'The Pitt' star Noah Wyle and IATSE president Matt Loeb testified at a hearing over a federal tax incentive and the Paramount, Warner Bros. Discovery merger.

A few numbers to consider when thinking about the current state of Hollywood: Nearly half of all film and scripted series shot outside the United States last year; Los Angeles County lost more than 42,000 entertainment jobs from 2022 to 2024; and Paramount Skydance and Warner Bros. Discovery made just 15 theatrical movies combined that filmed in the country over the last two years.

The narrative that the U.S. is losing its grip as the production capital of the world took centerstage at a hearing on Friday in Burbank City Hall convened by Sen. Adam Schiff, who’s looking to build support for a federal tax incentive to bring jobs back stateside. “The urgency cannot be greater,” he said, before proceeding to call out “unprecedented consolidation” in Hollywood as Paramount Skydance looks to acquire Warner Bros.

While the hearing was representative of the many issues plaguing the entertainment industry and Los Angeles-based film community, it also highlighted the lack of clarity and urgency by the federal government, state and city in how to address them. For years, observers have been ringing alarm bells of consolidation in Hollywood and the flight of productions to other countries for more generous filming subsidies. Workers in the industry, particularly those in L.A., are now paying the price.

“We’re always reacting,” said Rep. Lou Correa. “We’re not ahead of curve here. It’s going to hurt us.”

The Source: https://www.hollywoodreporter.com/business/business-news/schiff-production-town-hall-burbank-1236542924/