Entertainment industry grasping for existence due to COVID-19

UPDATED: December 9, 2020

After several months of lockdown, film studios have started shooting once again since July in most countries. Streaming platforms and websites like 123movies are keeping audiences glued to the PC or phone screen. However, a dark cloud still looms over the entertainment industry.

Technicians and crew-members are jobless

Shooting films with traditional methods is not possible anymore due to the pandemic related restrictions. Film units around the world are shooting with a minimum number of technicians, crew members. And this has resulted in lesser work for the ground crew.

Some movie theaters may shut-down forever

Not just in the US, but some cities in the UK have also entered another phase of lockdowns. Cinema halls that were operating for a few months between July and November have shut yet again. They were already facing financial constraints due to regulations regarding sitting arrangements and maximum occupancy. So, problems may continue until most people around the world get vaccinated.

streaming sites

The closure of specific CineWorld movie chain’s locations in the UK made it in the headlines. Then, the world witnessed news about the permanent closure of several others.

Independent producers and studios worldwide seem to be in no mood to help cinema-hall chains. They are keen on selling rights to video streaming sites for recovering their investments. Producers around the world have entirely eliminated the timeframe between cinema hall release and premiere on streaming sites.

And without fresh content, movie lovers won’t take the risk of watching a movie at a theater. Logically, why would anyone pay and watch a film inside a cinema hall when the same content is available on streaming platforms? People also have the option to visit 123movies and watch movies and TV shows for free.

Experiments with content

On the positive side, some cinema-hall chains and studios are releasing old blockbusters once again. They are attracting movie lovers to theaters with extremely affordable ticket rates. The experiment seems to have worked in some countries, especially in nations where the pandemic is under control. But some theaters are still unable to recover their fixed and variable costs incurred due to opening cinema halls. Thus, they prefer to keep them locked and bear fixed costs like rent, taxes, employee salaries, etc.

Big budget flicks might remain on the backburner

For studios, box office collections are a crucial component in profits. Without operational movie-theaters, recovering huge investments is challenging. So, several producers have either canceled projects or postponed the release of ready films.

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