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Where We Watch Movies

Experts and kids debate the business of watching movies

By Jennifer Marino Walters
From the September 2021 Issue

Learning Objective: Students will use area models to multiply multidigit numbers related to the cost of watching movies.

Lexile: 780L; 610L


Picture this: You see a trailer for a new movie, and you can’t wait to watch it. Until last year, you would have had to go to a movie theater to see it right away. That’s because movie studios and theaters had agreements—new films could be played only in cinemas for 90 days before they could be released for home viewing. 

As streaming services such as Netflix and Disney+ gained popularity, studios tried to shorten the 90-day window. But theater owners resisted. They feared people wouldn’t buy movie tickets if they could watch films at home for less money.  

Imagine you see a trailer for a new movie. You can’t wait to watch the movie. But you can’t see it right away. You have to go to a movie theater. That was how people watched new movies until last year. That’s because movie studios had agreements with movie theaters. Movies could not be viewed at home until 90 days after their release. Movies could be played only in movie theaters for those first 90 days.

Streaming services such as Netflix and Disney+ became popular. Studios tried to shorten the 90-day window. But theater owners resisted. They were afraid that people wouldn’t buy movie tickets. The theater owners thought everyone would watch films at home for less money. 

In March 2020, everything changed. Theaters closed in response to the Covid-19 pandemic. Studios delayed the release of new movies. As the pandemic wore on, some studios changed their policies. They started releasing some films to streaming services. In many cases, the decision paid off. 

Take Trolls World Tour, for example. It released digitally in April 2020 for a $19.99 rental fee. In only three weeks, it earned nearly $100 million! That’s more than the first Trolls film made over five months in theaters. 

Everything changed in March 2020. The Covid-19 pandemic made movie theaters close. Studios delayed the release of new movies. The pandemic lasted a long time. So some studios changed their policies. The studios released some movies to streaming services. That was a good business decision for most movie studios.

Trolls World Tour is one example. The movie was released digitally in April 2020. It cost $19.99 to rent the movie. Trolls World Tour earned nearly $100 million in only three weeks! That’s more than the first Trolls film made during five months in theaters.

Now, experts say movie-release plans have likely changed for good. “Some studios have announced plans for 30- to 45-day windows,” says Shawn Robbins, an entertainment analyst. 

But theaters may not become totally extinct! “Theaters have stood the test of time,” says Robbins. “They are a vital part of pop culture.” 

Experts say movie-release plans have likely changed for good. “Some studios have announced plans for 30- to 45-day windows,” says Shawn Robbins. Robbins is an entertainment analyst.

But theaters may not be gone forever! “Theaters have stood the test of time,” says Robbins. “They are a vital part of pop culture.”

Debate!

Do you prefer to watch new movies at home or in a theater?

Do you prefer to watch new movies at home or in a theater?

Home

Courtesy of Magdalena RW Steiner

Lily Steiner

I’d rather watch a movie at home because I can pause it whenever I want to. Plus, I don’t need to pay a lot of money for snacks! —Lilly Steiner, Virginia

I’d rather watch a movie at home because I can pause it whenever I want to. Plus, I don’t need to pay a lot of money for snacks! —Lilly Steiner, Virginia

Theater

Courtesy of Marika Booth

Dylan Booth

I prefer the movie theater because the screen is huge compared to our TV at home. I can also get a load of candy and popcorn! —Dylan Booth, California

I prefer the movie theater because the screen is huge compared to our TV at home. I can also get a load of candy and popcorn! —Dylan Booth, California

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Now You Try It

On a separate sheet of paper, use area models to multiply multidigit numbers. 

On a separate sheet of paper, use area models to multiply multidigit numbers. 

A. The average U.S. movie ticket was about $9 in 2019. How much would a family of 5 have spent to watch one movie? 

B. If that family saw 1 movie per month in the theater, how much would they have spent over the course of 12 months? 

A. The average U.S. movie ticket was about $9 in 2019. How much would a family of 5 have spent to watch one movie? 

B. If that family saw 1 movie per month in the theater, how much would they have spent over the course of 12 months? 

A premium Netflix subscription costs $18 per month. If a family subscribes to Netflix for 24 months, how much money will they spend in total?

A premium Netflix subscription costs $18 per month. If a family subscribes to Netflix for 24 months, how much money will they spend in total?

Raya and the Last Dragon initially released on Disney+ for $30. If 52 families from one neighborhood rented it on its first night, how much did the neighborhood spend in total? 

Raya and the Last Dragon initially released on Disney+ for $30. If 52 families from one neighborhood rented it on its first night, how much did the neighborhood spend in total? 

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