Every once in a while, someone claims that the movie industry is dead. They aren’t wrong, but they aren’t right either.
Movies as an industry aren’t dead, but the way that audiences consume them has changed.
It depends on what people define as the movie industry. The attendance of theaters that were packed every weekend with a wide range of options to choose from declined during the COVID-19 pandemic.
According to a survey from The Associated Press-NORC Center for Public Affairs Research, 75% of adults have opted to stream a recently released movie at home in the last year instead of watching it in a theater.
This shift may be because streaming at home has become more convenient than going to a theater since it can be paused, rewinded or fast forwarded whenever needed.
According to Gower Street Analytics, a film industry data firm, the global box office is set to reach $35 billion by the end of 2026, the highest it’s been since 2019’s prepademic $42.4 billion.
What audiences prefer to watch on the big screen has also changed.
In 2019, superhero movies like “Avengers: Endgame” and “Spider-Man: Far From Home” dominated the big screen. In 2025, four superhero movies were released, with Marvel’s “Thunderbolts*” and “Captain America: Brave New World” at the bottom of the global box office.
Movies intended for children, like “Zootopia 2” and “A Minecraft Movie” were more popular in 2025, hitting $1.4 billion and $958 million, respectively.
Streaming services such as Netflix, Hulu and HBO Max also play a big part in how movies reach audiences.
The industry itself has shifted away from movies that are released in theaters, with many films going directly to streaming services while others have short, limited theatrical releases.
The trend toward direct-to-streaming major releases started during the pandemic with “Trolls World Tour,” which skipped its planned theatrical release and went straight to streaming. The film was released as a 48-hour rental for $19.99 and racked up over $100 million in three weeks.
Since theaters have reopened, some films will now premiere in theaters for a few short weeks before being released on streaming. This includes many recent releases such as Netflix’s “Wake Up Dead Man: A Knives Out Mystery” and “Frankenstein.”
In addition, with the rise in popularity of short-form media from platforms like TikTok and Instagram, it’s easy to pull out a phone and start scrolling midmovie.
Although there are rules against using phones in theaters, at home, it’s much easier to get distracted by a different device.
With this year’s Oscars fast approaching, the shift away from theaters is reflected in the nominations. Although box-office nominations still dominate the roster, the impact of direct-to-streaming movies can’t be ignored.
For example, “K-Pop Demon Hunters” didn’t have a theatrical release, but managed to rack up two nominations, proving that direct-to-streaming movies don’t have a death sentence.
Although things have changed since the pandemic, the industry still manages to entertain its audience.
The movie industry hasn’t reached its conclusion — it has a new beginning.
@marupudisairam