Alvy Ray Smith cofounded Pixar. He was the first director of computer graphics at Lucasfilm and the first graphics fellow at Microsoft. He has received two technical Academy Awards for his contributions to digital movie-making technology.
This week he shared “The Real Story of Pixar,” in an article in IEEE Spectrum that Slashdot reader Tekla Perry says “corrects some of the things legend got wrong, and gives a fast tour of computer graphics history, as he talks about the key computer graphics breakthroughs that led up to Pixar and how Moore’s Law saved the company.”
Its starts in 1980 when Smith is part of a team hired by Lucasfilm to create its Computer Division:
This division was charged with computerizing editing, sound design and mixing, special effects, and accounting for the company’s books, as if this fourth challenge would be as difficult as the other three. Ed Catmull, who led the Computer Division, made me head of the Computer Graphics Group, which was tasked with the special-effects project. At Lucasfilm, we continued to develop the software needed for three-dimensional computer-generated movies. And we worked on specialized hardware as well, designing a computer, called the Pixar Image Computer, that could run its calculations four times as fast as comparable general-purpose systems — but only for pixels. We were still waiting for Moore’s Law to get general computers to where we needed them — it did, but this strategy gave us a boost for a few years.
We didn’t get one of our fully computer-generated movie sequences into a major motion picture until 1982, with our one-minute “Genesis” sequence in Star Trek II: The Wrath of Khan. It showed a bare planet catching on fire, melting, and then forming mountains and seas and green forests. We followed that groundbreaking piece of a movie with a brief sequence in Return of the Jedi in 1983, featuring a “hologram” of the Death Star… But then our Computer Graphics Group, now numbering 40 people, got the news that the Computer Division was on the chopping block.
Then Smith continues the story with an excerpt from his new book, “A Biography of the Pixel.” (“We did have a prototype special-purpose computer, the Pixar Image Computer. So Ed and I wrote up a business plan to build and sell Pixar Image Computers, calling them ‘supercomputers for pixels’…”) 35 venture capital firms turned them down, as did 10 corporations where they’d proposed a “strategic partnership.” Finally, they made a desperate pitch to Steve Jobs:
Steve, who had just been ousted from Apple, proposed that he buy us from Lucasfilm and run us as his next company. We said no, that we wanted to run the company ourselves, but we would accept his money in the form of a venture investment. And he agreed…
Pixar was a lousy hardware company. We failed several times over our first five years. That’s failure measured the usual way: We ran out of money and couldn’t pay our bills or our employees. If we’d had any other investor than Steve, we would have been dead in the water. But at every failure — presumably because Steve couldn’t sustain the embarrassment that his next enterprise after the Apple ouster would be a failure — he’d berate those of us in management . . . then write another check. And each check effectively reduced employee equity. After several such “refinancings,” he had poured about $50 million (half of the fortune he had made from Apple) into Pixar. In today’s money, that’s more than $100 million. On March 6, 1991, in Pixar’s fifth year, he finally did buy the company from the employees outright.
The company was still in financial trouble — but expanding computing power eventually made it possible to render an entire full-length movie, and Disney financed the years of production necessary for the 1995 movie Toy Story. But even before its release, Steve Jobs “took Pixar public on November 29, 1995, on nothing more than the promise of Toy Story.
“It salvaged his reputation and made him a billionaire.”
The article’s subheading? “How a bad hardware company turned itself into a great movie studio.”
Read more of this story at Slashdot.