Walt Disney’s CEO Bob Iger thinks the Hollywood model is broken and in need of quick change.

“The business model that underpins the movie business is changing,” Mr Iger told the Financial Times “If we don’t adapt to the change there won’t be a business – that’s my exhortation to my team.”

So if the movie business is dieing as we know it, why doesn’t Iger task Pixar with innovating their way out of it. The group at Pixar, along with Steve Jobs, have already shown a peculiar knack for innovation. They made the first feature-length computer-animated film, now task them with creating the first mainstream real-time story that isn’t entirely game based. Tieing play to the server is the only way to combat pirates, it’s the WoW model and it’s the model Hollywood desperately needs. The game industry gets it, now Hollywood needs to move to the same model. It’s moving from overlaying real-time story on top of a game to using real-t time story to create drama, and who better to do that than Pixar?