"Netflix CEO: Theater Visits Outdated, Saving Hollywood"

Netflix CEO Ted Sarandos has boldly proclaimed that the streaming giant is "saving Hollywood," and he views the traditional practice of theatergoing as "an outmoded idea for most people." Speaking at the Time100 Summit, Sarandos defended Netflix's role amidst the exodus of production from Los Angeles, the shrinking theatrical window, the declining quality of the cinema experience, and inconsistent box office performances. He emphasized Netflix's commitment to its consumers, stating, "No, we’re saving Hollywood," and highlighted the company's focus on delivering content in the most convenient way for viewers. "We deliver the program to you in a way you want to watch it," he added.

Addressing the slump in cinema attendance, Sarandos rhetorically asked, "What is the consumer trying to tell us? That they’d like to watch movies at home." Despite his personal appreciation for the theater experience, he believes it's becoming outdated for the majority. "I believe it is an outmoded idea, for most people," he clarified, "Not for everybody."

Given Sarandos's position at the helm of a leading streaming service, it's understandable that he would advocate for streaming over traditional cinema-going. Hollywood's current challenges are evident, with films like "Inside Out 2" and adaptations like "A Minecraft Movie" buoying the industry, while even Marvel's once-reliable blockbuster hits are now unpredictable.

The question remains: Is the traditional movie theater experience becoming outdated? Last year, actor Willem Dafoe expressed concerns about the shift to home viewing, which he finds "tragic" due to the difference in audience attention. He lamented the loss of the communal and social aspects of cinema-going. "More difficult movies, more challenging movies can not do as well, when you don’t have an audience that’s really paying attention. That’s a big thing. I miss the social thing of where movies fit in the world. You go see a movie, you go out to dinner, you talk about it later, and that spreads out. People now go home, they say, ‘Hey, honey, let’s watch something stupid tonight,’ and they flip through and they watch five minutes of 10 movies, and they say, forget it, let’s go to bed. Where’s that discourse found?"

In 2022, filmmaker Steven Soderbergh shared his perspective on the future of movie theaters, suggesting there is "still an appeal" to the cinematic experience. He believes the key to sustaining theater attendance lies in engaging younger audiences as they age. Soderbergh, known for the "Ocean's Eleven" series, emphasized the importance of thoughtful programming and audience engagement to keep cinemas thriving. "I think people still want to go out," he noted, affirming the allure of movie theaters as a destination. "There's still an appeal to seeing a movie in a movie theater. It's still a great destination. And it really depends, I think, on our ability to attract, to convince the older audiences to continue to come out [...] It has nothing to do with windowing [the term for the amount of time left between theater and home releases]."