The Economic and Cultural Impacts of Digitalization on the Film Industry

Hamza Özçifçi

doi:https://doi.org/10.54486/fivezero.2024.44

Hamza Özçifçi, Ahmet Özçiftçi

Year : 2025
Vol : 5
Issue : 1
Page : 45-58

DOI : https://doi.org/10.54486/fivezero.2024.44

Digitalization has profoundly transformed the production, distribution, and consumption processes of the film industry, giving rise to new economic and cultural dynamics. Traditional analog technologies have been replaced by digital encoding, artificial intelligence-based content recommendation systems, and online platforms, thus lowering production costs and facilitating global reach. Platforms such as Netflix, Amazon Prime, and Disney+ analyze user data to generate content in a data-driven manner, establishing what has come to be known as “platform capitalism” within the film sector. While this development offers global visibility for independent cinema, it has also introduced risks of monopolization and content standardization due to the growing economic power of major media corporations. The economic sustainability of movie theaters, especially during the pandemic, has been severely challenged by direct online distribution strategies and the shortening of theatrical release windows. Digitalization has brought both aesthetic and technical innovations to the forefront. Although artificial intelligence reduces costs and accelerates processes in screenplay development and post-production, it raises the concern that creative originality may be overshadowed by formulaic approaches. On the other hand, VR, AR, and metaverse-based technologies have the potential to redefine conventional cinematic practice by providing audiences with interactive and individualized experiences. When viewed within the broader framework of cultural industries, these advancements prompt inquiries into how artistic production will be shaped by escalating market pressures and the extent to which viewers’ perceptions of reality may be altered. In conclusion, the impacts of digitalization on the film industry are multifaceted, encompassing the future dynamics that will reconfigure production, distribution, and audience engagement.

Cite this Article As : Özçiftçi, H., & Özçiftçi, A. (2025). The economic and cultural impacts of digitalization on the film industry. Fivezero, 5(1), 45-58. https://doi.org/10.54486/fivezero.2024.42

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The Economic and Cultural Impacts of Digitalization on the Film Industry, Research Article,
2025, Vol. 5 (1)

Received : 13.03.2025, Accepted : 05.06.2025 , Published Online : 30.06.2025