[Calderyon]

In ‘seismic’ move, Warner Bros. releasing all 2021 movies on HBO Max. What does this mean for theaters?

PATRICK RYAN, BRYAN ALEXANDER | USA TODAY
5 hours ago

In a potentially massive blow for the future of moviegoing, Warner Bros. announced Thursday that it's releasing all of its 2021 movies on HBO Max the same day as theaters.

The films will be available to HBO Max subscribers at no extra charge and will stream for one month. After they leave the platform following the 31-day streaming period, the movies will still be available to see in theaters.

The studio's 2021 slate includes hotly anticipated sequels and would-be blockbusters such as "Dune," "The Suicide Squad," "Matrix 4," "Space Jam: A New Legacy," "Godzilla vs. Kong," "Mortal Kombat" and "The Conjuring: The Devil Made Me Do It."

"In the Heights," an adaptation of Lin-Manuel Miranda's Tony-winning Broadway musical, and "The Many Saints of Newark," a movie prequel to HBO mob drama "The Sopranos," are also among the 17 movies Warner Bros. plans to give a concurrent streaming release.

'The time has come': 'Wonder Woman 1984' heads to HBO Max and some theaters on Dec. 25

Ann Sarnoff, chair and CEO of WarnerMedia Studios and Networks Group, said in a statement that it's a "win-win" for exhibitors and movie fans.

"We’re living in unprecedented times which call for creative solutions," Sarnoff said. “We know new content is the lifeblood of theatrical exhibition, but we have to balance this with the reality that most theaters in the U.S. will likely operate at reduced capacity throughout 2021."

The move should certainly alarm theater chains, and could very well sound the death knell for moviegoing as we know it, experts say.

"This is the game-changing moment that theaters have feared the most. It’s seismic," says Jeff Bock, senior box-office analyst for Exhibitor Relations. "It’s a complete change to the Hollywood paradigm as we know it. You cannot put the genie back in the bottle. This is unprecedented."

The news comes just two weeks after Warner Bros. announced that "Wonder Woman 1984" will be released simultaneously in U.S. theaters and on HBO Max Christmas Day. The $200 million superhero tentpole starring Gal Gadot saw its release date shift multiple times due to the coronavirus pandemic, from June 5 to Aug. 14 to Oct. 2, before landing on Dec. 25.

"I can see (the simultaneous release) with 'Wonder Woman 1984,' " says Bock. "But to see the entire slate of 2021 go, it really, for me, knocked down the Hollywood sign."

Scott Mendelson, a box office analyst for Forbes, was more circumspect on the impact.

"This could be the gamechanger, theaters are doomed, and so on. But this just might be a stop-gap measure due to the pandemic. There are too many unknowns due to the pandemic," says Mendelson, who believes the move could lead to a short-term boon for consumers.

"A boon with a caveat," he said. "The films consumers want to see will still be released on schedule. If they want to see it in theaters, they can. If they want to see it on HBO Max they can. The major caveat is, if this model continues, there’s a risk that the studios will not be able to make the big budget movies consumers want to see. Studios need theater releases to make back their $200 million for tentpole movies."

The release of "Wonder Woman 1984" (starring Gal Gadot) has been delayed, with theaters shuttered during the COVID-19 pandemic.
"Wonder Woman 1984" will be released on HBO Max and in theaters Christmas Day.
CLAY ENOS
Brian Welk, movie reporter for industry website The Wrap, points out that this is a "unique" one-year plan. "But if consumer expectations change for when they can expect to see massive blockbusters from their homes or if other major studios follow suit with a similar model, some of these changes to theaters and the distribution model could be here to stay."

But after months pent up inside due to the pandemic, many consumers will also be hungry to return to theaters next year and experience sci-fi/fantasy epics like "Dune" on the big screen.

"I think there's definitely an appetite for people to get back to safely see a movie in a theater," Welk says. "People will still go to see movies in one form or another and will pay a premium to see certain movies on a big screen in a good, communal environment. But people probably won't go out in the way they once did or at the same levels if they know they can get the same thing at home right away. We've already seen a shift with the number of event movies that are moving to Netflix and Amazon and are available at the push of a button, and this is the biggest disruption yet to the traditional distribution model."

Warner Bros. was the first major studio to release a high-budget movie into theaters during the COVID-19 outbreak in the U.S., with Christopher Nolan's wildly ambitious action thriller "Tenet." The $200 million movie suffered from mostly lukewarm reviews and no A-list stars, and opened to just $20.2 million in late August, as coronavirus cases spiked across the country. It's earned a disappointing $57.4 million in the U.S. to date, and will be available to rent or buy on digital platforms Dec. 15.

AMC is already pushing back on the move, saying that while the theater chain made an exception for "Wonder Woman" with the pandemic at its height, the theater business is expected to recover with a vaccine imminent.

“Clearly, Warner Media intends to sacrifice a considerable portion of the profitability of its movie studio division, and that of its production partners and filmmakers, to subsidize its HBO Max start up," Adam Aron, CEO and President of AMC Entertainment, said in a statement. "As for AMC, we will do all in our power to ensure that Warner does not do so at our expense. We will aggressively pursue economic terms that preserve our business," and "have already commenced an immediate and urgent dialogue with the leadership of Warner on this subject."

Disney has similarly tested different release strategies in response to the pandemic. The studio released its live-action retelling of "Mulan" on Disney+ in September, for an additional $29.99 fee. The film will be available to all Disney+ subscribers starting Friday.

The Mouse House will next release its new Pixar movie "Soul" on Disney+ Christmas Day at no additional cost. Pixar's "Onward" debuted on the service in March, following a shortened theatrical run due to COVID-19.

Bock says he expects Disney to follow Warner Bros.' lead and offer more major releases on Disney+.

https://eu.usatoday.com/story/entert...ax/3812015001/

[Scarlett.]

RIP Movie theatres

[Tom4784]

It's an exciting move, I love going to the cinemas but I do think having the choice of watching a new film at home or in cinemas is the next logical step, Covid has just accelerated it exponentially.

I'll be interested to see what their strategy is for the rest of the world though, given that HBO Max is mainly a US service that isn't really available elsewhere. Earlier releases worldwide makes sense, I guess, but they probably really need to work on getting their streaming service worldwide, or at least make deals with the other streaming giants.

[Amy Jade]

Since HBO Max is not available everywhere I hope this backfires and ends up in a lot of piracy.

I'd have happily gone to see quite a few of these movies at the cinema and eagerly anticipate Dune and they will all be spoiled online before I can see them which sucks.

[Nicky91]

Originally Posted by Amy Jade

Since HBO Max is not available everywhere I hope this backfires and ends up in a lot of piracy.

I'd have happily gone to see quite a few of these movies at the cinema and eagerly anticipate Dune and they will all be spoiled online before I can see them which sucks.

cinema is dead anyway

[arista]

Yes But sadly
Not in the UK.

None of the Warner Films will be on UK Online


And Cinema is not dead
they get it at the same time.


Ref: Times Radio DAB.

[Black Dagger]

Originally Posted by Nicky91

cinema is dead anyway

No. No it isn't.

[Niamh.]

aw no, I love going to the cinema

[arista]

Originally Posted by Niamh.

aw no, I love going to the cinema

They go on the Cinema
as well as USA Only
HBO Max Warners films

[Niamh.]

Originally Posted by arista

They go on the Cinema
as well as USA Only
HBO Max Warners films

Oh OK, I hope the Cinema's will survive all this

[Calderyon]

AMC Theaters seem to be in serious trouble:

AMC Theatres Could Run Out of Cash by the End of 2020, Early 2021

By Brent Lang

AMC Theatres is in danger of running out of cash by the end of the year or by early 2021 if moviegoers don’t return to cinemas in greater numbers, the world’s largest exhibitor warned in public filings on Tuesday.

The theater chain noted that attendance at the 494 of its 598 U.S. locations that it has opened in recent weeks is down approximately 85%. Cinemas in major markets such as Los Angeles and New York City are still closed due to COVID-19, and attendance in reopened states is limited due to social distancing restrictions. The theater business is also suffering from a lack of compelling blockbusters to screen, with movies such as “No Time to Die” and “Soul” getting delayed or moved to streaming platforms. Studios believe that it’s not profitable enough to release pricey movies when the coronavirus infection rates continue to climb in the U.S. and Europe. They also argue that it’s untenable to debut a major release when movie theaters are closed in major cities.

“Given the reduced movie slate for the fourth quarter, in the absence of significant increases in attendance from current levels or incremental sources of liquidity, at the existing cash burn rate, the Company anticipates that existing cash resources would be largely depleted by the end of 2020 or early 2021,” AMC reports. “Thereafter, to meet its obligations as they become due, the Company will require additional sources of liquidity or increases in attendance levels. The required amounts of additional liquidity are expected to be material.”

The filing comes on the heels of a warning issued last week by S&P Global, which predicted that the exhibitor would run out of liquidity within the next six months. The ratings agency reduced AMC’s credit rating as a result.

AMC, which is already heavily leveraged and recently renegotiated its debt to improve its balance sheet, said it is exploring several options. These include packing on additional debt or exploring equity financing; renegotiating lease payments with landlords; selling theaters or other assets; and exploring joint-venture opportunities. AMC said currently it is burning more cash than it is making to keep theaters open and operational, and noted that it is difficult to predict how much money it will need to raise.

“There can be no assurance that the assumptions used to estimate our liquidity requirements and future cash burn will be correct, or that we will be able to achieve more normalized levels of attendance described above, which are materially higher than our current attendance levels, and our ability to be predictive is uncertain due to the unknown magnitude and duration of the COVID-19 pandemic,” AMC reports.

https://variety.com/2020/film/news/a...us-1234802453/

[arista]

Yes Some Cinema's are having trouble
of course in USA
Covid is worse

[Tom4784]

Originally Posted by Amy Jade

Since HBO Max is not available everywhere I hope this backfires and ends up in a lot of piracy.

I'd have happily gone to see quite a few of these movies at the cinema and eagerly anticipate Dune and they will all be spoiled online before I can see them which sucks.

When it comes to Wonder Woman, it's launching in the UK on the 16th December while it releases in the US on Christmas Day. I assume one of their option to combat piracy will be to release it in cinemas in non-HBO Max territories first and then release it in the US a week or so later.

I think there's a good chance that Dune will be released here first before it ends up on HBO Max.

[Scarlett.]

I can see cinemas becoming more of a luxury option rather than being mainstream like now

[Barry.]

Originally Posted by Dezzy

When it comes to Wonder Woman, it's launching in the UK on the 16th December while it releases in the US on Christmas Day. I assume one of their option to combat piracy will be to release it in cinemas in non-HBO Max territories first and then release it in the US a week or so later.

I think there's a good chance that Dune will be released here first before it ends up on HBO Max.

I wish WW was released on digital here too though

[Calderyon]

Originally Posted by Scarlett.

I can see cinemas becoming more of a luxury option rather than being mainstream like now

With streaming platforms becoming so popular, it was inevitable.

[Stu]

I can totally understand the romanticism of the cinema for some, but it's lost on me and I don't think it's a cultural institution we're necessarily going to feel like we need in a few decades.

There's a tactile purpose and pull to live sport and music. Sitting in a dark room full of strangers eating popcorn and having to keep all your clever film jokes to yourself for two hours is rubbish.

I'll watch Matrix 4 (that title is changing, surely) in my underwear in bed, cheers.

[Scarlett.]

Originally Posted by Stu

I can totally understand the romanticism of the cinema for some, but it's lost on me and I don't think it's a cultural institution we're necessarily going to feel like we need in a few decades.

There's a tactile purpose and pull to live sport and music. Sitting in a dark room full of strangers eating popcorn and having to keep all your clever film jokes to yourself for two hours is rubbish.

I'll watch Matrix 4 (that title is changing, surely) in my underwear in bed, cheers.

For sure, I've never really enjoyed the cinema, I could understand how it was special when we all had CRT tvs, but we've basically got cinemas at home now

[Tom4784]

We've been heading in this direction for quite a while, even before the pandemic, a lot of mid to low budget faire that was intended for the cinemas was being snapped up by streaming services while cinemas were increasingly becoming the home of big 'event' films.

Cinemas will survive, but I do think now, more than ever, we'll see a lot more films skip cinema and Disney will probably end up dominating cinema more than they do already since Star Wars, Marvel and their animated divisions will likely retain the same pull they had before once the pandemic is over.

[Toy Soldier]

I do like the cinema to be fair, I like the little "pocket away from the world" with no distractions, but it depends on the film. I like the big loud blockbusters on the big screen.

On the other hand I do agree with not wanting to do it in a room packed with strangers - which is why I always went on weekday afternoons when it was empty .

I don't think every movie needs a cinema release really, I think we'll increasingly see things like comedies be on streaming services. I also always find horrors scarier at home, cinemas are just such a non-scary environment.