Cinema United Chair Voices Strong Opposition to Paramount-Skydance Deal and Champions Extended Theatrical Windows
Las Vegas, NV – Cinema United chairman Michael O’Leary delivered a forceful address at CinemaCon in Las Vegas, articulating a dual-pronged strategy for the global cinema exhibition industry. O’Leary explicitly stated his organization’s unwavering opposition to the proposed merger of Paramount and Skydance, a deal that, if successful, could see further integration with Warner Bros. Discovery. He also reaffirmed Cinema United’s commitment to advocating for longer exclusive theatrical release windows, a stance that has previously drawn criticism from major studios but which he believes is crucial for the industry’s long-term health.
"We believe this transaction will be harmful to exhibition, consumers, and the entire entertainment ecosystem," O’Leary declared from the stage of the Colosseum Theater at Caesars Palace. His remarks underscored a deep-seated concern within the exhibition sector regarding market consolidation. "Further concentrating marketplace power in the hands of a smaller group of distributors that dictate the terms, windows, scheduling, screen-placement of movies, and access to historic film catalogs will have a real and lasting impact on Main Street and millions of movie fans around the world."
The annual CinemaCon convention, hosted by Cinema United, the world’s largest trade association for cinema exhibitors, serves as a critical platform for industry stakeholders to discuss prevailing trends, showcase upcoming releases, and strategize for the future. O’Leary’s address took place just hours before Warner Bros. was scheduled to unveil its slate of upcoming films to the thousands of exhibitors in attendance. The leadership of Paramount and Skydance was also slated to present their plans later that morning, placing O’Leary’s pronouncements directly in the path of their presentations.
Cinema United’s stance against the Paramount-Skydance deal stems from a broader apprehension about the increasing consolidation of media power. The potential merger, spearheaded by David Ellison, has been a subject of intense speculation and debate within Hollywood. O’Leary articulated that such concentration risks diminishing the diversity of content available to theaters and limiting the negotiating power of exhibitors, who are the frontline touchpoints for audiences.
"Unfortunately, history shows us that consolidation results in fewer films being produced for movie theaters," O’Leary added, emphasizing a recurring concern that a more concentrated market could lead to a reduction in the volume and variety of films distributed to cinemas, particularly those catering to niche or independent tastes. Cinema United plans to continue its advocacy on this front at the national level and is committed to assisting its international counterparts in addressing similar market dynamics.
The timing of O’Leary’s address was significant, following closely on the heels of a widely publicized letter penned by over 1,000 prominent figures in the entertainment industry. This letter, released the day prior, expressed "unequivocal opposition" to the potential acquisition of Warner Bros. Discovery by Paramount. The initiative was reportedly supported by a consortium of groups, including Norm Eisen’s Democracy Defenders Fund and Jane Fonda’s Committee for the First Amendment. The list of signatories reads like a who’s who of Hollywood talent, including J.J. Abrams and Denis Villeneuve, both of whom have projects being showcased at CinemaCon this year, lending significant weight to the opposition. This broad coalition highlights a growing unease among creators and industry professionals about the potential ramifications of such large-scale corporate maneuvers on the creative landscape and the broader health of the film business.
The Imperative of Extended Theatrical Windows
Beyond the merger opposition, O’Leary dedicated a significant portion of his speech to advocating for longer exclusive theatrical windows. This has been a persistent theme for Cinema United, and O’Leary himself has faced pushback from studios for his outspokenness on the matter. Last year, he called for a return to a minimum exclusive window of 45 days, a proposition that stirred considerable debate.
"I took some heat for those comments, but I believe in them even more firmly today," O’Leary stated, underscoring his conviction in the enduring value of the theatrical experience. "After six-plus years of theories and experiments devoted to proving that theatrical’s days have passed, there is a growing recognition of something we have always known – theatrical exhibition is the foundation upon which the entire entertainment industry rests, and that will never change."
O’Leary presented data to support his claims. He noted that in 2025, the average theatrical window for the top 100 films stood at 37 days, marking a modest three-day increase from the previous year. He then extrapolated the potential impact of a longer window, illustrating that if these releases had benefited from a minimum 45-day window, the overall average would have been a full two weeks longer, reaching 49 days. This projection serves as a stark reminder of the critical role exclusive exhibition periods play in driving box office performance and providing a sustained revenue stream for theatrical releases.
To further bolster his argument, O’Leary cited Disney’s performance as a prime example of the benefits of extended theatrical runs. "Look no further than our friends at Disney," he remarked. "Last year, for the 12th time in the past 15 years, they led the industry in total box office. In 2025, they were the only studio to have a movie gross over $1 billion. Disney’s average theatrical window last year – 62 days." This highlights a correlation between longer theatrical exclusivity and sustained box office success, particularly for tentpole releases that drive significant audience engagement.
O’Leary also referenced a recent opinion piece published in The New York Times by Sony Pictures chairman and CEO Tom Rothman. Rothman echoed similar concerns, writing that "too many people now think they can see any film at home, and it is killing the adult audience for movie theatres." This sentiment from a studio executive reinforces the idea that the perceived immediacy of home viewing is impacting the traditional theatrical model, particularly for older demographics who historically have been strong patrons of cinemas.
In a positive development for exhibitors, O’Leary acknowledged and applauded NBCUniversal’s recent announcement that, effective January 1st, all Universal Pictures films will adhere to a 45-day theatrical window. This move by NBCUniversal is seen as a significant step towards broader industry adoption of longer windows and a potential catalyst for other studios to follow suit.
"Taken together, these events reflect the fact that yes, windows do matter – theatrical exclusivity does matter," O’Leary concluded his remarks on the topic. "There is work to be done. Broad adoption of a window of at least 45 days, and ideally more in the Disney 60-plus day range, will energize audiences, the industry, and the box office."
Broader Implications and Industry Dynamics
The dual focus of O’Leary’s address – opposing further market consolidation and championing extended theatrical windows – reflects a pivotal moment for the film industry. The proposed Paramount-Skydance deal, if it materializes and involves Warner Bros. Discovery, would significantly reshape the competitive landscape. Such consolidation could lead to fewer independent voices in distribution and potentially a more risk-averse approach to film financing and production, impacting the diversity of content reaching audiences.
The debate over theatrical windows has been ongoing since the rise of streaming services. Studios have often argued for shorter windows to capitalize on their investment more quickly through direct-to-consumer platforms. However, exhibitors maintain that a robust theatrical run is essential for building buzz, establishing a film’s cultural impact, and ultimately maximizing its revenue potential across all platforms. The data presented by O’Leary, particularly the comparison with Disney’s success and the hypothetical impact of longer windows on overall box office averages, provides a compelling case for this argument.
The support from prominent figures in Hollywood, as evidenced by the letter opposing the Paramount-Skydance deal, suggests that concerns about market concentration are not confined to exhibition. Creators and industry professionals are increasingly vocal about the potential impact of corporate mergers on creative freedom and the overall health of the ecosystem.
The commitment from NBCUniversal to a 45-day window is a significant victory for Cinema United and a positive indicator for the future of theatrical exhibition. It suggests a growing recognition among some major players that a strong theatrical release remains a cornerstone of a successful film strategy. Whether this momentum can be sustained and expanded to encompass a broader industry consensus on window lengths will be a key development to watch in the coming months.
CinemaCon 2024 continues with presentations from various studios, offering further insights into their upcoming releases and strategic priorities. The industry remains at a crossroads, navigating the complexities of evolving consumer habits, technological advancements, and the ever-present drive for corporate growth. The pronouncements from Cinema United’s chairman serve as a strong reminder of the enduring importance of the theatrical experience and the ongoing efforts by exhibitors to preserve and strengthen its position in the global entertainment landscape. The coming year will likely see continued dialogue, negotiation, and strategic maneuvering as the industry grapples with these fundamental questions.
