Why Hollywood’s Money Machine Is Unscathed by the SVB Failure – for Now

Financial institution stocks have been whipsawed and one film-industry vendor had a few scary days getting crews paid – but things could’ve been much worse

Both the tech and entertainment industries have flocked to specialist banks that understand their particular requirements. So when Silicon Valley Bank (and others) went down, Hollywood naturally shuddered.

The actual damage amounted to a weekend of worry, with regulators stepping in to make sure bills got paid, paychecks issued and cash tapped. But the bank failures set off a swirl of market uncertainty that could pose longer-term challenges for the entertainment industry — including the possibility of a global recession that would test corporate plans built on the premise of a continued bounceback from the pandemic.

Become a member to read more.

Scott Mendelson

Before joining The Wrap, Scott Mendelson got his industry start in 2008 with a self-piloted film blog titled "Mendelson's Memos." In 2013, he was recruited to write for Forbes.com where he wrote almost exclusively for nearly a decade. In that time he published copious in-depth analytical and editorialized entertainment industry articles specializing in (but not exclusively focused upon) theatrical box office. A well-known industry pundit, Mendelson has appeared on numerous podcasts and been featured as a talking head on NPR, CNN, Fox and BBC.