Strikes threaten more setbacks for Hollywood amid a summer of flops at the box office

For Hollywood, 2023 will be remembered as a cruel summer, a dead reckoning of a different kind. That's because bad news has piled up, highlighting a reshaping of the entertainment industry that has fueled uncertainty and triggered eruptions in labor unrest.

Twin strikes by the guilds representing writers and now actors - the first time that's happened since Ronald Reagan was president of the Screen Actors Guild in 1960 - reflect how the technological shift toward streaming, diluting traditional television, has unsettled business models and the workers that rely on them.

Add to that consumers who have grown increasingly accustomed to watching movies at home, which has combined with the lingering effects of the Covid pandemic to result in major disappointments at the box office.

The summer's ostentatious setbacks for studios have included "The Flash" (released by Warner Bros., like CNN, a unit of Warner Bros. Discovery), Disney's "Indiana Jones and the Dial of Destiny" and the Pixar movie "Elemental." Even Tom Cruise, who seemingly rescued the theatrical business with the blockbuster success of "Top Gun: Maverick," might not be immune, though the jury remains out on how many will accept an invitation to watch "Mission: Impossible - Dead Reckoning, Part One" on big screens.

The disruptions can also be seen in television, where, as Variety reported, the upfront marketplace - during which networks secure billions of dollars in advertising commitments - has been underwhelming, adding to the ongoing struggles of linear broadcast and cable networks.

With more consumers cutting the cord on cable or satellite subscriptions for a la carte options, even ESPN, the sports giant, has implemented significant cuts to its roster of on-air talent.

As for streaming, what was once seen as the entertainment industry's savior, especially during the pandemic, has continued to be profit-challenged because of the billions invested in programming. As a result, some streaming services have been thinning their rosters of available material (so long, "peak TV"), which risks giving consumers less incentive to subscribe.