The city of glitz and glamor, as well as too much plastic surgery, is facing a potential crisis that has some experts warning it could become “the next Detroit.” Los Angeles, long considered the epicenter of TV and film production, is witnessing a sharp decline in big-budget projects—an industry many see as the cornerstone of its economy.
The comparison to Detroit stems from its dramatic fall in the late 20th century. Once a hub of American automobile manufacturing, Detroit plunged into economic ruin as factories closed, which led to a widespread housing collapse, explains the Daily Mail.
Now, a similar pattern may be unfolding in LA. According to FilmLA, on-location film and television production in the city dropped 22.4 percent during the first quarter of 2025 compared to the same period last year.
One of the key reasons behind the shift is California’s high tax rates, which are prompting studios to take their productions elsewhere. In response, industry stakeholders are urging state leaders to increase the entertainment tax credit to 35 percent of production costs in hopes of slowing the migration, as reported by Realtor.com.
During a recent town hall meeting in Los Angeles industry advocates called for more inclusive eligibility criteria and enhanced financial incentives to support local productions. “This is not hyperbole to say that if we don’t act, the California film and TV industry will become the next Detroit auto,” producer Noelle Stehman said at the event, according to The Hollywood Reporter.
Detroit’s downfall came as auto giants like General Motors, Ford, and Chrysler moved operations elsewhere in the 1960s, gutting the local economy. The situation worsened during the 2000s mortgage crisis, forcing countless residents to abandon their homes. At one point, one in five houses in Detroit was vacant, with some properties selling for as little as $1.
Los Angeles now faces its own affordability crisis, particularly affecting middle-class workers in the entertainment sector. Senator Ben Allen highlighted this challenge, noting that while the city’s median income is $95,625, the average home price has skyrocketed to $965,300 in 2025, according to Realtor.com.
“The studios don’t care where they do the work. They’ll do it anywhere,” Allen stated during the town hall. “They’re still producing shows. What a lot of our colleagues simply don’t understand is that this is a middle-class problem. The studio heads are going to bed in Bel-Air no matter what,” he added.
Governor Gavin Newsom has shown support for increasing film industry incentives, proposing to expand the current cap from $330 million to $750 million. His SB630 bill, which aims to enhance tax benefits for the sector, is expected to go before lawmakers by the end of April.
The downturn in production adds to a challenging period for Hollywood. The industry is still recovering from the impact of the 2023 SAG-AFTRA strikes and the destructive wildfires earlier this year that caused billions in damage across the region.
“Loss of filming opportunity in no way compares to the cost of the Eaton and Palisades Fires in terms of loss of life, resident displacement and property damage,” said Philip Sokoloski, FilmLA’s VP of Integrated Communications. “The fires sent many productions scrambling to reschedule shoots and displaced hundreds of industry workers from their homes. But their impact on local filming levels appears to have been temporary.”
Meanwhile, California continues to see a wave of high-profile celebrity departures, with stars like Eva Longoria, Richard Gere, and Matthew McConaughey reportedly among those relocating out of state.
Considering all Hollywood cranks out these days is degenerate filth, it wouldn’t be a loss.
The conservatives and Christians in the film industry need to team up and set up their own studio someplace friendly.
I’m sure Texas, Wyoming, Idaho or Florida would love to have them.
The root problem is the lack of interesting material. Hollywood has sold every imaginable theme that gathers moviegoers except one: The truth of its own demise, which its hypocrites will never concede to. They’re reaping the crops of their own seeds. Moving somewhere else isn’t going to solve the problem because the same people in charge would take the same problems with them. They’re just doomed, that’s all. C’est la vie!
Perhaps all those Hollywood types can move to Canada. It is a lot like California but colder…