The large Hollywood studios continue to shift budgets toward
high-cost tentpole films. In the last 15 years, average production budgets have
gone up more than 50 percent (or approximately 3 percent per year). Films with
budgets greater than $100 million now account for more than 15 percent of
As large studios pour
more money into tentpoles, they are pulling back on small-budget films (those
with a budget of $5 million to $20 million) and pushing medium-sized films
(budgets of $50 million to $100 million) into tentpole territory.