Montreal: Discreet Logic founder Richard Szalwinski has moved into the entertainment software business and formed Industry Entertainment with filmmakers John Hamilton and David Reckziegel.

The three producers have an equal share in the new company whose ‘core business’ will be producing and distributing feature films and tv series, says Szalwinski, ie’s chairman.

‘The new partnership puts us on a faster track,’ says Hamilton. ‘We’ll focus on features in the next two years while we develop ideas in new media, animation and tv series, coventure and cable movies.’

Hamilton, the director and coproducer of the sex comedy Myth of the Male Orgasm, says Szalwinski’s wide-ranging interests add value to the partnership. ‘Richard will very much share in pitching stories and development. He’s not just a financial partner.’

Hamilton says the company has secured financing for The Girl Next Door, a $3 million black comedy Hamilton will direct this fall. ie recently wrapped shooting on The Drive, a psychological thriller directed by first-time Toronto helmer Romy Goulem, budgeted at $500,000.

Szalwinski founded Discreet Logic in 1992 and holds a 20% share in the company, which reported revenues of over us$60 million in 1994/95 and revenues of us$23 million for the first quarter ending Nov. 30. Discreet is best known for its multitask digital editing and special f/x systems, including Flame. Discreet Logic is listed on nasdaq in the u.s. and raised us$50 million in two ipos in ’95.

Szalwinski remains chairman of Discreet Logic, but says his role is largely ‘strategic, not day to day.’

While Hamilton says ie still has to develop contacts in television, it expects to produce two or three features a year over the next two years with combined budgets in the $5 million to $7 million range, depending on what kind of investment is made in talent.

Feature projects in development include The Girl Next Door; r&r, a low-budget sci-fi movie; Kill the Poet, a ‘moral’ comedy; and Wrong Time, Wrong Place, based on an optioned book about a murky tale of Canadians accused of a political kidnapping in Brazil.

Hamilton says ie will set up a sister Canadian distribution company with its own acquisition program. Industry Entertainment Distribution is actively looking for a president.