From bump to slump: is the Oscars worth it?

The Academy of Motion Picture Arts and Sciences was launched by studios in 1927 to break the Hollywood unions. In 1929, it created its awards to claim respectability after various scandals prompted calls for boycotts. So Oscars night has always been about money. But this once reliable revenue and ratings generator is becoming less relevant in a world of streaming platforms. Until recently, the Academy Awards were a moneymaker for studios, boosting hype and ticket sales at the cinema. In 2020, the Oscars bump generated a combined $201 million for nominated films. By 2023, that had fallen to $82 million, most of which came through Avatar: the Way of Water. The Academy reportedly spends around $57 million on the Oscars ceremony, but it’s increasingly looking like a poor investment.