Film production spending in the US has dropped significantly over the past quarter-century, falling from 74% of total budgets to just 42%. The shift reflects broader changes in global filmmaking, as studios increasingly allocate resources outside domestic markets. Industry analysts point to cost efficiencies, tax incentives, and access to diverse talent as key drivers behind this trend. For filmmakers and investors, the decline raises questions about the future of Hollywood’s economic dominance in cinema production.
Studios used to spend 74% of their film production budgets in the US 25 years ago — and they now spend 42% of it.
