\u201cBut the real threat isn\u2019t China. It\u2019s Silicon Valley. Hollywood, in its over-reliance on franchises, has ceded the vast majority of the more stimulating content to premium networks and over-the-top services such as HBO and Showtime, and, increasingly, digital-native platforms such as Netflix and Amazon. These companies also have access to analytics tools that Hollywood could never fathom, and an allergy to its inefficiency. Few have seen the change as closely as Diller himself, who went from running Paramount and Fox to building his own tech empire, IAC. \u201cI don\u2019t know why anyone would want a movie company today,\u201d Diller said at Vanity Fair\u2019s New Establishment Summit in October. \u201cThey don\u2019t make movies; they make hats and whistles.\u201d (Half of the people in the audience, likely representing the tech industry, laughed at this quip; the other half, from Hollywood, cringed.) When I spoke to Mike Moritz, the iconic venture capitalist, backstage at the event, he noted that a nominal investment in a somewhat successful tech company could generate more money than Hollywood\u2019s top-grossing movies. \u201cIn my mind,\u201d he said, \u201cHollywood is dying.\u201d\u201d<\/p>\n
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