In the afternoon, Simon headed to the East Coast headquarters of Daenerys Entertainment in Greenwich Village, Manhattan. The news of the leadership change at Elite, one of the world's most famous modeling agencies, had quickly spread.
Compared to Daenerys Entertainment's acquisitions of Metropolis ABC Group and Broadcast's merger with Tinkercast, this transaction seemed almost trivial. However, the fact that Simon Westeros, a legendary tycoon and notorious playboy, had direct involvement with the largest model agency in the world sparked a lot of imagination. The natural appeal of this story created as much buzz as the other two acquisitions.
The suddenness of the deal became a media hot topic.
Apollo Management's official statement was the usual formula: they believed in the potential and future of the modeling industry, blah, blah, blah.
No juicy details at all.
So the focus shifted.
When some reporters tried to contact Elite's founder and former president, John Casablancas, the usually flamboyant fashion mogul uncharacteristically refused all interview requests. Instead, he issued a similarly bland statement through his lawyer, citing personal reasons for leaving the company and wishing Elite the best of luck.
Still no real answers.
There are no walls without cracks.
Since neither Apollo Management nor John Casablancas satisfied the media's curiosity, they quickly zeroed in on Elite's new president, Grace Spolet.
Grace had been fired by John Casablancas just a week earlier, only to turn the tables and take control.
The real issue clearly lay here.
First, let's talk about the new head of Elite: a former agent with an attractive appearance, a perfect family, and someone who had quickly risen to prominence through Elite's new media operations department, which had been established less than a year ago, thanks to her remarkable abilities.
Nothing too unusual there.
Perhaps she was just another member of the so-called "Westeros women's club," as Elite's new media operations had close ties with the Westeros system, creating a mutually beneficial relationship.
Even though, okay, there were some rumors, and Simon Westeros' well-known preferences for women added fuel to the fire. But without any solid evidence like photos, there was no way this could go to print; otherwise, the media risked being sued into bankruptcy.
Grace also wouldn't draw attention to herself.
With a little maneuvering, the media's focus shifted to her clients.
Cue Chrissy Goff.
Oh.
Suddenly, everything became clear.
This 19-year-old baby-faced girl had skyrocketed to fame in just one year, becoming the sixth spokesperson for Victoria's Secret, landing a role in the low-budget sci-fi sensation The Man from Earth, written by Westeros himself, and recently being cast as the lead in Daenerys and Warner Bros.' sci-fi blockbuster Jumanji.
It seemed Simon Westeros' affection for this lover went even deeper.
Apparently, John Casablancas had fired Grace Spolet without considering the feelings of her clients. Reportedly, after Grace's dismissal, several of her signed models had suspended their work.
This was a telling sign.
Chrissy Goff had a strong relationship with her agent and was clearly unhappy with Casablancas' actions.
Then, Simon Westeros, the man behind the scenes, stepped in.
To please his young lover, Simon Westeros simply bought Elite, elevating Chrissy Goff from a mere contract model to a virtual boss.
Tsk, tsk.
Spending millions for a lover's smile.
No doubt, many girls would lose sleep over envy.
Of course, these rumors couldn't be published, as they would still risk being sued into bankruptcy. However, everyone knew what was going on. Even if it couldn't be said outright, who didn't know how to hint at it? Besides, if they all released a few flattering articles about Chrissy Goff, with beautiful photos and lavish praise, along with a mention of Elite's change of ownership, surely Westeros wouldn't mind, right?
After all, exposure like that is what many bottom-tier models would cry and beg for.
In the days that followed, entertainment media was flooded with articles about Chrissy Goff, often accompanied by stunning photos, with headlines about Elite's ownership change.
Gossip and scandals always draw more attention than dry business mergers.
This whirlwind of gossip surrounding Simon's acquisition of Elite significantly diverted public attention from the Daenerys Entertainment and Metropolis ABC merger.
While both companies quietly submitted their merger applications to the U.S. Department of Justice and the FCC for review, Simon continued to navigate the East Coast's political landscape. Amy Pascal even traveled to Washington, D.C. on July 5th to testify before the House Judiciary Committee's antitrust subcommittee.
During this period, the obstacles to the merger were gradually being addressed, thanks to the careful maneuvering of the Westeros system.
The most aggressive opponent following the merger announcement, CBS, was the first to back down. CBS had now become the target of two other giants, Viacom and Westinghouse Electric.
This was the result of Simon's strategy of releasing various pieces of information to force a match between them.
Initially, only Viacom had expressed interest.
Simon strongly opposed the idea of Viacom, which owned assets like MTV and Showtime, merging with CBS, so he discreetly reignited Westinghouse Electric's interest in acquiring CBS.
As one of the nation's oldest industrial giants, Westinghouse Electric far surpassed Viacom in strength. To ensure Westinghouse's commitment, Simon also utilized Westeros system resources on Wall Street to secretly buy up Westinghouse stocks after news of their interest in CBS leaked, raising Westinghouse's stock price by over 10%.
That's public opinion in action.
With the market so optimistic about Westinghouse following General Electric's lead in the media business, how could Westinghouse hesitate?
Moreover, Westinghouse's CEO, Michael Jordan, had sold off part of the company's business in recent years, leaving them with nearly $2 billion in cash—perfect for launching a bid for CBS. By contrast, although Viacom wasn't short on cash, it was more likely to attempt a stock-swap merger with CBS, which many CBS shareholders, looking to cash out after recent capital gains tax reforms, weren't interested in.
To tip the balance further toward Westinghouse, the Westeros system discreetly used its Wall Street influence to block Viacom's ability to raise the funds for a cash offer.
With two potential buyers, CBS's stock price began to recover, and Larry Tisch's resentment toward Daenerys cooled considerably.
Simon also sent word to Tisch, making it clear that if Daenerys' merger with Metropolis ABC didn't go through, CBS wouldn't be able to sell itself either. The Westeros system's influence in Washington far surpassed CBS's and could easily make this happen.
After the stick, came the carrot.
Daenerys actively renegotiated the ER contract with CBS, ensuring that after acquiring ABC, the network wouldn't lose this ratings juggernaut.
With CBS pacified, everything was falling into place.
Daenerys also renegotiated contracts with NBC, owned by General Electric, for Friends and Survivor, easing any concerns NBC had about Daenerys' partnership with ABC.
On July 4th, Simon even invited General Electric's chairman and CEO, Jack Welch, for a round of golf at a course outside Greenwich.
They talked all morning.
About General Electric, about Westinghouse Electric, about American industry, and about the media sector.
From the perspective of someone new to the scene, Simon shared his views on this American industrial gem.
Simon told Welch that General Electric was at its peak following the Second Industrial Revolution, and that this peak would coincide with the height of the current U.S. bull market.
After that, it would decline.
While General Electric might maintain an advantage in cutting-edge fields like aviation and defense, in the near future, its mid-range businesses—like electrical, lighting, and transportation—would inevitably be eroded by countries like Japan, South Korea, and China, where costs were lower.
The decline of the American auto industry was already proof of this.
The traditional industrial sectors that still made up a significant portion of the U.S. GDP would continue to shrink, while sectors like finance, media, and entertainment would rise. Therefore, General Electric's future lay in maintaining its edge in high-tech industries while also expanding into the tertiary sector.
There was one more point.
Crush the competition whenever possible.
While General Electric was maintaining its diversified expansion strategy, one of its biggest domestic competitors, Westinghouse Electric, was tearing itself apart. This was tantamount to self-destruction. Additionally, its attempt to acquire CBS was a path to ruin. Compared to ABC and NBC, CBS was far weaker. It had no presence in the rapidly growing cable television sector, which was a fatal weakness for this old media giant.
Once Daenerys merged with Metropolis ABC and Westinghouse acquired CBS, Daenerys and General Electric could team up to completely crush Westinghouse Electric.
In history, this had indeed been Westinghouse's fate.
After Westinghouse's collapse, some media even speculated that its CEO, Michael Jordan, had been planted by Jack Welch as a corporate spy to sabotage one of General Electric's biggest rivals through reckless divestitures and acquisitions.
Simon had looked into Michael Jordan's background. This man, who shared a name with the famous basketball player but was actually a 60-something-year-old white businessman, had no connection to General Electric. The spy theory was just a conspiracy theory born from frustration.
In truth, Jordan's strategy of divesting Westinghouse's traditional industrial business and shifting entirely into media had been sound. His mistake was that he lacked the talent to manage a media empire. In the end, in 1999, he had to sell the costly media assets he'd assembled to Sumner Red
stone.
Westinghouse Electric never recovered.
After a morning of golf, Jack Welch agreed with Simon's plan. Over lunch, he promised Simon that General Electric would not oppose the Daenerys-Metropolis ABC merger.
With CBS and NBC, the two biggest potential opponents, neutralized, the deal was nearly sealed.
Hollywood, the foundation of Daenerys Entertainment, was never going to cause much trouble from the start.
As for the other smaller media companies, Simon remained vigilant. But without CBS and NBC leading a collective backlash, he didn't believe they could pose much of a threat.
With the media distracted, competitors neutralized, and Washington in their pocket, the merger was now unstoppable.
After checking in on a few key television projects, Simon returned to the West Coast on July 7th.
It was Friday.
Another box office week of the North American summer season had ended.
During the holiday week, Jurassic Park 2, which had been released on June 2nd, finally relinquished its top spot at the box office. But the new leader was another Daenerys Entertainment production: Apollo 13.
This film, based on the 1970 Apollo 13 space disaster, perfectly fit the mood of Independence Day. Moreover, it starred Tom Hanks, who had recently won his second consecutive Academy Award, attracting large audiences over the holiday.
With a $50 million production budget and $30 million in marketing, Apollo 13 debuted on 2,793 screens.
Thanks to its near-perfect 9.5 rating across media outlets, just like Jurassic Park 2, Apollo 13 earned $56.31 million in its opening week from June 30th to July 6th, averaging over $20,000 per screen. While it couldn't match Jurassic Park 2's numbers, early estimates suggested that just the domestic box office alone, expected to reach $150–200 million, would be enough for Apollo 13 to recoup its entire budget and turn a profit.
After Apollo 13 in first place, Fox's live-action adaptation of Power Rangers and Disney's action film Judge Dredd, starring Sylvester Stallone, both failed to capture second place. Jurassic Park 2 managed to hold onto the runner-up spot.
In its fifth week, despite the holiday boost, Jurassic Park 2 saw a 38% drop, earning $24.36 million.
From an opening week of $129.13 million to $24.36 million in its fifth, Jurassic Park 2's decline was clear. However, in five weeks, the dinosaur-themed sci-fi blockbuster had already grossed $330.78 million domestically. With another $24.36 million in weekly earnings, it was just $70 million away from the $400 million milestone.
At this rate, it was only a matter of time before Jurassic Park 2 joined the $400 million club.
Next, Fox's Power Rangers, with a $15 million budget, earned $16.49 million in its opening week, projecting a domestic total of $30 million—a modest success.
But Disney's Judge Dredd, starring Sylvester Stallone and costing $90 million, was a disaster.
Opening on 2,204 screens, Judge Dredd's first-week earnings were lower than the $15 million-budget Power Rangers. Audiences were clearly no longer interested in Stallone's old-fashioned action films, with Judge Dredd grossing a meager $14.13 million in its first week. Domestic earnings were projected to top out around $25 million.
It felt like déjà vu.
Sony, having just acquired Columbia, spent years paying tuition fees.
Now, it was Vivendi's turn.
Incidentally, Judge Dredd had been greenlit last year when Michael Eisner was still in charge. However, Vivendi had had the chance to cancel the project or drastically cut its budget after taking over Disney. Instead, the French had thrown their full support behind it, hoping to use a big blockbuster to make a name for themselves in Hollywood.
The result was a painful failure.
With a projected domestic total of $25 million, Disney wouldn't even recover its marketing costs. Even if Stallone had more pull overseas, Disney was facing a massive loss.
What's more, the failure of Judge Dredd indirectly impacted two other Hollywood projects in development: Jumanji, a collaboration between Daenerys and Warner Bros., and Warner's Eraser, which had recently secured Arnold Schwarzenegger.
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