About Digital Cinema

Is Digital Cinema 3D?

No. Digital allows a theater to have 3D, but 3D is only of the many advantages offered by digital cinema. Indeed, 3D is probably not the greatest advantage.


What Are the Advantages of Digital Cinema?

Digital cinema means that instead of using a 35mm film, the movie is on a computer hard drive. This means greatly reduced production, shipping, and labor expense. For example, instead of shipping a 70 pound, multi-parcel 35mm film, you now ship a one-pound hard drive. When this arrives, there is no labor involved in splicing, mounting, and threading the film. When the movie is over, the same savings in labor and freight are realized.

Digital also means that every movie is crystal clear: there is no film to wear out and scratch. And finally, digital means 3D movies are possible.


If Digital is So Great, Why Doesn't Every Theater Use It?

Soon, they probably will. Digital is preferred by the movie distributors, too. Distributors prefer digital for many reasons: they don't have to make and ship heavy 35mm film, and the viewing quality of their movies is greatly improved. In addition, with digital, movie distributors can conceivably give every movie theater the same movie on opening night, because they can create a virtually unlimited number of "prints" at low cost.

Movie theaters have been slow to adopt digital simply because of the initial cost. However, the recent surge in popularity of 3D movies has allowed some movie houses to make substantial additional income. These increased profits have accelerated the move to digital. One company, Cinedigm Digital, has predicted that "by the end of 2012 at least 70 percent of U.S. screens will be digital."

In November, 2010, Technicolor Inc., one of the world's largest film processors, announced that it will close its North Hollywood film plant, citing "the decline in film and growth of digital." The article, which you can read here, said Technicolor is investing $200 million in digital technology.

In March, 2011, Brad Bills, a movie booker and industry insider, mentioned the closing of several more film depots on May 13, 2011. He goes on to say, "This location along with 16 other depots will also close sometime this year. That will leave only 10 depots remaining indefinitely to cover the entire United States. This, of course, has been expected. I thought that they'd remain through the end of this year, but due to the continued transition to digital projection, the number of shipped 35mm prints has now shrunk to 2000-2500 for the entire nation. (That's down from 6000-7000 five years ago). And Deluxe is projecting that that number will be at 1000 by the end of this year. I have been saying for a while now that by the time I'm 50 (April, 2014) I won't be booking any movies on film. With this move, I'm not sure if film will even last that long."


Will Theaters Without Digital Have to Close?

Possibly. No one knows for sure, but the risk is real.

So far, movie distributors are still making 35mm film versions of all their movies, even though they are shipping a higher percentage of digital versions with each release. As more movie screens are converted to digital, it is possible that a distributor may decide to only ship a digital version of a film with no corresponding 35mm film version. When this occurs--and if the distributor does not lose money--then other distributors might follow suit. At that point, movie theaters which have only 35mm projectors will have fewer, less desirable movies to show.


Fund Raising Banner

When Did the Cheyenne Theater Go Digital?

We had our Digital Premiere on March 4, 2011, four months after the digital fund drive began.

Since the volunteer Theater Board had spent many hours working on this issue over the last three years, it was a happy weekend for the Board and for the Community. The only real road block had been the cost: $94,000 for the digital conversion. Despite previous fund drives which resulted in generous contributions by the community and alumni, and which allowed the Cheyenne Theater to upgrade sound equipment and install new seats, the magnitude of the digital conversion was felt to exceed the fund raising available from donations.

Because of this funding gap, the Theater Board consulted with the St. Francis City Council. The Council has long supported the Theater, as it sees a small town theater in the same light as a public swimming pool or a park: something needed by the community but which cannot generate all of its funding from ticket and concession sales. The Council decided to budget $12,500 per year for five years. The Theater then mounted a successful fund drive, which raised more than $42,000.


Wasn't $94,000 A Lot of Money?

Yes. At least, the Theater Board thinks that it was!

But the present 35mm projector is probably four decades old, and if the digital projector lasts only 20 years, then the cost is less than $5,000 per year. The Cheyenne Theater will save several thousand dollars every year in reduced freight and wages, and it is likely that the clearer picture and the 3D format will increase ticket and concession sales.

Converting to digital is a good business decision, which is why so many theaters are converting as quickly as they can. Indeed, this is a global conversion, and the Independent Cinema Association of Australia (ICAA) is calling digital conversion "the most important change in cinema exhibition in 100 years."


Did the Cheyenne Theater Borrow Money and Obtain Digital Sooner?

Yes, in the form of a lease-purchase. Immediately after the successful fund drive, in January, 2011, the City Council approved this concept, and BankWest is the lender.

Converting to Digital quickly is better than later, because several surrounding theaters are already offering digital and 3D, which puts the Cheyenne Theater at a competitive disadvantage. In addition, the annual savings from freight and labor will be much greater than the interest cost.


Are Donations Still Being Accepted?

Yes. While the Theater is not actively soliciting donations, we gladly accept them. We operate on a very tight budget and spend money carefully, so your donation will be appreciated and used carefully. Click here for details, please.