Warner Bros.' bombshell decision to simultaneously release its full 2021 film slate on HBO Max and in theaters is a little more complicated than first reported. First, there's the fact that HBO Max is currently only available in the U.S. Second, it seems WB did not negotiate beforehand on films that were co-financed, like Dune and Godzilla vs Kong. WB reportedly told Legendary about its unprecedented move only 30 minutes before the news went public.
Legendary and its other financial partners apparently financed as much as 75% of the production cost for Dune and Godzilla vs Kong. While these two films will be released in theaters internationally (as again, HBO Max is not available outside the U.S. yet), the decision to also offer these films on HBO Max at the same time will undoubtedly hurt their box office earning potential. If HBO Max sees a surge in subscribers, will Warner Bros. share profits with Legendary?
Furthermore, certain A-list stars reportedly have backend profit sharing deals in their contracts and only signed up for some of these films for the chance to cash in after the movie's theatrical release. There's a chance that they too may take WB to court over the studio's streaming service shakeup.
Dune is currently scheduled for release on October 1, 2021 while Godzilla vs Kong is currently slated to drop on May 21, 2021. If WB gets engrossed in a lengthy court case with Legendary or talent with a back end deal, there's a chance that these two films (and maybe more) might not be simultaneously released on HBO Max after all.