For many years, people calling the National Association of Theatre Owners (NATO) in Washington D.C. often asked about military matters due to its similar name with NATO (North Atlantic Treaty Organization). Since the town is known for using acronyms, the mix-up was easy. However, all confusion came to an end in early March when the association’s president and CEO, Michael O’Leary, announced a new name: Cinema United.
The board’s move by the organization to break with past customs signifies O’Leary’s endeavor to map out a fresh direction for the globe’s largest cinema owners trade association in the wake of the pandemic. He is keen on presenting an optimistic viewpoint regarding the current moviegoing experience, despite the fact that the box office hasn’t fully rebounded yet.
The clear showcase of messaging will occur during the 2025 iteration of CinemaCon, an event organized by the freshly appointed Cinema United, which gathers exhibitors and Hollywood studios at Caesars Palace in Las Vegas between March 31 and April 3.
Amid another slump at the box office, CinemaCon arrives with the movie industry facing another challenge. Just a month ago, the year-to-date domestic earnings were over 20% higher compared to 2024. However, a decline has resurfaced due to a persistent scarcity of movies caused by the ongoing pandemic and strikes. Theaters have been dealing with this issue for five years ever since COVID-19 forced closures worldwide, and the effects are still being felt. Similarly, the impact from the writers’ and actors’ strikes in 2023 persists. As of March 23, revenue has dropped by 7% compared to the same period in 2024. Now more than ever, the movie business is a gamble where it’s either a hit or miss.
On a bright side, Sony is coming back to showcase its upcoming movies at CinemaCon this year, having skipped it last time. Interestingly, Amazon MGM Studios, now the creative hub for the James Bond series, will be making their first appearance on stage at the Colosseum Theatre. This means that there will be more major studio presentations at CinemaCon than there were in 2018, since 20th Century Fox merged with Disney in 2019 and ceased using the “Fox” name.
After two years in the role, O’Leary discussed his campaign to modify NATO’s name and shared his broader objectives with The Hollywood Reporter, prior to the upcoming event. For the first time, he expressed worries about compressed deadlines (it’s possible he may bring up these concerns during his annual state-of-the union address). Since the organization is unable to negotiate deadlines due to antitrust issues – that responsibility lies with individual studios – O’Leary can nonetheless express his views on this matter.
Why the name change from NATO to Cinema United after so many decades?
In the bustling city of Washington, you’ll find countless trade groups with abbreviated names. We aimed for something distinctive, reflective of our specific sector, and evocative not of a trade organization, but rather of stepping into a cinema.
How much confusion did the name cause over the years?
Mostly, it was quite jovial. We often joked about being known as the “fun-loving” NATO. However, there’s no denying that a sense of intricacy arises when dealing with a multinational military alliance. At a certain stage, we yearned for our unique identity. We desired to be distinguished by our name. Additionally, receiving mail addressed to NATO wasn’t always something we welcomed!
During the pandemic period, the time a movie needed to be shown exclusively in theaters has significantly reduced. Instead of at least 74 days, some films are now only required to play for as little as 17 days, while others have a window of around 31 days. Disney continues to adhere to approximately 60 days, while other studios are opting for 40 to 45 days. What are your thoughts on this change in theatrical windows?
Presently, there’s a great deal of ambiguity surrounding release dates for movies, leading to perplexity among fans. They are unsure whether a movie will be available for home viewing in two weeks or six weeks. This confusion impacts both the distribution and exhibition sectors, as we’re essentially eating into each other’s markets. As things are returning to normal post-pandemic, it’s crucial to establish a system that offers certainty for viewers and exhibitors alike. We seem to be holding onto pandemic-era policies that may not be as relevant now. I strongly advocate for collaboration to determine an optimal structure for the future that benefits both distribution and exhibition.
Does 45 days, or 60 days, sit well with you?
It’s certainly preferable to what we have right now.
Are you worried in particular about indie circuits?
It’s clear that everyone has this issue, but it’s especially challenging for smaller film circuits that might not have the opportunity to screen a new movie immediately upon its release. These theaters aim to provide entertainment for their local communities, yet they face a situation where movies are moving into Premium Video on Demand (PVOD) windows just as they get a chance to screen them. It’s crucial to find more effective methods for distributing films to independent theaters because they play such an integral role in our industry, not just economically but culturally as well. I recently visited some small independent theaters in Montana where I grew up, and they cater to communities over wide areas. We don’t want to create ‘movie deserts’ based on geographical location, where the films you can watch depend on where you live.
This year, Amazon MGM Studios is set to debut their inaugural presentation, happening live on stage at the Colosseum in Caesars Palace.
We’re open to collaborating with anyone who shares our passion for theatrical exhibitions, and we take our dedication to this cause very seriously.
We’re seeing the another topsy-turvy time at the box office. Are your members nervous?
It appears that our team members are optimistic about our future and our current trajectory. One point I’ve made on various occasions is that our sector often has a competitive nature, similar to a horse race. This can sometimes lead to disadvantages for everyone within the industry because we frequently compare weekends to the same weekends from the previous year.
I believe we’re moving along the correct path. People often inquire about my projections for the current year. I don’t focus on each year individually, though. It’s more like watching the stock market. If you check it every half an hour, you’ll feel uneasy. But if you take a long-term perspective, your viewpoint changes. That’s essentially how I approach things.
What was your preferred choice among the names that you and the executive board have come up with as a replacement for NATO over the past year?
We solicited creative thoughts from all our associates. Since some contributions were made anonymously, I can’t identify who, but one individual proposed a humorous idea: they suggested that the other NATO organization should consider a name change. It’s worth mentioning that we’ve always been known as the ‘fun-loving NATO.’
An adaptation of this tale was published in the March 19 edition of The Hollywood Reporter magazine. If you’d like to receive regular updates, consider subscribing here.
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2025-03-25 18:55