Strictly Business Cinema United Chief Michael O’Leary on Why Exhibitors Fear Netflix Buying Warner Bros. and Why Gen Z Might Save Moviegoing
Dec 12, 2025
Michael O’Leary, President and CEO of Cinema United, discusses the potential impact of Netflix acquiring Warner Bros. and its implications for movie exhibitors. He outlines fears regarding reduced theatrical releases stemming from consolidation, sharing cautionary tales from the Disney-Fox deal. O'Leary highlights the importance of marketing mid-tier films and emphasizes rising engagement from Gen Z audiences. He also details substantial reinvestments in U.S. theaters and their critical role in local communities, advocating for a balance between premium formats and broad access.
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Consolidation Cuts Theatrical Output
- Studio consolidations historically reduce theatrical output and box office revenue.
- Cinema United fears a Netflix acquisition could cut theatrical titles even more due to Netflix's antipathy toward long windows.
Shrinking Windows Change Expectations
- Shrinking release windows are changing consumer expectations about home availability.
- Up to 26% of moviegoers believe films reach home faster than they actually do, which hurts theater demand.
Push For A Reliable Theatrical Window
- Demand consistent theatrical slates and a reliable exclusivity period to restore consumer confidence.
- Michael O'Leary recommends at least a 45-day theatrical window and marketing scaled to each film.