DreamWorks Pictures (also known as DreamWorks SKG and formerly DreamWorks Studios, commonly referred to as DreamWorks) is an American film Production and distribution company of Amblin Partners. It was originally founded on October 12, 1994 as a live-action film studio by Steven Spielberg, Jeffrey Katzenberg, and David Geffen (together, SKG), of which they owned 72%. The studio formerly distributed its own and third-party films. It has produced or distributed more than ten films with box-office grosses of more than $100 million each.
In December 2005, the founders agreed to sell the studio to Viacom, parent of Paramount Pictures. The sale was completed in February 2006 (this version is now named DW Studios). In 2008, DreamWorks announced its intention to end its partnership with Paramount and made a deal to produce films with India's Reliance Anil Dhirubhai Ambani Group, re-creating DreamWorks Pictures as an independent entity. The following year, DreamWorks entered into a distribution agreement with Walt Disney Studios Motion Pictures, wherein Disney would distribute DreamWorks films through the Touchstone Pictures label; the deal continued until August 2016. Since October 2016, Universal Pictures has distributed most of the films produced by DreamWorks Pictures. Currently, DreamWorks operates out of offices at Universal Studios Hollywood.
DreamWorks is also distinct from its former animation division of the same name, which was spun off in 2004 and became a subsidiary of NBCUniversal in 2016. Spielberg's company continues to use the original DreamWorks trademarks under license from DreamWorks Animation.
History
DreamWorks SKG founding and Universal distribution
The original company was founded following Jeffrey Katzenberg's resignation from The Walt Disney Company in 1994. Katzenberg approached Steven Spielberg and David Geffen about forming a live-action and animation film studio, which had not been done in decades due to the risk and expense, but all three were very successful. They agreed on three conditions: They would make fewer than nine movies a year, they would be free to work for other studios if they chose, and they would go home in time for dinner. They officially founded DreamWorks SKG on October 12, 1994, with financial backing of $33 million from each of the three partners plus $500 million from Microsoft co-founder Paul Allen, and $300 million from CJ Group heiress . Lee's CJ Group would acquire distribution rights to DreamWorks films in Asia except Japan. Their new studio was based at offices on the Universal Studios lot, in the same bungalow as Amblin Entertainment. Despite access to sound stages and sets, DreamWorks preferred to film motion pictures on location. Usually, however, the company would film in a soundstage or set in a major studio.
In December 1994, DreamWorks Television was formed after DreamWorks agreed to a $200 million seven-year television production joint venture with Capital Cities/ABC. The company was set up to produce series for broadcast networks, cable channels and first run syndication, with no first-look guarantee for ABC, but financial incentives favored the network. Their first show, Champs, was scheduled as a mid-season replacement for ABC. Dan McDermott was named the division's chief executive in June 1995. DreamWorks Television's first success was Spin City on ABC, the parent company of which was bought by The Walt Disney Company in February 1996. In 2002, the DreamWorks joint venture agreement with ABC ended. That agreement was replaced by a development agreement with NBC, with a first look clause. In 2013, DreamWorks Television merged with Amblin Television.
In 1995, traditional animation artists from Amblimation joined the new studio, which led to DreamWorks buying part of Pacific Data Images, a company specializing in visual effects, and renaming it PDI/DreamWorks. Both were software divisions and would merge later on. By then, DreamWorks had the traditional animators working for their animation department, and the computer animators worked on CG films. Amblimation would be shut down in 1997, leading the staff to join DreamWorks Animation. The same year, DreamWorks Interactive, a computer and video game developer and joint venture between DreamWorks and Microsoft, was founded. On February 24, 2000, Electronic Arts announced the acquisition of DreamWorks Interactive and merged it with EA Pacific and Westwood Studios to form EA Los Angeles, later Danger Close Games.