Following a few difficult and uncertain years at Disney, the Marvel Cinematic Universe has determined that significant changes must be made for their universe to persist, resulting in the announcement of an MCU slowdown by reinstated CEO Bob Iger. On a Disney quarterly fiscal earnings call, Iger announced a maximum limit of Marvel movies and TV shows: two or rarely three movies per year, and two Disney+ series. Comparing this to 2021, where five television series and four movies were released, this will certainly cause changes to the MCU’s upcoming slate in Phase 6 and beyond.

Following Avengers: Endgame, the MCU timeline expanded with many films and Disney+ series, diluting the brand. This is in part blamed on Bob Chapek’s tenure as CEO from 2020-2022, which resulted in Marvel making as much content as possible and funneling it quickly to Disney+. Fortunately, there is a growing understanding of the theatrical market in a landscape where streaming exists. Prioritizing film for cinemas rather than for streaming has proven important to the success of movies, which appears to be a lesson that Disney and Marvel are not taking lightly.

Disney Is Refocusing The MCU With Fewer Releases & A Focus On Franchises

Greater Attention Will Yield Greater Characters

Just as in Marvel Comics, certain titles resonate with specific audiences. Therefore, Marvel must identify and concentrate on their key franchises rather than introducing new ones with each project. Despite the universe’s reputation taking a hit, several franchises, notably Spider-Man, still hold promise. However, the absence of Iron Man and Steve Rogers leaves the future of Marvel’s other projects uncertain. Following the untimely loss of Chadwick Boseman and the underperformance of The Marvels, Doctor Strange emerges as one of the franchise’s few remaining reliable characters.

This shows that Marvel needs to work to develop their heroes in a shorter time. The Marvel brand has been diluted by creating so much content but spreading it across so many characters. There is now little incentive for audiences to rush out to see a Marvel film with so much new content on streaming. Focusing on smaller, more important franchises in the MCU is necessary for the franchise’s future.

New Doctor Strange 2 Reports Show Sequels & Popular Characters Can Still Bomb

No Marvel Movie’s Success Is Assured

The Marvel Cinematic Universe has been in a financial downturn after Avengers: Endgame was released in 2019. With a full, cathartic story ending laid out by the film, the MCU audience’s appetite is no longer the same. As a result, the studio has attempted to introduce new characters and settings to pass the torch within many of these franchises. Captain Marvel was relegated to an ensemble, Captain America became Sam Wilson, and Black Panther is now Shuri. This has been successful in some cases, but in others, it has been detrimental to their franchises.

The Marvel Cinematic Universe has built out several seemingly popular characters. However, a Marvel film is often only as strong as the brand. This is how it is possible for The Marvels, a sequel to the billion-dollar-grossing Captain Marvel, to fail at the box office. Interest in the universe has waned, making seemingly dependable characters less so. Where the MCU used to gross $1.22 billion per film on average during Phase 3, Phases 4 and 5 indicate a downward trend at only $724 million per film and, as proven by Doctor Strange 2‘s staggering budget, this is not enough.

How The MCU Can Rein In Movie Budgets

Profitability Is Quickly Becoming An Insurmountable Task

While budgets are multifaceted, it is clear that a correlation between multidimensional spectacle and increased film-making costs exists. This is made evident by the inflated budgets of Doctor Strange 2 and Ant-Man 3. Luckily – attested to by interest in a Spider-Man 4 that feels grounded – viewers are now hungry for smaller and more intimate content with smaller stakes. By replacing interdimensional travel storylines with a greater focus on character, Marvel can reduce some of their costs.

Costs are a difficult thing to balance. Spending longer development time will cost more upfront, but it may reduce post-production costs and reshoots. It is clear, however, that Marvel has repeatedly proven that they will overspend on post-production, with the She-Hulk series costing nearly $25 million per episode – and despite the cost, the visuals in that show were criticized as unfinished, suggesting alternate approaches could be preferable both critically and fiscally. Reducing dependence on computer animation at a story level may be the only way for Marvel to succeed.

It is reassuring to see that Marvel Studios has taken the principle of cost-effectiveness to heart. To continue to flourish, Marvel must make effective, accessible films while still appealing to its fanbase. Not every film will make a billion dollars, nor should a billion dollars be seen as a threshold for success. Marvel’s incredible success in the past has set a standard that even they can no longer uphold. The Marvel Cinematic Universe will find a way to last by addressing this directly.