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The Federal Communications Commission (FCC) is the government body that regulates movie studios. Most movie studios in America are owned by entertainment corporations that own several studios. Most movie studios make films that are first released in movie theatres, then on DVDs and last on cable television.
Universal Studios, which is also referred to as Universal Pictures, was founded in 1912 by Carl Laemmle. Sony Pictures Entertainment was created a little differently than the other major movie studios in America.


This can create a situation a situation where different studios, owned by the same parent company, make competing films. These three outlets give the movie studios three streams of revenue or ways to make money on these movies. The annual gross revenue from movies released in America, is between 40 and 50 billion dollars.
The Motion Picture Association of America (MPAA) is the professional organization that movie studios belong to.
In order to produce more revenue movie studios also license the sale of merchandise, such as action figures and books that relate to the movies they produce.


Gross revenue means all the money the studios made from the movies, before they paid all the costs of making the movies. To avoid this situation, many entertainment corporations, that own multiple studios, will own one studio that makes movies mainly for adults, while owning another studio that makes family movies and still another that makes only animated films. Studios have also opened the lots where they film the movies to tours and even built theme parks as additional ways to produce income.



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