The end of an era, the end of a business model, the end of the gravy train, the end of the world. There have been a lot of mixed emotions this week following the closure of Oscar-winning production company Participant, but at least the industry has come to terms with some closure.
when variety News broke on Tuesday that billionaire Jeff Skoll’s 20-year-old company would be shutting down after winning 21 Oscars and implementing a business model that prioritized social impact slightly over profits, as news broke on Tuesday that the Many of the people involved were upset. It’s not just that mid-level independent investors and producers have left the market, but what that means for the survival of films and television shows that ask important questions about justice and the future of humanity.
“The demise of Participant Media is devastating news for anyone interested in documentaries,” director Julie Cohen frankly wrote in X. She is the co-director of notable nonfiction films such as RBG, Julia, and My Name Is Pauli Murray. Participant ushered in an era of prestige documentaries with his 2006 film “An Inconvenient Truth,” about Goa’s dedication to climate action, which won an Academy Award for Best Documentary.
Dozens of industry insiders mourned the studio in Instagram Stories and group text threads, with the participants’ co-productions including “Rome,” “Spotlight,” “Murderball,” “Judas and the Black Messiah” and “Free.” I was afraid it would be gone. Today’s Hollywood is obsessed with cost-cutting and mired in a stalled streaming revolution.
“It’s very sad, but probably inevitable,” said one Hollywood executive. variety on condition of anonymity. The executive and two other top show business agents agreed that Participant’s production slowed too dramatically in the wake of the pandemic and last year’s Hollywood labor strikes.
“If you’re going to release one or two movies a year, you better blow the roof off like ‘Legends,'” said one agent, who bankrolled Denis Villeneuve’s Dune series. He said this, referring to the company that just released its latest hit movie, “Godzilla.” movie.
Participants were always busy releasing fewer than 10 theatrical films a year, but supplemented that volume with films from critically acclaimed directors like Steven Spielberg and Alfonso Cuaron. The company was first to tackle global issues such as systemic corruption, climate change, and human rights. These values permeated the corporate culture and trained a generation of executives to think beyond box office numbers.
“Since working at Participant, every time I read a script or work on a project, I can’t help but wonder if the finished show or movie will actively make the world a better place. And if the answer is no, why bother?” said one former staff member. “[They] They haven’t always succeeded in achieving their desired reach or goals, but if more media companies followed their lead and prioritized missions and products that make the world a better place, the planet would be a much different place. It will be. So Participant’s closure is a blow to all of us. ”
In a letter to staff, Skoll nods to the changing economics of how content is financed, produced and distributed, saying it’s time to reassess how we respond to the world’s most pressing issues. Stated. Some openly wonder if maybe Squall is tired of writing checks. One report suggests he may have lost up to $500 million over 20 years, comparing his reported net worth before founding Participant ($5 billion) to his current net worth ($4.5 billion). . Other industry insiders observe that activist investing has not been successful in this city, and perhaps never has been.
The folding of participants will undoubtedly raise questions about the survival of similarly sized competitors in the business. Perhaps there is a glimmer of hope for Squall’s supporters.
“The participants made a dream come true for me. I am an immigrant and I started from scratch with no industry acquaintances. They showed me that entertainment and social activities are possible.” JL Hernandez, another former employee and head of brand partnerships, wrote on LinkedIn. “It was hard. But it’s possible. The participants put me on this career track and gave me a path. But it never felt like work. Participants went home. I always say the participants are a different breed, and I’m grateful to be one of them.”
