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Is There No End To Hollywood's Obsession With Sequels?

Is There No End To Hollywood's Obsession With Sequels?

Hollywood’s obsession with sequels seems to be getting worse and worse. According to CNN Money’s Frank Pallotta, there have already been 16 movie sequels released in theaters in 2016.

This weekend’s big opening, “Independence Day: Resurgence” is yet another sequel and serves as an excellent example of how Hollywood hasn’t always been so sequel-happy. When the original “Independence Day” came out back in 1996, not a single one of the top 10 grossing movies that year was a sequel. However, in every single year since 2010, at least half of the top 10 movies each year have been sequels.

“Sequels create long-term revenue streams for studios and have baked-in brand recognition,” comScore analyst Paul Dergarabedian explained.

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But he also said there is a downside to churning out terrible sequels.

“Sequels, when created for the sheer purpose of exploiting a concept that once performed well at the box office without regard for quality can taint the legacy of a great original brand.”

But not all sequels are box office gold. While Walt Disney Co (NYSE: DIS)'s sequel “Finding Dory” broke the opening weekend box office record for an animated movie this year, other recent sequels like “The Divergent Series: Allegiant” and “Alice Through the Looking Glass” have been box office flops.

This year’s biggest movie sequel is still to come; “Rogue One” opens in December.

Disclosure: The author holds no position in the stocks mentioned.

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