Key Takeaways
- The entertainment industry faced significant challenges in 2025, including a decline in shoot days in Los Angeles and the impact of artificial intelligence on jobs.
- Despite these challenges, the 2025 box office totals are expected to surpass 2024, and tax breaks for film and television projects in California have been increased to help grow jobs and keep production in the state.
- The use of artificial intelligence in Hollywood is becoming more prominent, with some studios embracing AI for certain steps of the creative process.
- The Animators Guild predicts that AI will have a significant impact on over 200,000 jobs in the industry in the coming years.
- Many creatives in the industry are continuing to work and adapt to the changing landscape, despite the challenges they face.
Introduction to the Challenges Facing the Entertainment Industry
The entertainment industry has faced numerous challenges in recent years, including the pandemic, multiple strikes, and a changing political landscape. For some, the motto was "survive until 2025," hoping that the new year would bring a sense of stability and relief. However, 2025 has not gone as planned, with Film LA reporting a 13.2% decline in shoot days in Los Angeles during the third quarter of the year compared to 2024. This decline is a significant concern for the industry, as it can have a ripple effect on the entire ecosystem, from production crews to equipment rental companies.
The Impact of Technology on the Entertainment Industry
One of the major factors contributing to the decline of the entertainment industry is the rapid advancement of technology, particularly artificial intelligence. The use of AI in Hollywood is becoming more prominent, with some studios embracing it for certain steps of the creative process. While AI can bring about efficiency and cost savings, it also poses a significant threat to jobs in the industry. The Animators Guild predicts that AI will have a significant impact on over 200,000 jobs in the coming years, which is a staggering number. This raises concerns about the future of work in the entertainment industry and the need for workers to adapt to new technologies and skills.
A Glimmer of Hope for the Entertainment Industry
Despite the challenges facing the entertainment industry, there are some positive trends that suggest the industry is not entirely doom and gloom. The 2025 box office totals are expected to surpass 2024, which is a welcome boost for the industry. Additionally, Gov. Gavin Newsom has more than doubled tax breaks for projects in the film and television industries, which should help grow jobs and keep more production in California. This move is a significant incentive for producers and studios to keep their productions in the state, which can have a positive impact on the local economy and job market.
The Resilience of Creatives in the Entertainment Industry
Heather Fink, a filmmaker who works as part of the sound crew for ABC’s hit TV show "Grey’s Anatomy," is a testament to the resilience of creatives in the entertainment industry. Despite the challenges facing the industry, Fink and many others like her are continuing to power through and keep working in a field that they love. This dedication and passion are essential for the industry to thrive, and it’s a reminder that the entertainment industry is not just about technology and numbers, but about the people who bring stories to life. Dominic Patten, the executive editor for Deadline.com, notes that change in the media landscape has remained constant for decades, and the industry has always found a way to adapt and evolve.
The Future of the Entertainment Industry
As the entertainment industry looks to the future, it’s clear that there will be both opportunities and challenges. The rise of artificial intelligence will require workers to adapt and develop new skills, but it also presents opportunities for innovation and efficiency. The increased tax breaks for film and television projects in California should help grow jobs and keep production in the state, which can have a positive impact on the local economy. While the road ahead may be uncertain, one thing is clear: the entertainment industry will continue to evolve and thrive, driven by the creativity and resilience of its workers. As the industry navigates these changes, it’s essential to prioritize the needs of workers and ensure that they have the skills and support they need to succeed in a rapidly changing landscape.
