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Econometrician

JF-Expert Member
Oct 25, 2013
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Kwa wale wapenzi wa kuangalia series-kuna series inaitwa game of throne inayoonyeshwa na HBO. Hii ndio series bora kabisa kwa miaka ya karibuni inaongoza kuona na watu wengi zaid duniani,kulingana na takwimu inasemakana kuwa karibu watu million 40 wanaangalia series hii.
Hebu Jisomee hapa kidogo.

Does it make economic sense to make a Game of Thrones series when with the same budget and skills you can make a motion picture like Lord of the Rings?

Laurent Gorse, I worked in movies as a producer, editor and director.
Written 21 Jul 2014

You are actually correct that by the time Game of Thrones is finished it will have cost more to produce than the Lord of the Rings.

However HBO is immensely profitable and as a driver of subscription sales, Game of Thrones has been a great investment for the network.

Currently each episode of Game of Thrones costs on average $6 million. That makes about $60 million in costs per season, for a total cost up to now of $240 million.

The Lord of the Rings cost $280 million (in 2003) to produce, and grossed 1.2 billion dollars. Wowsa.

So much for the costs.

HBO has $4.9 billion in revenue yearly from all of its shows, DVDs, and series. Game of Thrones accounts for only a fraction of that - in fact it's difficult to determine how much of the subscription is due to Game of Thrones versus any other show since HBO is subscription-based.

However, we should use some common sense and assume that, since Game of Thrones is the most-watched show on HBO, some large fraction of HBO's yearly revenue can be attributed to the show.

It's difficult to estimate with basic cost-accounting practices because we don't know how many unique viewers HBO has per GoT episode.

But let's think theoretically:
  • Maybe GoT accounts for 1/5 of HBO's revenue (about $1 billion). In which case it's paid for itself from day one.
  • That's not likely. Maybe it accounts for 1/10 of HBO's revenue (about $500 million a year). In which case it will have grossed the same as the Lord of the Rings after 2.5 years.
  • Still too much, probably. Let's say Game of Thrones accounts for $200 million of HBO's yearly revenue. Still, it will have grossed the same as The Lord of the Rings (1.2 Billion) within 6 years - at roughly the same cost.

Obviously these are rough calculations. I'll grant you HBO doesn't just make money from subsriptions; but there my point gets even more support: DVDs for instance are a high-margin product, and HBO has been issuing best-selling but high-priced DVDs for Game of Thrones. So everywhere you look it is minting money.

It's hard to imagine how such a popular show would account for less than 1/20 of HBO's revenue. And as you can see from these very back of the envelope numbers, it's still as profitable as The Lord of the Rings.

Malipo kwa characters: Peter Dinklage
220px-Peter_Dinklage_by_Gage_Skidmore.jpg
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Peter Dinklage became one of the highest paid actors on television and earned US$1.1 million per episode of Game of Thrones
Usd 1.1 million ni sawa na Tshs 2,458,485,126 (billion mbili point 4).
2,458,485,126x60 episods=147,509,107,569.6 (billion 147 na milioni mia tano).
Pia kuna actor wengine watatu wamepata Usd 1.1 million
Ama kweli usidharau kazi ya mtu!

 

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