Paramount is canceling the theatrical release of all movies due to the outbreak of the coronavirus, in order to prevent people from gathering in large groups at movie theaters. The movie studio recently decided to release its new romantic comedy film, 'The Lovebirds,' on the Netflix platform instead of having a theatrical release.
The decision to suspend theatrical releases will help to stop the spread of the virus, additionally, many consumers are choosing to stay home, which means that standard theatrical releases could have been unsuccessful even if they were open.
Paramount's decision to release films on Netflix will also ensure that people can still watch the films they want. New releases on Netflix may also benefit from the number of people looking for content to consume while at home.
Streaming Platform Movie Releases
Paramount Will Suspend the Theatrical Release of New Movies
Trend Themes
1. Streaming Movie Releases on Platforms - The shift towards releasing movies on streaming platforms due to COVID-19 could create a permanent trend in the film industry that offers opportunities for new streaming platforms to compete with established providers.
2. At-home Entertainment - COVID-19 is accelerating the trend towards at-home entertainment, possibly resulting in a further increase in the number of consumers willing to pay for premium content and services.
3. Changes in Film Distribution Models - The pandemic may cause a permanent shift in film distribution models by studios and may lead to more studios partnering with streaming services rather than relying solely on theatrical releases.
Industry Implications
1. Movie Streaming Platforms - Movie streaming platforms have a unique opportunity to grow their consumer base, especially with new releases shifting away from the theatrical model towards streaming releases.
2. Home Entertainment Products - Companies that create home entertainment products such as televisions, sound systems and other media devices could see increased demand from consumers looking for a more immersive viewing experience from home.
3. Film and Studio Production Businesses - The pandemic could necessitate changes to the business models and practices of production companies and studios as they reconsider how they release and promote their products.