Michael Fortin, once thriving in Hollywood’s golden age of streaming, is now facing the brink of homelessness for the second time. After being evicted from his Huntington Beach home, he and his wife, along with their two young children, relocated to Las Vegas, only to find themselves in a similar situation due to skyrocketing living costs.
“We were on the path to homeownership and had managed our finances wisely,” Fortin stated. “Two years ago, I didn’t think twice about spending $200 for a family dinner. Now, I’m anxious about buying a $5 meal.”
Despite thriving for over a decade thanks to the streaming boom led by major studios, Fortin’s business crumbled when Hollywood production came to a halt during the writers’ strike in May 2023. The strike saw both writers and actors unite for the first time since the 1960s, significantly disrupting film and television production. However, even after the strikes ended, production failed to revive, leading to widespread cancellations and layoffs, including recent job cuts at Paramount as it restructures for a merger.
As of August, unemployment in the film and television sector was reported at 12.5%, though many industry insiders suspect the actual number is much higher due to unreported cases of joblessness. The volume of U.S. productions fell by approximately 40% in the second quarter of 2024 compared to the previous year, reflecting a worrying trend for the industry.
Experts suggest that the streaming boom was unsustainable, and networks are now grappling with how to return to profitability without relying on traditional cable models. “The content bubble has burst,” noted industry analyst Matthew Belloni, emphasizing the crisis mentality pervasive in Hollywood as companies strive for financial viability.
In a bid to attract productions back to California, Los Angeles Mayor Karen Bass has launched a task force aimed at creating new incentives for filmmakers, pointing out that the entertainment sector is crucial for the city’s economy, contributing over $115 billion annually and providing hundreds of thousands of jobs.
After months of strikes, both writers and actors have secured new contracts to improve compensation and protect against the rise of artificial intelligence in creative roles. While some consolidation within Hollywood is inevitable, optimism remains for a resurgence in production.
As Fortin grapples with the challenges of reestablishing his drone business, which saw significant activity before the strikes, he reflects on the industry that once provided him with ample opportunities. “Hollywood gave me everything,” he said, reflecting on the stark shifts in fortune many are facing as the landscape of the entertainment industry evolves.
