LOS ANGELES: AT&T Inc’s Warner Bros studio on Thursday introduced that it’ll make all of its 2021 movies obtainable in theaters and on the HBO Max streaming service beginning on the identical day, an unprecedented shift in response to the coronavirus pandemic that sank shares of movie show operators.
The films, that are anticipated to incorporate “Godzilla vs. Kong” and “Mortal Kombat,” will likely be obtainable on HBO Max for one month beginning on the identical day they debut in cinemas, the studio stated in a press release.
Other upcoming films affected embody “The Suicide Squad,” a brand new model of “Dune” and a “Matrix” sequel.
Studios have been pushing to make their films obtainable in residing rooms before the everyday timeline of roughly 90 days after they debut in cinemas. Theaters have lengthy resisted that concept.
Shares of AMC Entertainment , the world’s largest theater operator, fell 12%. Rival movie show operator Cinemark’s shares dropped 10%.
Warner Bros executives stated the technique can be in place for one 12 months and was a response to the distinctive challenges posed by the COVID-19 pandemic, which has pressured many theaters to stay closed.
“No one wants films back on the big screen more than we do,” stated Ann Sarnoff, chair and CEO of WarnerMedia Studios and Networks Group.
“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.”
Cineworld, proprietor of the U.S. Regal cinema chain, secured a further $750 million in funding on Monday to cushion itself in opposition to the affect of the coronavirus because it goals to reopen subsequent 12 months.
While U.S. rival AMC has stored its doorways open with sufficient money till early 2021, Cineworld’s base case situation assumes it has sufficient cash if it reopens its venues by subsequent May.
Cinemark struck a deal final month that can enable Universal Pictures to supply its films in U.S. properties as quickly as 17 days after they debut in theaters. The multi-year settlement is just like one which Comcast-owned Universal made in July with AMC.