The Big Five

What Do the Big Studios Have in Common? 

To start, they’re all over 100 years old. Which means that they’ve weathered every disruption from television and VHS to DVDs, streaming, and even Covid. But today, with shrinking margins, mounting financial risks, relentless pressure to stay relevant, mega-mergers, and plenty of uncertainty, one thing is clear: Hollywood’s biggest studios are struggling. 

Disney’s Gen Z Gamble 

Disney studios have been urging Hollywood creators to pitch original films aimed at young men (13–28) that a group study shows is harder to reach thanks to gaming habits and pandemic-era isolation. So despite Bob Iger’s Mickey Mouse Strategy (remakes, reboots, sequels), Disney isn’t just leaning on franchises, it wants fresh concepts to lure young men back to theaters (Variety). 

Universal Bets on Re-releases 

Universal’s Focus Features has been leaning heavily on rereleases like Pride & Prejudice (2005) and Brokeback Mountain (2005). Pride & Prejudice alone brought in over $6 million on rerelease, about 16% of its original domestic haul (The New York Times). The studio has 12 rereleases slated for 2025, up from just 4 in 2024. Executives say repertory films are not only fun for audiences but also good business. Analysts add that studios are short on fresh content, making low-cost “anniversary” editions and 4K upgrades an easy win for theaters and studios alike. 

Warner Bros. Discovery Rides Box Office Boom 

Warner Bros. Discovery reported a Q2 revenue of $9.8 billion, with net income hitting $1.6 billion, a sharp turnaround from last year’s loss. The studio drove the gains, delivering $3.8 billion in revenue (up 55%) thanks to box office hits Minecraft and Sinners, plus a boost from TV renewals. Streaming continues its steady growth, while linear TV remains under pressure (THR). 

Paramount Faces Post-Merger Layoffs 

Paramount employees are bracing for major cuts this fall. Following the studio’s merger with Skydance Media, insiders say new president Jeff Shell has instructed managers to prepare layoff kill lists with final decisions due in October. The sweeping cuts, expected to save over $2 billion, are slated to hit in early November, impacting staff across Paramount Pictures, CBS, MTV, and Showtime (New York Post). 

Sony Pictures Gets a TV Boost 

Sony Pictures posted strong gains in operating income this quarter, up 76%, thanks largely to increased deliveries from its television division. That growth helped offset a $175 million year-over-year drop in motion pictures revenue. The studio did get a lift from its film library, though licensing revenue from older TV shows declined (Variety). 

Flexibility Is Key 

If the big five are struggling, it is safe to say that everybody else is. At Malin Entertainment, we operate on the principle of impermanence, knowing that this industry will never stop evolving. That’s why every strategy, from development to sales, is built on flexibility. Because in Hollywood, if you can’t bend, you break. 

We are here for you! Don’t hesitate to reach out. 

Laura 

PS: Do you want to better understand the entertainment market? Check out our new book “The New Era of Entertainment”!