As Hollywood celebrities graced the red carpet in early January, a prevailing concern cast a shadow over the glitz and glamour: Hollywood is currently experiencing a significant downturn.

Seventeen industry insiders, encompassing entertainment executives, agents, and bankers, have conveyed their perspectives to Reuters, collectively illustrating a shifting landscape in the television and film industries.

From a decrease in the number of original series and movies to heightened scrutiny of budgets and increasing pressure on cinema profits, decision-makers acknowledge that the entertainment sector is adjusting to challenging economic conditions.

Prominent Contraction “The onset of a significant contraction is evident,” remarked an anonymous veteran television executive. “I foresee a noticeable reduction in both the quantity of content and the expenditure on content.”

The ongoing contraction will take centre stage as companies such as Walt Disney (DIS.N), Warner Bros Discovery (WBD.O), and Fox unveil their quarterly results this month.