The race to attract productions has never been more competitive or complicated, according to top executives who gathered for a Variety Global Conversation exploring the evolving future of physical production.
Moderated by Variety executive editor film and media Tatiana Siegel, the panel featured Mike Mosallam (Shadowbox Studios COO), Alexandria Mosley (senior manager of physical production at Paramount), Jamie Haggarty (head of worldwide production facilities at Amazon MGM Studios) and Carol Trussell (executive producer and former head of production at Apple Studios).
The discussion opened on whether Hollywood is witnessing a seismic shift in production hubs away from Los Angeles and with an increased international push. Mosallam, whose Atlanta-based Shadowbox stretches across 850,000-square-foot state-of-the-art soundstages, cautioned that while headlines suggest dramatic change, the reality is more nuanced. “These things are cyclical and ultimately find their way back to a stasis,” he said, pointing to the need for efficiency as production expenses climb to record levels. “Regardless, there is a shift.”
With Los Angeles losing market share and popular hubs like Atlanta and London booked far out in advance, such emerging regions as Saudi Arabia have an opportunity to become major players. But only if their infrastructure and crew depths evolve to meet Hollywood’s needs. “It’s early in that transition towards other markets making a huge impact on the production volumes.”
Trussell, who helped usher Colombia onto the global stage with “Narcos” long before the country became a popular shooting locale, stressed that governments willing to invest can quickly alter the landscape. “So many factors get considered when a project is greenlit. What does each territory have to offer? What is the depth of their crew? What kinds of stages do they have? What are their tax incentives? It’s really a variety of things that you need to tick off and go through,” Trussell explained. “[‘Narcos’] was one of the first series to ever shoot in Columbia, which now does a ton of production because they’ve realized that they need to be competitive.”
Mosley emphasized that the surge in global activity has profoundly changed her work. “In the last six years, I’ve probably only done a handful of movies in the United States,” she said. “So, there’s been a lot of travel, a lot of research into new places that could fit what we’re looking for. There’s a push to be a lot more creative with where we are considering.” She added that beyond tax incentives, practical concerns such as whether a territory has “a state-of-the-art facility that you feel comfortable with and that can meet your needs” can make or break a decision.
While cost savings and subsidies matter, the panelists agreed that creative will always dictate where a story is told. “At the end of the day, creative is going to rule that decision,” Mosallam noted.
Nimbleness — whether accommodating a star who suddenly wants to arrive by helicopter or reacting to shifting incentive policies — remains key. “Every day is full of unexpected,” Haggarty said, while Mosallam added, “If you’re being reactive, you’re about three steps behind the trend that’s already four steps ahead of you.” (In 2022, Shadowbox received a $500 million investment from Silver Lake and moved proactively to fund its expansion efforts in Atlanta, London, Los Angeles and Australia’s Gold Coast.)
Artificial intelligence sparked both caution and optimism. Trussell sees promise in using AI to streamline time-consuming production tasks, while Haggarty predicted it will accelerate adoption of virtual production. But all stressed that AI cannot replace human storytelling. “We’re in an art form that’s living and breathing,” Mosallam noted.
Looking 5-10 years down the line, Mosley raised concerns about a looming skills gap. “We’ll be missing a lot of the heads of department who are at the level we’re looking for,” she warned, calling for more mid-level training to eventually replace those heads. The solution is already in motion, Mosallam noted, via partnerships between film commissions, studios and incentive programs to build sustainable workforce pipelines.
Despite rising costs and new technologies, the executives concurred that success comes down to building tailored experiences. As Mosallam put it: “You have to create experiences that are unique to the show.”