The conventional wisdom isn’t quite unanimous on just how financially damaging the strikes were that paralyzed the entertainment industry in 2023.
Earlier this week, the UCLA Anderson Forecast projected a loss as low as $1.4 billion, a stark contrast to the $3 billion–$6 billion range often cited.
The smaller estimates consider industry restructuring over the years, reduced content output, and preexisting downward trends.
The 2007-08 writers strike led to content stockpiling, unlike in 2023 when trends showed less stockpiling due to industry scaling back after the pandemic.
Comparing Hollywood’s 2023 performance to 2022, a year with a surge in content, leads to inflated figures, while pre-COVID years are inaccurate due to industry changes.
Nickelsburg suggests comparing 2023 with pre-strike trends for a more accurate assessment of the impact.
The report emphasizes that findings are speculative, and it’s early to definitively know the strikes’ toll on Hollywood’s economy.
Nickelsburg had a conservative take during the 2007-08 writers strike, underestimating the impact compared to post-strike reports.
The true impact of the strikes on Hollywood’s economy will become clearer over the next few years.
