassination, is set to be shot in Kentucky, and we’re already searching for a second project within the state. If it turns out to be more advantageous to film a movie in Canada, Mexico, or Asia, I’m open to that possibility as well, and we’ll continue scouting locations accordingly.

Are there worries that increased tariffs or newly erected trade barriers could potentially complicate exporting goods to specific regions in the future?

I’ve got a topic to explore with my clients in Berlin, and it’s no secret that there have been challenges, particularly with China. Over the last few years, Asian buyers have become less active, and since China implemented their new film quotas on U.S. productions, we’ve had to get creative. If we have a major production, we might opt to shoot it in Europe instead of the U.S., so the film is considered European. This gives us more opportunities to sell it in China. This isn’t a recent development; it’s been going on for about four or five years now.

The situation in Asia has grown more intricate. Currently, Korea finds itself in a challenging position. Unlike usual, Asian distributors are hesitant to purchase films early; they prefer to view promotional materials or the completed film before making a decision. However, it’s all about the content – if you offer an exhilarating action movie or something intriguing for them, they will still pre-buy. On the brighter side, Europe and Latin America appear stable. As always, the success of projects hinges on their nature when being marketed in these regions.

Are there specific types of genres or price ranges that are currently facing challenges within the marketplace?

Regarding our film projects, we span a wide range of budgets from under $10 million to over $30 million. I don’t find budget concerns particularly problematic. For the mega-budget movies exceeding $50 million, there may be some apprehension about costs among buyers, but ultimately, they continue to invest. The key factor is the quality of the project itself. If a script isn’t strong, it’s not worth pursuing.

As a dedicated follower of the market trends, I’ve noticed quite a bit of shuffling lately. The Annual Film Market (AFM) has been on the move, first from Los Angeles to Las Vegas, and now it’s back to its original home in L.A. Toronto is also preparing to debut a new market next year. It certainly makes me wonder about the future landscape. Which markets do you think will endure?

I must confess, Berlin holds a special place in my heart. I appreciate its European markets, including Cannes and Berlin, as they bring together all the European sellers under one roof. I’m also fond of AFM, especially since it’s returning to Los Angeles. AFM was my debut market with this new company, but many of my buyers couldn’t attend due to the event being in Vegas. As long as my buyers are satisfied, I am content. Toronto poses an intriguing challenge, as it takes place at the start of September, which coincides with the beginning of the school year in Europe, making it difficult for European buyers to leave home and attend. Additionally, September is a month filled with numerous festivals such as Venice, San Sebastian, and Zurich.

It seems that many potential buyers find it challenging to attend both Toronto and AFM, especially those from Europe and Asia due to financial constraints. We’ll have to decide if we can maintain both markets or if one might need to be sacrificed. There are numerous unanswered questions at this point. Let’s observe how the upcoming AFM in Century City unfolds this year to gain more clarity.

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2025-02-16 14:55