I think the lackluster quality of Hollywood's modern output mostly reflects an industry struggling to catch up with the times. The boom of streaming media has truly altered how people access their media.
Note all the recent 3D gimmicks attached to films these days, just like in the 80s during the peak of the home video market, where many independent companies were giving the major studios some decent competition. Just like most films make more money on DVD & Blu-ray, or from video game licensing than their theatrical runs today.
This is an era where a video of a cat playing a piano, or an obese woman sitting on a toilet making stupid faces can churn out millions of viewers. Hollywood doesn't like this; this is competition. So major studios are attempting to make films for their massive 17 - 27 year old target audience who spend a grand portion of their existences refreshing their Facebook profiles as a source of entertainment.
Most people are so used to the many, many conveniences that modern technology has provided us, that they hardly have the patience to even sit down for a film. Hollywood doesn't really know how to market towards this demographic anymore, so they're doing anything they can to make their products as accommodating to the attention spans of the plentiful reality-tv-minded folk, as possible.
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Originally Posted by Genteel Death
The average person has more entertainment at their disposal now, and yet appears dumber than before. Hollywood movie producers must be aware of that.
I'm probably talking nonsense here, but I was thinking that maybe Hollywood's reliance on more state of the art special effects and making many movies look increasingly less real might have to do with the fact that now so many people can photograph, film and digitally manipulate things for super cheap.
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GD nailed it.