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16 millimeter can still look nice. While I'm no expert, I'd bet that with good quality film stock, good cameras, and proper processing and care in the years since production, would provide for an effective resolution greater than at least 720p when transferred today. I believe I've read...

That last bit is one I never understood. It's in-house, the employees are there, and the equipment is present. Why the exorbitant transfer fees? I can understand a priority system so the most lucrative/important projects aren't held up by archive work on something like transferring Hank from 35...