Matt Damon explains the economic calculations behind making movies now that the streaming services have replaced DVDs.
It used to be that when a movie came out on DVD it was similar to a completely new release of the movie and there was a time lag between the theater release and the DVD release. That time lag helped to fill up theaters because people wanted to see the movie and not wait for the DVD release.
So why hasn’t the licensing from streaming services replace the revenue lost by DVD sales? The streaming services don’t charge nearly what millions of people paid for buying DVDs.