Is the decline of movie theatres primarily caused by streaming?
Yes
Streaming has fundamentally altered audience behaviour in ways movie theatres cannot realistically compete with. Platforms like Netflix, Disney+, and Prime Video have trained consumers to expect instant access, low cost, and at-home convenience. During and after the pandemic, audiences became accustomed to watching new releases at home, often within weeks or even days of theatrical release. Films such as Black Widow and Dune demonstrated that simultaneous or near-simultaneous streaming releases permanently changed expectations.
The traditional cinema model relies on exclusivity and habit, both of which streaming has eroded. Rising ticket prices, premium formats, and long runtimes further discourage casual viewers. While cinemas still succeed with event films like Barbie or Oppenheimer, mid-budget and adult-oriented films increasingly bypass theatres altogether. Streaming hasn’t just competed with cinemas; it has replaced the need for them in everyday viewing
No
Blaming streaming for the decline of movie theatres oversimplifies a much deeper problem. Cinemas were already losing audiences long before Netflix became dominant, due to rising ticket prices, limited film variety, poor theatrical experiences, and a growing focus on franchise blockbusters. Streaming succeeded not because it destroyed cinemas, but because theatres failed to adapt to changing consumer expectations.
Audiences have shown they will still turn out when the theatrical experience feels meaningful, as seen with Avatar: The Way of Water, Barbie, Oppenheimer, and Spider-Man: No Way Home. The issue is not streaming, but inconsistent quality, reduced release diversity, and the disappearance of mid-range films from cinemas. Streaming filled a gap that the industry created. If theatres offered better value, comfort, and programming, they would remain competitive regardless of streaming’s rise
