Tuesday, January 24, 2006

No, its the other way around: Disney Sells Its Soul to Steve Jobs

I spoke to God once. It was a few years ago, and I was housesitting for his long lost sister. The phone rang and the voice asked, "Is Mona there?" and I said no, but offered to take a message. "Just tell her Steve Jobs called." I knew who Steve Jobs was, but at the time had no idea why he'd be calling the house I was staying at. Mona was a bestselling author, so maybe she was interviewing him. A little research revealed that Jobs was Mona's biological brother, but while they were children he had been put up for adoption. It was only until many, many years later did they seek each other out - that Steve had become a gazillionaire genius, and Mona a hugely successful writer, completely on their own was pretty amazing. Nature over nurture perhaps?

Anyway, the press is all abuzz with the news that hell froze over and Disney caved in and bought Pixar, the Steve Jobs run digital animation studio. Over at BankofKev's blog he ponders the same thoughts everyone else interested in the movie business are thinking: "Question remains how much control Pixar retains in the deal...Let's wait and see."

But looking at some of the details reveals the question is better put as, "how much control will Disney retain?"

From Dark Horizons:

Disney on Tuesday agreed to acquire Steve Jobs' Pixar for $6.3 billion in stock plus $1.1 billion of the company's cash. The deal also gives Pixar and Jobs unprecedented access into what is perhaps the world's most renowned entertainment brand.

Jobs, who doubles as chief executive of Apple Computer Inc., will take a seat on Disney's board. He also becomes Disney's largest individual shareholder. Further, several Pixar executives will oversee Disney's animation unit along with their own operations.

On a side note, if you haven't bought stock in Apple yet, now's the time. Exclusive Disney content for kid iPods could hit the market before next Christmas...