By Bronson Jayamanna
Los Angeles, USA(CWBN)_Warner Bros. has revealed an unexpected plan for its 2021 cinematic release line-up due to the crippling effect the pandemic has had on Hollywood.
The film studio will release all its 2021 movies in the US on HBO Max the very same day they premiere at physical cinemas. The movies will continue to be available on HBO Max for a month after premiering, after which they will exit the virtual channels whilst they will remain watchable at theatres.
Though the proposal is just for 2021 (for now), this may end up causing significant and lasting repercussions on Hollywood.
The theatrical timeframe has traditionally been 75 days until a film is released on digital or download streams. however, this has been reduced following the effects of the pandemic on moviegoers. This year, several titles missed theatres completely, instead opting for video-on-demand and streaming platforms. Meanwhile, Universal Pictures has agreements with many large chains to significantly reduce the window for upcoming releases.
Yet Warner’s declaration is a major evolution of these tactics. Only three months earlier, the studio pledged to theatres when it released Christopher Nolan’s “Tenet” in theatres. However, the film failed expectations at the US box office by only securing $57 million (it raised over $350 million worldwide). This move illustrates the degree to which the coronavirus pandemic affected film studios, which explored different rollout techniques for theatres. Big chains including Regal and Cineworld have suspended operations in the U.S. and UK, and it’s uncertain when they resume.
Theatre shares suffered a plunge following Warner’s statement. AMC, the biggest theatre chain, dropped 8% since the news. Nonetheless, studios, produce much of their box office sales overseas. Warner Bros. films will debut solely outside the US as expected next year. In 2019, the company gained $2.85bn from foreign markets relative to $1.58bn made in the domestic market.
The step is also an indication that WarnerMedia is aiming to improve the number of HBO Max users, as well as to convert existing HBO clients. The company has yet to negotiate an arrangement with Roku, one of the main streaming-distribution networks. Variety’s Todd Spangler tweeted that the new strategy might force Roku into an agreement.
WarnerMedia experienced a massive stir this year under its current CEO, Jason Kilar, which included hundreds of cuts and an emphasis on the streaming platform. Since the axing of WarnerMedia Entertainment Chairman Bob Greenblatt and HBO Max Chief Content Officer Kevin Reilly, Warner Bros. CEO Ann Sarnoff has been assigned to supervise all film, Cable, network and streaming departments.
