Full Breakdown
Decline in Hollywood Production: A Comprehensive Overview
1/22/2026, 6:00:20 AM
Current State of Production in Los Angeles
The film and television production landscape in Los Angeles has experienced a significant downturn, with a reported 24 percent drop year-over-year in major scripted projects, according to data from Hollywood data provider Luminate. This decline is echoed by the non-profit FilmLA, which noted a 16.8 percent decrease in feature film shooting and a 14.7 percent decline in television shoots in 2025. Overall, the total number of shoot days in Los Angeles fell to 19,694, a stark contrast to the 36,792 days recorded just three years prior. The downturn has prompted local officials to take action, including Governor Gavin Newsom's signing of a bill to increase film and TV project incentives from $330 million to $750 million annually.
Factors Contributing to the Decline
Several factors have contributed to this decline in production. Major studios like Netflix, Paramount, and Lionsgate are establishing new production bases in states such as New Jersey, Georgia, Louisiana, and New Mexico, which offer competitive tax incentives. Additionally, the global distribution strategy of streaming services has led to a decrease in the number of films made for theatrical release, with only 112 movies projected for 2025, down from 120 in 2019. The Luminate report indicates a 12 percentage point drop in scripted features and TV projects shooting in the U.S. over five years, with Canada and the United Kingdom seeing increases in production during the same period.
Local Responses and Initiatives
In response to the production decline, Los Angeles city leaders, including Mayor Karen Bass, have emphasized the need to revitalize the local film industry. Initiatives include lowering fees for filming at iconic locations like Griffith Observatory and streamlining the permitting process for low-impact productions. The recent opening of East End Studios, a new soundstage facility in the Arts District, aims to attract more productions and support local union members and small businesses. Mayor Bass highlighted the importance of infrastructure in attracting productions, stating, "We have to make sure we have the infrastructure to attract productions."
Criticism and Opposition
Despite these efforts, some industry experts express skepticism about the effectiveness of state and local initiatives. Victor Coleman, CEO of Hudson Pacific, noted that officials have taken the industry for granted and must act quickly to remain competitive. Additionally, the default of Radford Studio Center on a $1.1 billion loan underscores the financial challenges facing legacy studios amid the production slowdown.
Verbatim Quotes
- “City leaders know that City Hall needs to be a champion for keeping entertainment production jobs right here at home,” — Karen Bass, Mayor of Los Angeles
- “It was the second-worst year in on-location filming since the pandemic,” — Denise Gutches, CEO of FilmLA
- “It’s clearly evident that they recognize they need to do more. We just hope it’s going to be enough and quickly.” — Victor Coleman, CEO of Hudson Pacific
What's Next?
As the industry navigates these challenges, the impact of increased tax credits and new production facilities will be closely monitored. The first film credits awarded in August 2025 must lead to filming within six months, with industry leaders optimistic about a potential uptick in production starting in February 2026.