Netflix CEO: Theater Visits Outmoded, Saving Hollywood

Netflix CEO Ted Sarandos has boldly claimed that the streaming giant is "saving Hollywood," positioning the company as a savior amidst the industry's ongoing challenges. Speaking at the Time100 Summit, Sarandos addressed the exodus of production from Los Angeles, the shrinking theatrical window, the declining quality of the cinema experience, and the inconsistent box office performance of many films. Despite these issues, he firmly stated, "No, we're saving Hollywood," emphasizing Netflix's role as a "very consumer-focused company" that delivers content in the way viewers prefer.

Sarandos further discussed the decline in theater attendance, suggesting that consumers are signaling a preference for watching movies at home. While he expressed personal fondness for the cinema experience, he believes it's becoming "an outmoded idea, for most people," though he acknowledged it's not a universal sentiment.

Given Sarandos's position at Netflix, it's unsurprising that he champions streaming over traditional cinema. Hollywood's struggles are well-documented, with films like "Inside Out 2" and "A Minecraft Movie" attempting to bolster the industry, while even once-reliable Marvel blockbusters face uncertain returns.

The question of whether cinema-going is outdated has been debated by other industry figures. Actor Willem Dafoe lamented the closure of theaters and the shift to home viewing, noting that the attention given to films at home differs significantly. He misses the social aspect of cinema, where movies spark discussions and shared experiences, contrasting with the more casual, fragmented viewing habits at home.

In 2022, filmmaker Steven Soderbergh discussed the future of movie theaters in the streaming era. He believes there's still an appeal to the cinematic experience and that the industry's survival depends on engaging younger audiences and convincing them to continue attending as they age. Soderbergh emphasized the importance of programming and engagement, suggesting that the allure of theaters as a destination remains strong, regardless of the timing of home releases.