The streaming release of Black Widow, as well as consistent piracy of the film, cost Disney an estimated total of $600 million.
As reported by Deadline, the simultaneous release of Black Widow in theaters and on Disney+ led to a significant downturn in profits at the film's box office, which dropped 68% in its second weekend. In that vein, it was also reported that day-and-date releases of any movie are pirated at an alarming rate, with Black Widow being pirated over 20 million times by August 2021. These factors lost Disney nearly $600 million in streaming revenue alone, despite the film being available on Disney+ Premier Access for $30.
It was Disney's decision for a day-and-date release of Black Widow that led the film's star, Scarlett Johansson, to sue Disney, stating that the company violated the actor's contract with the film's release, costing her nearly $50 million. The lawsuit was later settled, reportedly for over $40 million. This came after months of back and forth between Johansson and Disney after the lawsuit was filed in July by the Marvel star over the release of what would be her ninth and final film in the Marvel Cinematic Universe.
The lawsuit, which was filed against Disney in Los Angeles Superior Court, stated that the film's release strategy was a direct breach of Johansson's contract, alleging that Disney and Marvel Entertainment guaranteed an exclusive theatrical release for Black Widow and that part of Johansson's payment would be based on the film's box office performance, which was diminished due to its release on Disney+ Premier Access. The lawsuit claimed that Johansson lost more than $50 million in revenue.
"I am happy to have resolved our differences with Disney," said Johansson at the time of the settlement. "I'm incredibly proud of the work we've done together over the years and have greatly enjoyed my creative relationship with the team. I look forward to continuing our collaboration in years to come."
Disney CEO Bob Chapek defended Black Widow's release strategy during an earnings call, citing the coronavirus (COVID-19) pandemic as a major reason. The film has earned $379 million at the worldwide box office to date and, in an unprecedented move, Disney released the opening weekend streaming numbers for Black Widow in July, revealing the film had earned $60 million globally via purchases on Disney+ Premier Access. On top of that, the box office numbers for Shang-Chi and the Legend of the Ten Rings factored into Johansson and Disney's settlement, after the film grossed $94.7 million in its first four days of release, surpassing Black Widow's opening earnings and breaking the all-time Labor Day weekend box office record.
Despite the loss in revenue, Chapek stated in November that Disney is still planning for day-and-date releases of certain films in 2022. "We're sticking with our plan of flexibility," he said during Disney's Q4 earnings call. "We're still unsure in terms of how the marketplace is going to react when family films come back with a theatrical first window."
Source: Deadline