The express purpose of this division is to market, promote and produce entertainment and entertainment related technology. We see an excellent opportunity continuing in the lucrative film, music and television industries, especially in the areas of production and technological advancements. Projects currently being reviewed include an awards special, a sports program, television series, video/low budget films, numerous musical groups, and technological advancements that will revolutionize the entertainment industry.
The entertainment industry continues to grow by leaps and bounds. Recent figures for film, music, video and television have never been higher, and revenues continue to climb. With so many ancillary markets that need product, all films budgeted for less than five million dollars will turn a profit. Network television and hundreds of cable systems need product to fill airtime. Video store rentals and sales continue to skyrocket. Foreign sales of television and video rights often make more than the cost of production. The majority of American households have video and DVD players and there are now tens of thousands of titles available from over thirty distributors and thirty thousand video stores. However, the home video industry finds it difficult to keep up with the demand. After devouring decades of Hollywood hits in just a few years, the home video suppliers are turning to television and specialty items for product. The American public has spent over twenty billion dollars on videocassette rentals in the past few years, and there is a tremendous market for low budget films that gets larger every year. With the right packaging, marketing and promotion, these low budget film and video projects will make money for both investors and producers.
Major projects continue to make money for production companies and investors. Cable networks, film companies and network television are marketing and producing their own product. They are impressed with the ability of a blockbuster U.S. film to make money, and they are also counting on hefty proceeds from television broadcast and video and merchandising rights. But Hollywood is not the only answer. Texas, Florida, Arizona and Canada have all emerged as top areas for producing films. Florida, Texas and Arizona are all right to work states, which means film Producers can avoid union workers and contracts, as is Canada. This is reflected in budgets of less than half of what might be expected in California and New York. By moving forward in this explosive film and video industry, we see a tremendous profit potential. A Company with vision can emerge as an industry leader. With such an incredible arena in which to market product, film production can be both lucrative and exciting.
We will have a positive influence in this industry. By combining film and music production with our publishing division and finance division, we will be able to secure contracts and create a mutually beneficial program for all participants. By creating win-win strategies for all of our clients, we will be a force to be reckoned with.
Entertainment is the second largest export of the United States of America, and it probably is about the same for Canada. The market for music videos, film videos, special programming videos, etc., all continue to grow by leaps and bounds. We have an insatiable market and the profit potential is unlimited. The timing is excellent for getting involved in the entertainment industry. By combining financial management expertise with an understanding of the industry, and we can make a good profit for all concerned.
JCI Productions, Inc. will market film, music and television product through normal channels and through creative Internet marketing opportunities. We believe our Internet opportunity will prove to be very exciting for entertainment interests and investors alike. We will create a shopping experience for consumers that will be exciting and innovative, and create profits for participants that cannot be matched.