Warner Bros. and HBO Max are Killing Movie Theaters. Here's Why:

It is no surprise movie theaters have struggled since the pandemic, but Warner Bros.’ recent announcement may affect them permanently.

“Wonder Woman 1984” was one of the last blockbuster films of 2020 that had an uncertainty of whether or not it would be delayed to 2021.

When its producing studio, Warner Bros., announced it would debut simultaneously in theaters and on their streaming service, HBO Max, at no extra cost to subscribers, audiences were excited they would still be able to see the movie from the safety of their home if they did not want to go to a theater or if ones in their area were closed. The plan also allowed those who prefer the theatrical experience to see it on the big screen.

Most audiences thought it was a smart decision due to COVID-19, especially surrounding public safety and the studio’s finances. However, it was unexpected that it would extend beyond one film.

On Dec. 3, the studio announced that its entire 2021 catalog, including “Dune” and “The Suicide Squad” would follow the same plan and release on both platforms.

“After considering all available options and the projected state of moviegoing throughout 2021, we came to the conclusion that this was the best way for WarnerMedia’s motion picture business to navigate the next 12 months,” said WarnerMedia CEO Jason Kilar.

The films will stay on the platform for only 31 days before being taken off and will remain in theaters until they leave and release on home video.

The problem with this decision is that the studio likely did not take into consideration the impact this could have on people wanting to go to the movies after the pandemic is over.

Streaming services have been on a rise the last few years and more companies and studios are launching their own services to compete with the competition.

Within the last year, Disney, Paramount, and Warner Bros. have joined the streaming wars and offer viewers more options to watch film and television.

People find the convenience of streaming to be beneficial, especially when services like Netflix and Amazon are releasing their own original content.

It allows them to see a lot of great movies virtually anywhere for a monthly price instead of paying for each individual film like one would at a theater.

Movie theater prices have also become more expensive, so, a family of five can end up paying roughly $50 for one night at the movies.

This likely had an impact on growing subscriptions for streaming services. The only catch is when big movies come out in theaters, it will be at least a year until they are added onto a streaming service.

However, with the recent announcement from Warner Bros., that factor is eliminated and major movies releasing in theaters will also immediately be available on HBO Max. As long as one has a subscription, which currently runs at $14.99 a month, the movies will be available.

The studio may have unintentionally unlocked the key for a service to be at the top above all the others: give access to movies for a cheaper price that audiences would otherwise have to pay and watch at a theater.

Since the announcement, HBO’s subscription numbers have risen significantly, surpassing 41 million subscribers after having 28.7 million at the end of September.

Once they see how much traffic they will get this year and how much the company is going to earn from new subscriptions, it is not believable that this plan will only be in 2021 like the studio has said.

Once that happens, other studios fill follow suit.

It will be nice if there is a new release one is hesitant about seeing and will also be beneficial to those with large families, people with disabilities, or people who simply do not like to get out.

However, the only people who will likely be going to movie theaters are those who prefer the theatrical experience and appreciate the work filmmakers put into their films to have them played best in theaters.

Unfortunately, that number is getting smaller while the streaming number is getting higher. It is simply not enough to keep movie theaters in business and they will likely die out within the next few years if HBO Max extends its plans beyond 2021.

It is sad and unexpected that a movie studio is going to be the cause for theaters’ downfall, but it is a new normal and times are changing.

Warner Bros. simply did not realize the mistake they were making when they made the decision and how many people are constantly joining and prefer streaming services.

Hopefully, they do not extend the service and keep their word that it is only for 2021 and theaters will return in full to show new blockbusters on the big screen forever.