Theater Owners Chief John Fithian Argues Streaming Is Not a ‘Sustainable Business Model’ and Studios Need Cinemas for Profits
variety.comBrent Lang Executive Editor During the pandemic, studios experimented with shrinking the amount of time that their films screened exclusively in cinemas, while spending oceans of money to launch streaming services.
But the debt they racked up has sent their share prices plummeting and, now, studios are making more movies for theaters and cutting back on their streaming budgets.
CinemaCon, the annual exhibition industry showcase that is unfolding this week in Las Vegas, couldn’t be happier about the shift in strategy.
John Fithian, the head of the National Association of Theatre Owners, the trade group behind the show, touted the new state of play during his speech to the convention, while praising Apple and Amazon for embracing the big screen with movies like “Air” and the upcoming “Killers of the Flower Moon” and “Napoleon.” Both of these companies will reportedly spend more than $1 billion on theatrical films. “It is now more irrefutable than ever that theatrical is the keystone for the movie industry,” Fithian said. “Releasing major films with massive budgets directly to streaming platforms is not a sustainable business model.
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