Paramount Skydance CEO David Ellison reiterated his theatrical-first strategy during a first quarter earnings call this week, restating his pledge that the combined studios Paramount and Warner Bros. will release a minimum of 30 films every year to theatres. Ellison argued the target is readily achievable based on the companies’ existing IP and production pipelines. At current production levels, both Paramount and Warner Bros. are each on track to release 15 films in 2026. The comments came as Paramount-Skydance reported stronger than expected quarterly earnings driven largely by streaming growth and cost cutting initiatives.
Ellison’s repeated commitment to 30 annual theatrical releases has become one of the most closely watched promises in Hollywood, because a steady stream of new releases is essential to support the industry and because there is no modern precedent for a single studio sustaining that level of output. Prior to the pandemic, the biggest Hollywood studios released around 18–22 new wide releases each year, with the cumulative costs of production and marketing making larger slates difficult to support. Ellison, however, has positioned theatrical volume as central to PSKY’s long-term strategy, pledging at this year’s CinemaCon conference that the merged company would pump out a high volume of new releases with a minimum of 45 days of exclusivity for theatres. While some are praising Ellison’s stated direction, others are skeptical about his commitment and ability to follow through on these promises over time. A large number of exhibitors and talent have come out in opposition to the high-stakes merger, explaining the likely negative impact it will have on theatres, production workers and consumers.
