Story consumption has increasingly shifted to living room screens and personal devices recently, with convenience driving strategies for how shows and movies are made and delivered. Entertainment leaders, including Netflix co-CEO Ted Sarandos, have long hailed at-home viewing as the defining trend, shaping cinema’s future. However, a new study on the latest generation reveals habits and preferences that challenge the assumptions put forward by not only the streaming giant’s executive but many like him.

The evolving viewing patterns in Generation Alpha suggest a potential shift in audience behavior, hinting at a revaluation of long-held notions about how and where stories are best experienced.

At the Times 100 Summit earlier this year, Netflix co-CEO Ted Sarandos claimed his platform was saving Hollywood when asked if the convenience of home viewing was hurting the industry. He added that Netflix delivers what consumers demand, who currently prefer not going to theaters. However, a study by Fergus Navaratnam Blair of National Research Group, discussed on The Town with Matthew Belloni, contradicted this. It showed Generation Alpha, despite constant screen access, increasingly values theatergoing for the immersive experience and face-to-face interactions with their community.

Additionally, on The Town with Matthew Belloni, Fergus Navaratnam Blair was asked whether Generation Alpha, like Gen Z and Millennials, would eventually lose interest in theatergoing as they grow up. Blair rejected the theory, stating that the trend is likely to persist, despite there being no study for a like-for-like comparison between the said generations. This insight underscores a lasting shift in how the younger audiences engage with cinema. Meanwhile, the theatergoing experience was not the only trend that the latest study challenged when it came to Hollywood.

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Generation Alpha may not only revive Hollywood and theaters but a significant movie studio as well. 

On The Town, Matt Belloni highlighted the movies and franchises that capture Generation Alpha’s attention, noting that many Marvel Studios offerings, such as Avengers and the Spider-Man universe, continue to resonate strongly with the younger audiences. Despite widespread discussions about superhero fatigue among the previous generations, these films maintain significant appeal. The findings suggest that big-budget cinematic spectacles still hold cultural relevance, transcending eras even in a time dominated by streaming and digital content.

As Generation Alpha redefines audience habits, the tension between Hollywood and streaming becomes more pronounced. Theatrical experiences may be reclaiming their cultural significance, proving that big screens still hold unmatched appeal. At the same time, streaming platforms are challenged to innovate beyond convenience, adapting to a generation that values spectacle, social interaction, and immersive storytelling. Actors like Brendan Fraser are also embracing this dual landscape, welcoming the streaming challenge while still agreeing that the cinema’s communal magic remains an irreplaceable force in the evolving future of entertainment.

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What do you think about the streaming versus Hollywood debate? Do let us know in the comments.