There has been a lot of chatter about the future of the film industry. Up until now, many of us thought that the downturn in scripted content was just a temporary decline – blame it on post-covid production slowdown, rising inflation and decrease in the film grants available. We figured things would bounce back once the economy comes back to normal. After all, we’ve had over 100 years of film and millenias of theater before that. Watching long-format stories has been part of our culture since Greeks first invented theater.
However now, things look different. Major studios like Paramount and Disney are experiencing a decline in revenue. Even the streaming giants are having a tough time. Cinemas are seeing fewer and fewer visitors. Take a look around: people, especially younger generations, are more drawn to short content on social media. It’s all about those quick, engaging clips. People find themselves opting for IG Live over a streaming service more often than not. And when was the last time you heard someone ask, “Did you see that movie?” Instead, it’s “Check out this short!”
So, is this the end of film as we know it? Will movies become like theater — a niche interest for the truly passionate, while everyone else moves on to quick clips and memes or immersive experiences?
From our perspective, that is unlikely, film likely will still remain a major form of entertainment for the public, however there might be some changes due to Gen Z opting for short forms of content like YouTube Shorts, TikTok, etc. In such an environment, smaller budgets might become the norm and we might see the filmmakers stay away from the higher risk, more expensive creative approach. Let’s not forget that the budget for Paranormal Activity in 2007 was only $15,000 yet It grossed $194.2 million worldwide. Obviously, that’s a unicorn, however there definitely could be a shift away from a typical mid-budget film that is between $5 million and $50 million.
It’s not clear yet if this is the direction the film industry will take. However, platforms like Cromatic and Tropic Color are gaining traction by making low-budget filmmaking more accessible. This growing popularity could be a sign that this is indeed the case as there are numerous film studios opting for budget friendly creative assets and tools to enhance their production. When you add this to the fact, ChatGPT has been gaining fame in the film industry as a tool for production and screenwriting, we could definitely expect a change in the budget for an average film.
What do you think? Are we looking at the end of traditional filmmaking, or just the beginning of a new era?
