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The reduction of 5,000 TV episodes in just two years signifies more than just a production crisis; it's a fundamental shift in how the industry operates. Major studios like Disney, known for high-budget productions that can reach $25 million per episode, are decreasing their output. The market is no longer able to sustain even the cheaper productions, which can cost around $1 million per episode. Even with tax incentives and efforts to offset costs through overseas production, the problems persist.
Reports from industry data provider Luminate confirm this trend, indicating that television production is experiencing a significant downturn. The number of episodes produced fell from 16,000 in 2022 to 11,000 projected for 2024, which is nearly a one-third decrease.