Disney Keeps 80% of Streaming Revenue By Calling It ‘Home Video’
For years, Disney has been keeping 80% of the revenue from older shows that it distributes to streaming platforms, leaving only 20% to be available to stars and other profit participants.It does so by classifying the revenue as “home video.” Under a formula dating from the introduction of the Vcr, Disney subtracts an 80% royalty to its in-house distributor to cover the costs of distribution.In 2017, Bill Nye, star of “Bill Nye the Science Guy,” challenged that practice, calling it yet another example of Hollywood accounting.In a lawsuit in Los Angeles Superior Court, Nye argued that the actual distribution costs for ...