What are all the defunct US Distributors of the last twenty-five years?
And what does it tell us that they went out of business?
Is media consolidation to blame for all the film distributor shut downs we’ve had so far in the 21st century?
It’s been a tough twenty five years for sure, starting off with dotcom crash, sliding into the world financial crash/debacle, the domination of the Global Streaming Platforms, and all the ramifications of COVID. Sure there was also the era of free money (hence the rise of the GSPs — and the cratering of the DVD business). And now we are entering the era of distermediation of distribution, so even more fun ahead!
And bear in mind it is by no means ONLY the distribution companies that have closed. In the cinema space, we’ve lost theaters, production companies, financiers, sales agents. Maybe one of you can build that starter list for us.
But it goes far beyond our industry. Newspapers, magazines, media companies, podcasters, radio stations, television stations. The list goes on and on.
Media consolidation is driven by shareholder capitalism, poor incentives for leadership, and the lack of the necessary government regulations needed to maintain fair competition.
Lists like this help me consider what solutions are needed for the future, and why some of these companies ran into the problems that they did.
Let me know if I missed anything will you.
The 45+ US Theatrical Distribution Companies That Have Closed in the last 25 Years
In chronological reverse order
Please note this is a work-in-progress.
1. Great Point Media (2024)
bankrupt (“On 30 July 2024, Great Point Investments Limited (the Company) was placed into liquidation by General Meeting of the shareholders. Andrew Charters, Chris Laverty and Nick Nicholson of Grant Thornton UK LLP (the Joint Liquidators) were appointed Joint Liquidators of the Company by the creditors.”)
primarily a finance company that did some distribution.
appointed administrators following the death of its founder, Jim Reeve
founded by Reeve and Robert Halmi in 2013
2. STX (2022)
financial collapse
founded by “The Waterboy” producer Robert Simonds
financial backing from investment fund TPG
In 2020, STX merged with Eros International leading to a separation and sale to the Najafi Companies in April 2022.
July 2022: STX’s domestic distribution and marketing operations were being shut down.
STX sold off significant portions of its film library to manage debt.
3. Fox 2000 Pictures (2021)
Shut down after Disney acquisition of Fox
4. Aviron Pictures (2020)
fraud / financial collapse
film production and distribution company founded in 2016 and officially launched on May 11, 2017 by William Sadleir and David Dinerstein, with the former departing from Clarius Entertainment following its bankruptcy and the latter who also founded Paramount Classics.
On May 22, 2020, Sadleir was charged with wire frauds and identity theft by financier BlackRock, who later diverted more than $75 million funds from the company and his mansion. He also transferred $1 million of COVID-19 emergency funds, which was supposed to keep Aviron staff on payroll, and eventually led to the company’s bankruptcy. Sadleir pled guilty on January 19, 2022 and was sentenced to 72 months in prison on September 9 that same year.
5. EuropaCorp FilmsUSA (2020)
initially a partnership with Relativity called RED (Relativity EuropaCorp Distribution)
Partnered with STX in 2017
Formed in 2014
6. 21th Century Fox Entertainment (2019)
Disney purchased 20th Century Fox film and TV studios, FX Networks, National Geographic Partners, and Star India for $71.3 billion
Fox Corporation (including Fox News, Fox Broadcast Network, and Fox Sports) was spun off into a separate entity and not part of the Disney acquisition.
