Hollywood, piracy and profit

Piracy is on the increase, and so are Hollywood profits (when they make good movies). Does that mean they're winning or losing? That depends on when you ask them. Sometimes they'll cry poor because of pirates, and sometimes they'll crow their success over pirates as evidenced by their profits. Clearly, however, it is possible to have both high piracy and high profits. Possibly because they make more money from merchandising than ticket sales. Happy Meal toys are the real Hollywood industry.

Mokalus of Borg

PS - Hence, Cars 2.
PPS - It'll be worth millions in ticket sales, but billions in merchandising.