{"id":1055,"date":"2026-05-30T23:08:47","date_gmt":"2026-05-30T23:08:47","guid":{"rendered":"https:\/\/relocationobserver.com\/?p=1055"},"modified":"2026-05-30T23:08:47","modified_gmt":"2026-05-30T23:08:47","slug":"michael-de-luca-warns-about-the-danger-of-hollywood-cutting-development-funds-for-original-material-if-you-cut-too-deep-your-pipeline-dries-up","status":"publish","type":"post","link":"https:\/\/relocationobserver.com\/?p=1055","title":{"rendered":"Michael De Luca Warns About the Danger of Hollywood Cutting Development Funds for Original Material: \u2018If You Cut Too Deep Your Pipeline Dries Up\u2019"},"content":{"rendered":"
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\n\tWarner Bros. Pictures chief Michael De Luca offered a master class in being a studio executive during his session Saturday at the Produced By conference hosted by the Producers Guild of America.<\/p>\n

Read more Jason Blum and James Wan Open Produced By Conference Comparing the Low-Budget Horror Boom to \u2018Edgy Movies\u2019 With a \u201970s Vibe<\/a><\/p>\n

\n\t\u201cThe North Star [is] the relentless pursuit of new talent and fresh voices, and a way to refresh the pipeline, because if you don\u2019t look for new voices and new talent, and you rely on what\u2019s worked before, innovation dies within your organization,\u201d De Luca said during a Q&A with producer Sara Murphy. \u201cIf you cut it too deep, your pipeline dries up and you don\u2019t have enough movies.\u201d<\/p>\n

\n\tDe Luca, who leads Warner Bros. Pictures alongside co-chair and CEO Pamela Abdy, sketched out the arc of his career as a movie-obsessed kid growing up in New York who realized his dream by landing an internship with New Line Cinema. De Luca compared the current moment of YouTube-bred filmmakers making noise at the box office to the vibe in the 1980s when the advent of home video created a financial boom that inspired the launch of a host of indie film companies including New Line Cinema.<\/p>\n

\n\t\u201cIn that first wave of independent companies in the \u201980s, fueled by the VHS boom you had Cannon [Pictures] and Vestron and New Line and New World \u2014 that whole explosion of independent companies,\u201d De Luca told Murphy, who produced Warner Bros.\u2019 Oscar-winning 2025 drama \u201cOne Battle After Another\u201d with director Paul Thomas Anderson. <\/p>\n

\n\tThe 1980s indie marketplace helped bring the film industry into a new era as the major studios struggled to find the pulse of culture. De Luca likened it to the dynamic in the late 1960s when major studios were making pricey musicals that flopped, while lower-budget titles such as \u201cBonnie & Clyde\u201d and \u201cEasy Rider\u201d had huge impact.<\/p>\n

\n\t\u201cBack then, as it is now, for companies big and small, your job as a [film] executive is the identification of material, development of it, the packaging of it, the marketing of it and the distribution of it to generate revenue. That\u2019s the job,\u201d De Luca said at the daylong event held on the Universal Studios lot. \u201cIt doesn\u2019t mean that under that umbrella you can\u2019t strive for artistic excellence, have integrity in the job, give people quick answers, be as tender and merciful as you can be when you have to deliver \u2018no.\u2019 \u201c<\/p>\n

\n\tDe Luca emphasized that the spirit of innovation and derring-do at New Line under chiefs Bob Shaye and Michael Lynne. He rose quickly and was named head of production at the young age of 27. De Luca reminisced about the first slate that bore his stamp. <\/p>\n

\n\t\u201cI got super-lucky in 1993 \u2014 my first slate of projects included \u2018The Mask\u2019 and \u2018Dumber and Dumber.\u2019 The second year was \u2018Seven\u2019 and a couple of other ones that worked,\u201d he said. \u201cWe didn\u2019t get to my problem years until later with \u2018The Long Kiss Goodnight\u2019 and \u2018The Island of Dr. Moreau.’\u201d<\/p>\n

\n\tDe Luca also stressed that his years as a producer in between studio gigs helped him understand where the key pressure points are that prevent creatives from doing their best work while at the same time minding the bottom line.<\/p>\n

\n\t\u201cWe developed a lot of our own material from scratch. We didn\u2019t mind hearing pitches, taking flyers on writers on producers \u2014 the kind of work that you just have to do. It\u2019s a little needle in a haystack, but you have to develop to try to get enough projects to the starting line. The goal is for every five or six projects developed, one gets a greenlight,\u201d he said. \u201cIf you\u2019re sloppy with it at a studio, you get a one out of 10 ratio sometimes. Studios are very quick to cut that development line item in the budget every year, because it is a shitload of money, and if you fuck up, you could write off $20 million or $30 million at the end of the year of movies that got developed that never got made.\u201d<\/p>\n

\n\tDe Luca avoided any direct comment on the pending merger of Paramount Skydance and Warner Bros. Discovery, a deal that has Hollywood on edge. But his remarks indicated that he has been thinking a lot about where the industry is headed and what creatives need to thrive in the era of streaming, AI and TikTok et al. He stressed that if Hollywood majors don\u2019t explore the incredible creativity that is pouring out of social media platforms, upstart firms will jump on the opportunity. The crowd at Produced By was abuzz with the news from the box office that two low-budget horror pics, Focus Features\u2019 \u201cObsession\u201d and A24\u2019s \u201cBackrooms,\u2019 are lighting up the multiplexes.<\/p>\n

\n\t\u201cEvery time the studios get afraid to invest in the development of new material or take chances on new filmmakers, you get Lionsgate, you get Summit, you get A24 you get Neon, you get MRC \u2014 the list goes on and on,\u201d De Luca said. \u201cNone of it had to happen if the studios did their jobs, and the job used to be the identification, acquisition, development, production, marketing and distribution of original movies. Every time they get afraid to take risks and just want to make sequels and IP adaptations and franchises, a whole other round of competitive companies crop up.\u201d<\/p>\n

Read more \u2018Minecraft\u2019 Sequel Gets New Title: \u2018A Minecraft Movie Squared\u2019<\/a><\/p>\n

\n\tDe Luca noted that he is impressed with the new generation of YouTube auteurs \u2014 including Kane Parsons of \u201cBackrooms\u201d and Curry Barker of \u201cObsession\u201d \u2014 who have such a strong connection and feedback loop going on with their social media followers.<\/p>\n

\n\t\u201cThey hone their craft online \u2014 Kane worked on \u2018Backrooms\u2019 for five years before the eventual movie, These filmmakers are in a dialog with their audience from the word \u2018go.\u2019 Their subscribers have direct input in each iteration of these things. By the time you get to the movie, they have like a billion test screenings,\u201d De Luca said. \u201cWe work with a lot of directors who the last thing they want to do is be sitting in a test screening in fucking Oxnard or Dallas or Phoenix and wait for that focus group to start tearing the movie to shreds. \u201cIt\u2019s the polar opposite with this new crop of filmmakers. Not that they don\u2019t have strong opinions or an artistic vision, but hey are making movies for their audience that have been subscribing to their channels for years. That\u2019s been like a proving ground, so by the time the movies come out, they\u2019re really calibrated to please that audience.\u201d<\/p>\n

\n\tStudios are adjusting to the new rhythms of marketing and promotion as dictated by the pace of social media. <\/p>\n

\n\t\u201cOne Battle After Another\u201d star Chase Infiniti got her co-star Leonardo DiCaprio to do TikTok to promote the film. \u201cI don\u2019t think any of us could have predicted, but you just can\u2019t say no Chase. She\u2019s just the best at getting getting what she wants done done,\u201d De Luca said.<\/p>\n

\n\tOf course, he acknowledged that there are pros and cons in a time when every fan has a megaphone at the ready to blast their opinion.<\/p>\n

\n\t\u201cWhen it works for you, it\u2019s a force amplifier,\u201d De Luca said. He credited none other than Tom Cruise for sparking the \u201cBarbenheimer\u201d summer in 2023 after Cruise posted a picture of himself buying tickets for Warner Bros.\u2019 \u201cBarbie\u201d and Universal\u2019s \u201cOppenheimer\u201d to show his support for moviegoing overall. <\/p>\n

\n\t\u201cThat\u2019s something that couldn\u2019t have happened 10 years ago. \u2018Barbenheimer\u2019 could not have happened without the internet. So it\u2019s been a wonderful tool,\u201d De Luca said. \u201cNow the downside is when you have something that the digital crowd mobilizes again, because it\u2019s global, it\u2019s not like you can just be able to steal a weekend because the news wasn\u2019t out that you\u2019d shit the bed until Sunday. But now it\u2019s like Friday night and your D.O.A. on Saturday morning. But it\u2019s worth the trade off for when you have something that people want to see.\u201d<\/p>\n

\n\tAmong other subjects, De Luca shared his view that the concept of \u201cIP\u201d which has taken root over the past decade is misunderstood. In his mind, \u201cIP\u201d is rooted not in pre-existing material or long-established characters but rather than human talent that creates the material. <\/p>\n

\n\t\u201cI actually think IP is talent,\u201d he said. \u201cI don\u2019t think Batman is IP. I think the artists and writers over the decades that did that comic book are the IP.\u201d<\/p>\n

\n\tDe Luca recalled having a meeting at Warner Bros. Pictures during his producing days when he was told the studio would no longer invest in new material, only sequels, Harry Potter material and DC Studios titles. That approach and the push into streaming-first exhibition during the pandemic was debilitating to the once-proud studio. It alienated the most respected filmmaker of his generation, Christopher Nolan, who worked with Warner Bros. for years but has made his last two movies at Universal. <\/p>\n

\n\t\u201cIt cost the studio Chris Nolan,\u201d he said. \u201cIt\u2019s just such a competitive environment, and filmmakers like that are so rare. You just can\u2019t fumble these balls. You have to give people the best possible experience.\u201d<\/p>\n

Read more Tom Holland Is Looking Forward to \u2018Setting Up the Next Chapter\u2019 For a New \u2018Spider-Man\u2019 Star: \u2018I Could Do What Downey Did For Me\u2019<\/a><\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Warner Bros. Pictures chief Michael De Luca warned about the repercussions of cutting spending on original material during his Q&A at Produced By.<\/p>\n","protected":false},"author":1,"featured_media":1054,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[1056,1055],"class_list":["post-1055","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-film","tag-michael-de-luca","tag-produced-by"],"yoast_head":"\nMichael De Luca Warns About the Danger of Hollywood Cutting Development Funds for Original Material: \u2018If You Cut Too Deep Your Pipeline Dries Up\u2019 - Relocation Observer<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/relocationobserver.com\/?p=1055\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Michael De Luca Warns About the Danger of Hollywood Cutting Development Funds for Original Material: \u2018If You Cut Too Deep Your Pipeline Dries Up\u2019 - Relocation Observer\" \/>\n<meta property=\"og:description\" content=\"Warner Bros. 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