Disney & Pixar Merger
Disney & Pixar Merger
Disney & Pixar Vertical MergerMickey Mouse and Nemo are now
corporate cousins. Walt Disney has announced that it is buying
Pixar, the animated studio led by Apple head Steve Jobs, in a deal
worth $7.4 billion, Jan 25, 2006
DisneyCEO: Bob Iger (1 Oct 2005)Headquarters: Burbank,
California, United StatesRevenue: 52.46billion USD (2015)Founded:
16 October 1923, Los Angeles, California, United StatesNet income :
8.38billion USD (2015)Subsidiaries: Pixar, Walt Disney World,
Disney Store, ABC, ESPN, Disneyland, Lucasfilm and Marvel Studios
etc.Founders: Roy O. Disney, Walt Disney
Founded: 3 February 1986Headquarters: Emeryville, California,
United StatesAcquisition : 2006Founders: Alvy Ray Smith, Edwin
CatmullParent Company: The Walt Disney Company
In 1986, Steve Jobs purchased the computer graphics division of
Lucas Film Ltd. for $10 million and established it as an
independent company named Pixar , co-founded with Dr. Edwin E.
Catmull.On November 22, 1995, Pixar Animation Studios forever
impacted the future of filmmaking with the release of its first
feature film, Toy Story. The film went on to become the highest
grossing film of 1995 with $362 million.
Success FactorsThe key reasons for the success of the merger of
the two companies was that ;investors saw potential for Disney to
leverage on Pixars computer animated character to be used in its
vast networks. One successful example was cars. The revenue in
retail products from cars was over $5 million. Pixars willingness
to change so as to be a part of the international conglomerate
helped.
The companies not only followed normal tactics for successful
mergers but also came with some different ones. Pixar created a
list of things that would not be changed so as to preserve its
culture like Pixar employees didnt sign employment contracts. Bob
Iger ensured that Pixar employees get mixed in the new
environment.
Presented by: GANESH REDDY MEKALA
