Chapter 29: The Rise of CAA
After the summer box office season, September ushered in the fall releases. The standout hit of the summer was Warner Bros.' DC superhero adaptation, Batman, which grossed $250 million in North America and another $150 million overseas, totaling $400 million worldwide. Meanwhile, Paramount's sequel Indiana Jones and the Last Crusade earned $190 million domestically, but raked in $270 million internationally, for a global haul of $460 million.
At the same time, Time Inc. announced a $14 billion acquisition of Warner Communications, forming Time Warner Group, a media conglomerate valued at over $18 billion and the largest in the world. However, the deal faced lawsuits from Paramount's parent company, Gulf & Western, which had previously attempted a hostile takeover, and the matter ended up in court.
In parallel, both the U.S. and Japan reported that Sony had acquired the Hollywood studio Columbia-Sony Pictures for $3.4 billion, assuming an additional $1.6 billion in debt. Having bought CBS Records last year (renaming it Sony Music) and now CBS Films, Sony established Sony Pictures Entertainment.
Hollywood's "Big Seven" studios had long symbolized American culture, and Sony's successful acquisition of Columbia-Sony Pictures turned the notion of a "Japanese invasion of Hollywood" into reality.
As the key facilitator of Sony's acquisition, CAA chairman Michael Ovitz's reputation skyrocketed—and the agency earned $10 million in commissions from the deal.
"This feels amazing," Ovitz said in his office, his confidence swelling as one of the primary architects of the deal.
"Michael, Panasonic—another Japanese electronics giant—wants to follow Sony's lead," CAA president Ronald Meyer reminded him from the sofa, smiling.
Ovitz nodded. "I'll take a team to Hawaii to meet with Panasonic's president, Akio Tani, and their delegation. If we could help Sony acquire a major Hollywood studio, we can do the same for Panasonic with another studio."
Meanwhile, in a West Hollywood restaurant on Sunset Boulevard, Aaron sat reviewing a newspaper featuring the Sony–Columbia-Sony acquisition.
"Akio Morita and Norio Ohga really are unstoppable. CAA only provided advice and networking support, yet earned $10 million? No wonder Michael Ovitz has been acting differently lately."
Aaron noted that the latest issue of Premiere magazine had listed Ovitz as one of the most powerful people in Hollywood. Ovitz had clearly played a pivotal role, but the real highlight would come when Panasonic moved to acquire MCA, Universal's parent company—a moment destined to cement CAA's influence.
Aaron then shifted his attention to the ongoing Venice Film Festival. At noon, he headed to Los Angeles International Airport to pick up Nicole Kidman, who had just returned from the Wilmington, North Carolina set of Wild at Heart. CAA was hosting a dinner that evening at the Beverly Hilton, and Aaron had asked Nicole to accompany him.
"Hmm," Nicole said mischievously once they returned to their West Hollywood apartment, wrapping her arms around him.
"Being away recently, have you had trouble sleeping at night?" she teased, sitting in his lap on the sofa.
"Not really," Aaron replied, feeling her warmth. "You're not overseas—I can always fly out to you whenever I want."
"How's the filming going?"
"Not bad. Director David Lynch isn't exactly fast-paced. Wild at Heart probably won't wrap until late November," Nicole Kidman replied.
"That's fine. Independent films don't have such tight schedules," Aaron said, glancing at Nicole in his arms. "Want to take a little break?"
"No need," she shook her head. "By the way, it's the Venice Film Festival season, right? Aren't you going?"
"Nothing worth seeing at the moment," Aaron replied. "Besides, I'm considering the script for Ghost."
The newly founded Castle Rock Entertainment had released its first film, When Harry Met Sally…, a low-budget romantic comedy. Since its July release, it had already grossed over $70 million. Aaron's script, Ghost, was far superior to When Harry Met Sally…—or so he thought.
"Have you found a director or any stars yet? Otherwise, it'll be hard to secure funding," Nicole said, clearly understanding the business side. Although Aaron's fame at CAA had grown recently, leading a serious film project was still a major challenge.
Aaron frowned. Ghost would require significant funding—far beyond a few million dollars. He could try approaching Michael Kuhn at Polygram or Robert Shaye at New Line, maybe even Golden Harvest, but as for Japanese investors, Aaron knew no one—and he didn't want to hand over the script to CAA to package it.
"Don't frown so much. You've only been in the industry a short while. Don't be so impatient," Nicole said, leaning in to kiss him.
Aaron chuckled and ran his hands over her body. "What, can't wait until tonight?"
"Hmm, it's still early," she whispered, her lips brushing his ear. "Darling, do you have other women lately?"
"With you around, it's hard to even notice anyone else," Aaron replied, though his thoughts drifted to Jennifer Connelly at Stanford—a gorgeous, sexy woman in her own right.
"It's been so long, and you haven't even come to Wilmington to see me. How can a man like you endure it?" Nicole teased.
"Before, when I was here with you, I wasn't exactly holding back either," Aaron countered.
By then, restraint was impossible. With a surprised gasp from Nicole, he scooped her up and carried her to the bedroom. On the wide, soft bed, their passionate kisses escalated quickly, and in no time, Nicole had stripped them both bare.
Later that evening, Aaron appeared at the CAA gala at the Beverly Hilton, flanked by a glowing Nicole.
CAA had just facilitated Sony's acquisition of Columbia-Sony Pictures—definitely a reason to celebrate.
"So many people here," Nicole whispered, linking her arm with Aaron's as she scanned the room and spotted several heavy-hitters.
"Indeed. Let's go. Paula Wagner is over there—we should greet her first."
Aaron wrapped an arm around Nicole's waist, ready to make his way toward Paula Wagner.