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The Movie Studio Inc.’s (MVES) Unique Business Model Leverages Global Shift to Movie Streaming as Theatres Brace for Severe Losses

  • Demand for video-streaming increased as result of lockdowns connected to COVID-19
  • Worldwide box office losses estimated in the billions
  • Major studios moving to on-demand movie releases as theatres remain closed
  • MVES an established independent movie studio with proven growth strategy, digital revenue model
  • VOD one of the only industries experiencing increased demand, expected to reach $120.91 billion by 2025

While government-imposed lockdowns have crippled the film industry, video-streaming services have seen increased demand (http://ibn.fm/GLIlH). The Movie Studio Inc. (OTC: MVES), a vertically integrated motion picture production company, is positioned to benefit from this shift by continuing to acquire, develop, produce and distribute independent motion pictures globally via subscription and advertiser video on demand (SVOD/AVOD), over the top (OTT) platforms, foreign sales and various media devices.

The already-fragile entertainment industry took a substantial hit as a result of the forced closure of theatres, with losses estimated in the billions (http://ibn.fm/0zgIc). Besides the rapidly declining numbers at the box office, blockbuster movies were postponed, production schedules were shifted globally, and related industries took a massive hit as audiences hit zero almost overnight.

With consumers being forced to stay at home, studios may continue to be forced to cancel theatrical releases, premiering content online instead through VoD streaming platforms. Disney (NYSE: DIS) led the trend by releasing Frozen 2 on its Disney+ streaming service three months early (http://ibn.fm/jVR2a), in addition to moving up the digital release of the latest Star Wars episode (http://ibn.fm/IWBZF). Though the pandemic’s fallout seems to spell doom for in-person entertainment options, these major shifts in how consumers access their entertainment are creating substantial opportunities for on-demand service providers.

MVES is positioned to leverage this industry shift through its proven revenue-maximizing growth strategy that leverages technological innovation, allowing the company to easily pivot and adapt to the emerging trends of the industry. Through the use of upgraded 4K resolution, along with the purchase of legacy film libraries and the re-monetizing of VOD streaming platforms, MVES is positioned to cost-effectively produce and distribute content of high visual quality similar to its latest releases currently available on Showtime, Comcast and Amazon Prime.

Powered by a digital business model, the company’s revenue stream includes motion picture aggregation and distribution through a direct server access platform that will distribute content globally using a system based on ‘geo-fractured’ territories. MVES’s app, currently available in the Apple App Store and the Google Play Store, releases parts of a film called ‘MovieSodes’ among its other features. A component of of the company’s innovative recurring revenue strategy, the movie is filmed in parts and then later joined together in post-production to create a final product. Besides streaming content, the app also offers an “audition to submission” feature that lets users submit auditions for roles in upcoming movies, driving user engagement and content promotion.

The trend toward online streaming is far from new as the VoD industry enjoyed significant gains prior to COVID-19 as a result of ‘cord-cutting’ – the global phenomenon of consumers canceling multichannel cable or satellite services in favor of internet competitors, resulting in millions lost in 2019 alone (http://ibn.fm/dsZ4u). The lockdowns and their associated negative economic effects are simply amplifying this trend, making VoD one of the only industries experiencing increased demand during this time with a valuation expected to reach $120.91 billion by 2025 (http://ibn.fm/WjV1F).

As the only major independent studio that manages its own in-house marketing and distribution department, MVES further verifies its revenue model by producing micro-budget motion picture content with substantially high production value through the use of 4K technology. The innovative use of technology fuels MVES’s unique production process, allowing the company to significantly reduce expenses while allowing for a high return on investment with each new release.

Originally founded in 1961 as Destination Television Inc., the company changed its name to The Movie Studio Inc. in 2012. Headquartered in Fort Lauderdale, Florida, MVES is ideally positioned to quickly benefit from the changing landscape of video-based entertainment.

For more information, visit the company’s website at www.TheMovieStudio.com

NOTE TO INVESTORS: The latest news and updates relating to MVES are available in the company’s newsroom at http://ibn.fm/MVES

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