Seeking to replicate the stunning success of Paranormal Activity, Paramount is launching an initiative that will spend $1 million annually to develop and produce microbudget films.

This policy move is intended to place between 10 and 20 projects in development by the end of next year, with no individual budget above $100,000.  All of this is reported today in Variety at http://www.variety.com/article/

Paranormal Activity made effective use of a low-cost release strategy, starting with a dozen midnight screenings of Oren Peli's horror-thriller in college towns before launching a gradual rollout that built on strong word of mouth.  http://www.paranormalactivity-movie.com/