Development of Phonofilm
Max Fleischer and Dave Fleischer used the Phonofilm process for their Song Car-Tunes series of cartoons—all featuring the "Follow the Bouncing Ball" gimmick—starting in May 1924. Of the 36 titles in the Song Car-Tunes series, 19 used Phonofilm. Also in 1924, the Fleischer brothers partnered with DeForest, Edwin Miles Fadiman, and Hugo Riesenfeld to form Red Seal Pictures Corporation, which owned 36 theaters on the East Coast, extending as far west as Cleveland, Ohio.
Red Seal Pictures and DeForest Phonofilm filed for bankruptcy in September 1926, and the Fleischers stopped releasing the Song Car-Tune films in Phonofilm shortly thereafter. Fleischer Studios later re-released some of these titles from 1929 to 1932 through Paramount Pictures, as part of a new series called Screen Songs with new soundtracks using the RCA Photophone sound-on-film process.
DeForest also worked with Theodore Case, using Case's patents to make the Phonofilm system workable. However, the two men had a falling out, shortly after DeForest filed suit in June 1923 against Freeman Harrison Owens, another former collaborator of DeForest's. Case later went to movie mogul William Fox of Fox Film Corporation, who bought Case's patents, the American rights to the German Tri-Ergon patents, and the work of Owens to create Fox Movietone.
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