Warner Bros. is in the process of reevaluating its theatrical release model due to the ongoing coronavirus pandemic. Since mid-March, the rapid spread of the virus has taken a major toll on the entertainment industry. Not only have many upcoming movies delayed their releases, but movie theaters have taken to closing down as well. Although some of these theaters are hoping to reopen in July, it's a decision that seems unlikely at the moment considering how unpredictable and long-lasting the virus has shown to be.

With many states initiating stay-at-home orders and encouraging social distancing, some studios have taken to releasing their theatrical releases directly to digital and streaming instead. Universal and Disney were the first to make this transition, with the former even finding some success in it with their most recent release, Trolls World Tour, making $50 million in VOD sales. Now, more studios are debating jumping on this bandwagon as the odds of movie theaters reopening anytime soon don't appear in their favor at the moment.

According to Deadline, AT&T COO John Stankey exclaimed that WarnerMedia is "rethinking the theatrical model" due to the ongoing pandemic. During the earnings call, he went on to discuss how he's "not very optimistic" about theaters reopening this summer, adding in that "the formation of consumer confidence, not just about going to movies, just in general about being back out in public" is something they're keeping an eye on. Although Stankey doesn't currently have a plan in motion for Warner Bros.'s future releases and a new release model, emphasizing that "the theater business is an incredibly stressed business," he did finish the earnings call on a positive note. He praised the world of streaming, adding that they "were right about the streaming model and HBO Max [...] streaming to all demographics is in high demand."


Recently, WarnerMedia set an official release date for their new streaming service, HBO Max, for May 27. The solidified date is slotted at the perfect time for those who are self-quarantined, offering up over 10,000 hours of programming for subscribers at a monthly price of $14.99. It also includes a wide variety of content, ranging from every season of Friends and The Big Bang Theory to an abundance of original shows and films. The company also recently rearranged 8 upcoming release dates for major films due to the coronavirus, including The Sopranos prequel film, Shazam 2, The Flash, and The Batman.

The coronavirus has prompted a number of companies to reevaluate their business plans, so it makes sense why Warner Bros. is taking a step back and looking at how the virus will impact the entertainment industry in the long run. Having HBO Max at their disposal is a great option for them moving forward, but the straight-to-digital option could also be a beneficial transition, which they recently ended up doing with Scoob!. Considering how Universal and Disney have found success with it during this unpredictable time, it could work for them as well.