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Business / Internet29.12.2011

Movie executives see record profits, salaries despite piracy fear-mongering

Movie industry lobbyists like to say that online piracy costs their clients billions of dollars every year, and it’s getting worse — but that’s doesn’t quite seem to be the case, according to data released this week by the nonpartisan Congressional Research Service (CRS). The CRS report (embedded below) shows that the movie industry is doing very well, earning record profits and paying executives more than ever, even as it hires fewer workers than it did just a decade ago. Although a recent National Crime Prevention Council ad campaign tries to make the point that piracy kills jobs, the CRS found that total gross revenues and box office receipts have doubled in the last 15 years. Grosses went from $52.8 billion in 1995 to $104.4 billion in 2009, while box office receipts went from $5.3 billion in 1995 to $10.6 billion in 2010 — yet hiring still went down.