Chapter 140: a-Long working day.
February 19, 1993.
San Francisco.
Pixar Campus.
The following proposal by the company Lux Animation, composed of a board of directors mainly consisting of department heads and key personnel, showcases Pixar's growth, particularly in terms of management. However, the pivotal figures for the company are those who take the first step in accepting or rejecting the acquisition of a company or expansion of teams, which can sustain the multiple relationships that the animation production studio has carefully cultivated until now.
-Solely, we propose a mentoring system, with team leaders guiding animators to maintain their work. Management desires a larger team and suggests creating a film every year and a half or two years, - said Randal McArthur, raising his gaze from the folder, pausing notably at Ed Camult, who undeniably makes most of the decisions.
Ed Camult nodded, knowing that Billy wanted to create a computer series. Although it demands less than a film, creating a series is an intriguing prospect for Ed Camult. Therefore, it was decided that newcomers would work on small commercial shorts to enhance their animation skills while earning money for various companies. With the direction of "Toy Story," four contracts are already on the table.
-The next point is to inquire whether the technology department has any new requests, not for the next film but for the one after, tentatively named the 'Ice Age,' - Randall said.
Once again, there was silence. - In that case, we will allocate a budget for CGI research to improve graphics and the 2D animation process. On June 5th, funds will be allocated to the 3D technology research department, - Randall continued.
The planning for the second "Bugs" movie began six months ago when the rough animation process for "Toy Story" was completed. Randall MacArthur's deep voice began to resonate once more.
-We need to enhance our post-production graphic quality. Consider the proposals, and we have reached an agreement to collaborate with Lucasfilm, - Randall MacArthur said, taking into account the search conducted by Anne from the analysis department. Management searched among many companies, but only Lucasfilm met Billy's proposed conditions.
-Wait, Lucasfilm, - exclaimed Alvy Ray Smith, who had been dozing at his desk just a moment ago. -I can contact George; we're great friends, and he'd love to work with us again. -
The most senior member of the company, along with John and Ed, the official founders, had extensive discussions with George Lucas about Pixar's separation, previously a computing division. Alvy has a better understanding due to their shared interests, and despite his older age, he enjoys a certain mutual understanding with George.
-I can contact him and arrange a meeting for tomorrow, but I have some family matters to attend to, so I'll entrust you with the direction of operations, - Alvy said.
Randall could only dance on the inside; initially, he thought he would have to work tomorrow.
-Very well, my understanding is that Billy Carson will attend the meeting assisted by George Lucas. We'll leave this arrangement to Mr. Ray. I hope everyone has a good day. I consider this regular meeting concluded, - Randall said, his eyebrows furrowed. He carried his already robust appearance.
-I'll be attending as an assistant, but my relationship is strictly professional. Although I've worked with George for a while, I'm not as close to him as Alvy, - Ed Camult said.
-Well, in that case, call Anne to discuss the arrangements for tomorrow, assuming Alvy can arrange a meeting on such short notice, - Randall said, organizing the meeting documents and approaching his secretary, who was taking notes throughout the meeting.
February 22, 1993.
Lucasfilm Headquarters.
Among the many acquisitions to consider that Raimon, the Luxtoons animators, and Billy have surely contemplated, Lucasfilm was never a unanimous choice. The cultural value of Star Wars surpasses what many think. The secret purchase of Lucasfilm is quite audacious for a newly formed company.
The company's profits are not as high as expected at one point, but money keeps flowing in through various channels. Licensing deals with many companies, comic book sales, toy sales, and added value to other businesses have generated steady revenue exceeding $10 million monthly.
The small active income currently held by Billy is $92 million, the profit earned so far from Toy Story. However, as the months pass especially when The Lion King is released for the June holidays, everything will take a different turn. The popularity of Lux Animation and Pixar is already recognized among children and parents. The deal is better, and this movie will make a lot of money, which will be used to purchase George Lucas's studios. The founder, president, and owner of Lucasfilm Ltd. LLC is none other than George Lucas. The beautiful facilities are still being supported by a few jobs done a few years ago and an affordable sound effects and special effects studio are fundamentally successful.
Billy walked alongside John Lasseter and Ed Camult. They were the ones who helped arrange a meeting with George Lucas so confidentially. Although Jim Waitt was a good agent, at times he used his facade as an integral part of Pixar and Lux Animation's agent. While it could be advantageous, discretion is a factor to consider for events like these, as only by acquiring George Lucas's vast empire can their grand plans be completed.
-I deeply believe it's a bad idea to come to Lucasfilm after the success of Toy Story, - Ed Camult said, regretting the meeting, although Billy had only shown his concerns a few minutes ago when John inquired.
-You should consider it, Billy. George is a great guy, and he loves all things retro, but nobody messes with his baby. It's said that he's had arguments with close friends over tampering with his franchise, -- John Lasseter said, equally alarmed, knowing George's fiery and irritable temper when it comes to discussing the purchase of his franchise. -- He's an angel; you can even go out for beers with him, and crack jokes, but certain boundaries turn the man affectionately called Santa Claus into a real Darth Vader. --
-Don't worry, I have a proposal that George will like, - Billy said.
-I'll give you the benefit of the doubt that I think you have in mind, just be tactful. After all, we have a friendship with George, and it's a good one. I don't want to damage it over trivial matters like this, - John Lasseter said, turning the page.
-I wouldn't expect any less, - Billy conveyed, eager to meet George Lucas and for the words he hoped would stand out next.
The beautiful Lucasfilm complex looked more like a residential club or hotel than a studio management office. San Francisco once again stood out, the calm and pleasant location in contrast to the bustling and hectic studios of Los Angeles.
Even Billy envied George's office: it seemed more like a museum or a Victorian mansion than a workspace.
-John and Ed, I saw the movie, Toy Story. I didn't expect you to achieve something so spectacular in less than ten years. I liked it, and even my daughter loved the film. She usually prefers princess movies, but she enjoyed this one a lot. I can prove it; I have the toy collection at my house, - George Lucas said effusively and abruptly, with a peaceful formality that contradicted the strong words of praise. Ed Camult could only blush, while John Lasseter puffed out his chest.
-It's been a very hectic few months for all of us. Making the movie wasn't easy, and the goals we set were not small. Even the proposed goals seemed small when compared to the demands of our boss, who had many requirements on how to improve the product, - Ed Camult said.
Billy, knowing the movie was released in 1995, knew he had to make it just as good or even better. He fine-tuned many things to ensure the visual experience was much better than what was typically expected. That's why he immersed himself in the task of creating better settings, improved human designs, and higher image quality.
-Ah, that boss was right. The movie is an unseen artistic gem, one for the ages. I dare say you've changed the future of animation, - George said.
-A significant burden on our shoulders. It's not easy to say that we have high expectations to meet, - Ed Camult replied, emphasizing the company's stance. Settling is not enough. How long will it take Disney to come up with technology similar to theirs? These are questions the company has pondered. If they want to invest money, it's no problem for them to spend a few hundred million and compete with all the spotlights on them.
George Lucas looked at Billy with a gleam of recognition in his eyes but didn't know what to say. The words about introducing a significant figure who changed the course of the Pixar subsidiary, which he had dismissed long ago to focus on other industries.
-This young man is the focus of our pleasant meeting, - George said, looking back at John and Ed with a delicate smile. He raised his hand towards Billy in a gesture he had practiced in front of a mirror at the beginning to impress people in this industry, which he decided to join after finishing high school.
-George Lucas, - he said warmly.
-Billy Carson, sir. It's a pleasure to meet you, - Billy said.
The faces of John Lasseter and Ed Camult resembled blank sheets of paper. They are certainly not cut out for politics, their stance reflects misunderstanding everywhere.
The firm handshake, even if George's firm greeting was unexpected, along with his warm smile and extended sympathy in his gestures, it's just one step for the negotiations Billy faces once again. Can he tempt him with a better future?
The room was once again tastefully decorated, with elegant polished wood statues, perhaps some of them marble. They took their seats on a long bottle-green sofa in front of a small black chair that George brought himself to sit across from, creating a clear division.
-Alvy mentioned he wants to work closely with Lucasfilm, but he didn't go beyond post-production for films. Although I suggest that my techniques may not be as advanced as yours, I can do many things for all of us, - George Lucas said.
Through the main door, a young man with a movable table covered in a blue cloth appeared. It contained snacks, juice boxes, bottled juices, a coffee pot, and water pitchers. The young man was particularly cheerful, and his noticeable dark circles matched his natural smile.
-Simon, come and serve something to my guests, young man, - George said, using both his mouth and some subtle hand gestures. George's childlike posture while seated once again invited sympathy. Simon continued with the same enthusiasm from the moment he entered.
Simon's nod was a curiosity. He placed four coasters on the wooden table in front, each with its respective thick napkin. He pointed to the beverages calmly, a tropical orange juice, a water pitcher, and a coffee pot labeled "espresso."
Billy chose the orange juice, a refreshing taste necessary for a meeting where they might have to discuss many things in depth. He disconnected from the present, thinking about the future the franchise could have.
-We indeed want to make the post-production agreement with Lucasfilm, but our interests go far beyond that, - Billy said.
Seeing that George didn't respond or move in response to his words, Billy decided to reveal what was on his mind.
>>>For some time now, I've started writing comics. The money earned in this industry has generated so much income for my company that I decided to invest in Pixar. I see a promising future for the company, and I deeply believe that in ten years, Pixar will create films that touch the hearts of children all over the world, - Billy said.
>>>>>To achieve that, the company has to keep working hard, innovate in our field, and improve our potential challenges. I strongly advocate that technology will provide us with better ways to bring movies to people. In the future, it will be easy for a group of people to carry out these processes even from their homes. Everything will improve over time, so I encourage the organic collaboration of every community. My desire goes beyond mere collaboration. Not only are the industries created by you excellent, but your franchises are as well. You could say I already have many franchises, and it's not necessary for the money in my pockets to be used to buy, negotiate, or license series that only waste time. But the reality is different. >>>>
-The basic way of life that I hope to achieve for my company is something we can accomplish with your help, Mr. George. With your insights into your series, your way of making movies, your talent and skills, and the ideas I'll bring, we may usher in a new era of animation. I'm sure many people don't believe it, but the next era of animation and digital content will be dominated by different emerging industries, such as comics and the wonderful world of anime, - Billy continued, taking a deep breath.
>>>>Therefore, I want to make a proposal that has been on my mind. The first three Star Wars movies contain numerous details that people overlook. Still, I firmly believe that Mr. George left several unanswered questions to continue weaving this series that has brought joy to fans. I even believe it's possible to create another potential trilogy and establish a universe of our own within the Star Wars industry. This will only strengthen my animated channel, which is about to launch. Luxtoons will have a release date of August, and if I configure it, I can move it up a month, but that would be counterproductive for our animated channel. So, I want to propose an alliance. Mr. George, are you willing to ally with me? If possible, I promise two things: a massive investment. I'm willing to bet all my companies that if you allow me to join your company and you join mine, everything that is and will be of both companies will improve healthily, - Billy said.
George remained unruffled, thinking to himself, - Everyone is showing their greed. -
-How much do you think my company is worth? - George asked.
-According to my advisors and financial analysts, no more than $200 million, - Billy said carefully. --But it's not the company that's important. What's important is you, Mr. George. If you're willing, it can't be a straightforward purchase. --
-A merger. – said Lucas
>>Yes, I have no problem with that. Both of us are owners of two major companies, although I would advise against it. My company is massive, and a merger, considering our business earnings, won't leave Mr. Lucas satisfied. I propose something different. How about an exclusive working agreement? Lucasfilm can now only do business with Lux Animation. Our company has distribution companies, networks, comic book distribution, toys, games, books, and movies. To invest in the Star Wars universe, I'm willing to license it for 20 years, with strict conditions, such as creating a trilogy and three premium animated series and television programs. You can take the lion's share of the toy market.>>>>
-As my second offer, allow me to buy 50% of the company for $150 million, payable over three years. During that time, I plan to improve the special effects industry to bring together the two parts: Lucasfilm and Pixar. The first part involves creating movies with evident quality, from magnificent planets to different settings and majestic special effects. For this, I'm willing to invest in filmmaking and expand the company by improving what already exists through multiple investments in various companies. The fact that I already have everything you need can help, even this small estate can serve as an alternative headquarters. We're making significant land acquisitions in San Francisco, - Billy explained.
-Why do you think others haven't made this offer? - George asked, in complete calm.
-Because others needed people to create wonderful things. I don't. I have a thousand and one ideas for Star Wars. We can create a timeline from the origins of the galaxies to long after your last film. I want to create a cultural phenomenon with you, Mr. Lucas. Let's bring that magic back, which has been neglected for so long, - Billy said.
-If you allow it, Mr. Billy is one of the scriptwriters and producers. I can say that all the toy designs were created by him, and the script was mostly his work. Many ideas were contributed, but all were in consideration of Billy. I can't deny that he's an excellent artist and storyteller, - John Lasseter said.
George maintained his Zen-like posture of absolute calm.
-I still don't agree. My license is worth more than money, and my company is worth much more than a few million dollars, - George said, remaining calm.
--I think Mr. George hasn't understood. This isn't about money, though that doesn't mean I won't pay a fair price. Many people consider your works to be worth billions of dollars, but essentially, that's not true. Those who buy it are simply wasting their money. I want an alliance between Lux Animation and Lucasfilm. To collaborate, I don't need to buy, which is why I say 'license.' If you allow it, in less than 10 years, Star Wars will be the franchise that everyone wants to see again. Even if you don't believe it, Mr. George, times change, and many companies waste valuable time on projection, just as you've allowed a few comic books to be made, but frankly, you've wasted time with your grand franchise. – billy explained
The first thing Billy noticed was how George's jaw moved.
-A kid who talks big. It's not easy, one mistake and you're in this game, and the company isn't available for expansion due to the risk it implies. I'm not satisfied, - George said, challenging Billy's bravado a bit.
Billy smiled. After many negotiations with different producers, entrepreneurs, animators, scriptwriters, creators, and workers, he knew the path he had to take. The atmosphere was tense, from John Lasseter looking at everyone with intense energy to Ed Camult trying to focus on his coffee while listening to the conversation.
-I'll take the risk. If I lose money, I lose money. I'm very young, and I can recover in time, but this desire I have to create something with you is a calling, - Billy said.
-What do you propose? - George asked, interested but inclined to reject it. He didn't know that Billy knew many things about George Lucas, including one of the reasons he decided to sell to Disney after rejecting numerous other companies.
-Well, if you allow me, forget the previous proposals and consider my next steps. I'd buy a piece of land here in San Francisco. I'm negotiating for a specific area in 'El Granada' or 'Half Moon Bay' of at least 300 acres. How about building a mega production studio for Star Wars movies and series? Once we're done, we can utilize the space to construct a massive Star Wars museum. It's just a matter of adapting the specifications according to our requirements. But my idea is to use all the set designs, all the blueprints, and machinery in it. Of course, I also plan to open a special Star Wars wax museum with its restaurant, toy shops, and bookstores, - Billy said.
-You want to create a park-like Disney, - George said.
-That's the plan. That's why I need to be a part of your company. I'm going to invest a lot of money in this venture. Although I've been recommended other locations, such as San Antonio Valley, the goal is to build a mega studio for the franchise. It's enough for me to focus on finding a suitable location. I prefer my companies to be as close as possible, and we're looking for places in San Jose, - Billy explained.
--Quite ambitious, -- George Lucas remarked, sitting down and thinking carefully. -- I want a merger, a merger with Pixar Studios. From there, we can plan everything you want, young man. --
-I agree, but Pixar is a subsidiary of Lux Animation, - Billy pointed out.
-I want that merger, young man. Our growth depends on the collaboration between our two companies. You have many interesting proposals. With the merger of something you value as much as I value my company, I can be sure that everything will go smoothly, - George said with a smile.
-I can assure you of that. However, there should be some interesting clauses, don't you think, Mr. Lucas? - Billy responded cheerfully.
-Of course, you can tell me everything necessary, - George replied.
-Have you visited Pixar, Mr. Lucas? - Billy asked.
George was surprised. -- I haven't been there in ten years, - he admitted.
-Well, I've invested a total of $40 million in renovating it. The company is very different from what you probably expect. Furthermore, the constant cash injections I make are of similar value. Legally, the cost of Pixar is much higher than that of Lucasfilm, - Billy explained.
-How much is your company valued at? - George asked.
-Mmm... according to Bank of America, it's valued at almost $600 million. It would be disadvantageous for you, Mr. Lucas. After all, it's disproportionate, as you well know, these valuations are performed based on assets, projections, and various variables, - Billy replied. The valuation conducted by a reputable bank was excellent.
-However, I can propose something more interesting. Let me be the primary investor in Lucasfilm. I can make a substantial investment, and from there, the growth of Lucasfilm will only improve, - Billy suggested.
-I don't think I'll allow investment. It was a good conversation and very enlightening for me, but I'll continue with this company as it is for now, - George said, finalizing the deal.
-You can consider it. Here, I have a set of data about the first project I want to work on, the Star Wars series of movies, a new trilogy, with some of my conjectures about the future of this company, and a discussion about the post-production data we can collaborate on, - Billy said.
-I'll review them. Have a good day, Mr. Billy Carson. We'll see each other in the future, - George said.
The partial dismissal, after such a strong negotiation conversation, calmed Billy's mind entirely. He hoped to make a new offer, but for now, Star Wars could wait. As a last resort, starting with a special effects studio might be a logical idea.
********
there are different types of negotiation, I want to expose that Billy's eagerness to negotiate is to place expectations on people.
When they offer to make you money or fulfill your dreams, it's a form of attraction.
I checked the information about the value of Lucasfilm and it was 200 million, the company may have had good IP, but, at that time, it did not have a position, even the prequels, George Lucas used the percentage at the box office to make some money, added to the contract they had with a fox.
...
another chapter, to tell the truth, I have written a lot, the next chapters come with images, but it is difficult to upload images here, I will try to upload some images that I upload on Patreon. By the way, recommend, and comment without fear, I read every one, and I try to respond as best I can, any recommendations for the series, I am pending. some chapters are exclusive, but, everything ends up being understood. I finished a course in creative writing and I have tried to continue improving, if you have something to help me improve my writing, I can review it.
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