Matt Damon Reveals Why Hollywood’s Current Direction Has Him Feeling “Depressed”

In a candid discussion that has resonated deeply with film enthusiasts and industry insiders alike, Matt Damon has opened up about the shifting landscape of Hollywood, admitting that the current trajectory of the movie business leaves him feeling somewhat despondent. The Academy Award-winning actor and screenwriter recently dissected exactly why the types of movies that launched his career—mid-budget dramas, character studies, and risky original scripts—are becoming an endangered species. According to Damon, the root of the problem isn’t a lack of creativity, but the complete collapse of a financial safety net that studios relied on for decades: the DVD market.

For nearly thirty years, Damon has been a fixture in cinema, witnessing the golden age of physical media and its subsequent decline. He explains that in the 1990s and early 2000s, a film didn’t need to be a massive blockbuster during its theatrical run to be considered a financial success. Studios could greenlight a project with a modest budget, knowing that even if it underperformed at the box office, the inevitable DVD release would generate a massive second wave of revenue. This “second opening” allowed executives to take chances on complex, adult-oriented stories without fearing a total loss.

Damon breaks down the math that used to govern Hollywood, offering a rare glimpse into the “boring” financial reality that dictates what we see on screen. He notes that if a movie cost $25 million to make, the studio would spend another $25 million on marketing, bringing the total investment to $50 million. Because movie theaters keep roughly half of the ticket sales, that film would need to gross $100 million at the box office just to break even. In today’s market, hitting that number with a courtroom drama or a subtle thriller is a Herculean task, making such projects incredibly risky.

However, in the era of physical media, that risk was mitigated. Damon points out that studios could bank on millions of dollars in DVD sales and rentals pouring in six months after the theatrical release. This guaranteed revenue stream meant that a film could break even in theaters and become highly profitable later, or even flop in theaters and still make its money back on home video. That financial cushion gave filmmakers the freedom to tell darker, weirder, or more personal stories.

With the rise of streaming services, that business model has been obliterated. The “long tail” of DVD revenue has been replaced by subscription models where the value of an individual film is harder to quantify and doesn’t provide a direct cash injection to the studio in the same way. As a result, Damon argues, studios have become extremely risk-averse. They are now incentivized to put all their resources into “sure things”—massive franchises, superhero sequels, and established intellectual properties that can guarantee a billion-dollar return globally.

The actor’s lament highlights a growing sentiment among cinephiles that Hollywood is trading art for “content.” The loss of the mid-budget movie means fewer films like Good Will Hunting, The Talented Mr. Ripley, or Rounders—the very films that defined Damon’s rise to stardom. Instead, audiences are left with a polarized landscape of massive tentpole blockbusters on one end and low-budget indie films on the other, with very little in between. This “hollowing out” of the middle ground is what Damon finds so disheartening, as it limits the variety of stories that can be told on a grand scale.

Matt Damon, now 54, remains one of the most bankable and respected figures in the industry despite his concerns. Born in Cambridge, Massachusetts, he catapulted to fame alongside his childhood friend Ben Affleck with their screenplay for Good Will Hunting (1997), which won them an Oscar for Best Original Screenplay. Over the decades, he has proven his versatility, anchoring the billion-dollar Jason Bourne action franchise while delivering critically acclaimed performances in films like The Martian, The Departed, and True Grit.

Recently, Damon has been busier than ever, proving that he is still fighting to make quality cinema. He played a pivotal role in Christopher Nolan’s massive hit Oppenheimer (2023), portraying General Leslie Groves. The film was a critical and commercial smash, proving that adult-oriented dramas can still succeed under the right circumstances. He also reunited with Ben Affleck for the sports drama Air, which chronicles the origin of the Air Jordan shoe brand. The film was the first release from their new production company, Artists Equity, which aims to create a fairer profit-sharing model for cast and crew members.

Looking ahead, Damon has a packed slate of projects that suggests he isn’t giving up on the industry just yet. He is set to star in The Instigators, a heist comedy for Apple TV+ that sees him teaming up with Casey Affleck. Additionally, he and Ben Affleck are collaborating on a crime thriller titled RIP for Netflix, continuing their long-standing creative partnership. Perhaps most notably, Damon has been confirmed to star in Christopher Nolan’s next highly anticipated, untitled event film, scheduled for an IMAX release in July 2026.

While Damon continues to find success, his comments serve as a warning about the shrinking diversity of the film landscape. The shift from physical ownership to digital leasing has fundamentally changed how movies are valued and funded. For audiences who feel like they spend more time scrolling through menus than actually watching movies, Damon’s explanation offers a validating, if somber, answer as to why “they don’t make them like they used to.”

Do you agree with Damon that the death of the DVD has ruined the quality of modern movies, or do you prefer the convenience of streaming? Share your thoughts in the comments.