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156 HARVARD BUSINESS REPORTS
" Sixteen of the Paramount sound releases from Februaiy i to April 30, will be released only with sound-on-film versions," S. R. Kent, general manager, declares, expressing a preference for sound on film over disc recording: "It is possible that some pictures in the future will be handled with discs."
The preference of Warner Bros. Pictures, Inc., for the disc system was indicated in its statement in the Film Daily of February 3, 1929:
" Warners are thoroughly sold on the disc system of recording and reproducing, and do not intend to make any changes," states Albert Warner, Vice-President. "Warners' recording will be confined to discs until some better system is evolved," Warner stated.
The Universal Pictures Corporation announced in the Film Daily of April 3, 1929 that:
" Universal has equipped its sound plant for disc recording as well as film recording. Universal believes the sound-on-film system is the better, but that the present situation demands disc recording to supply houses with disc reproducing systems."
The Fox Film Corporation, which had been using only the sound-on-film method, stated in the Film Daily of April 4, 1929, that Fox talking pictures would be available in the future on discs also.
The Pathe Exchange, Incorporated, in announcing its policy in the Film Daily of April 9, 1929, stated that "all sound and talking productions previously on film only are now available also on discs."
The attitude of the exhibitors was expressed in a request from the Allied States Association of Motion Picture Exhibitors to the producers, through the Motion Picture Producers and Distributors of America, to spare exhibitors the cost of installing both devices while experimentation with the two processes continued, by making all pictures available on both film and disc.
While engaged in consideration of the problem, RKO Productions, Incorporated, released its first superspecial feature picture. As a means of determining the market situation, the company decided to offer the picture with both film and disc reproduction. An analysis of the distribution for the first month after the release of the picture showed that 41% of the total number of contracts and 18% of the total amount of rentals were for disc reproduction.