The animation industry at the moment is little muddled, understatement of the year, with some parts of this tight knit industry tearing at their seams while some are branching off into uncharted waters and reeling in success, but where do I, or indeed, can I at all, fit into all this ?
The animation industry is essentially being sent home in droves, cuts in funding and decreases in streaming have tanked studios and animators are feeling it. During COVID where film couldn’t be safely shot, animators were there to save the day, entertaining the house-bound population, however those shows have aired and many arent being renewed.
New hope(s)
However reader, hope is not all but lost, indie studios and smaller companies are seeing the hunger for animation with soul, stories that havent been watered down and filtered througfh every layer of big picture corporations. For example the amazing digital circus which began on YouTube was sent to cinemas with the glitch studios CEO describing the studio a ‘disruptor to the traditional animation industry….[that] maintains creative freedom’ (Fathom Entertainment, 2026).
Recently a small studio called Ketchup picked up a film from Warner Brothers that was pretty much finished, but shelved in 2023 in favour of a tax cut, the response online was very negative at the fact that the movie was finished and just sat collecting dust. Gareth West CEO of Ketchup states that it is ‘the perfect blend of nostalgia and modern storytelling’ (Etan Vlessing, 2025)
It does seem that everyone, including big corporations are seeing animation as risky, shown in Disney sticking to churning out ‘safe’ sequels, but there is still demand and communication from audiences. Paramount recently announced a new Avatar film coming out, specifically only on their streaming service paramount plus, people were understandably upset as it forced the viewer to purchase a subscription, the entire film was later leaked online, the debate that followed showed the animators asking people to refrain from watching it, and viewers demanding that it be released in theatres. This unfortunate but interesting scenario shows audiences communicating that they want to support animated films, but on their own terms, where the profits aren’t being hoarded by large companies.
The climate in the industry right now is at extremes, the success and groundbreaking work of indie studios reaping the reward of the risks they’ve taken, the uncertainty and soullessness of the films coming from Disney and other large companies who just can’t seem to read the room, and the uncertainty of AI, wether we can work together without being pushed aside.
Fathom Entertainment. (2026). Record-Breaking Indie Series ‘The Amazing Digital Circus’ From Glitch Productions Heads to U.S. Theatres with Fathom Entertainment for ‘The Last Act’ Finale June 4-7 – Fathom Entertainment. [online] Available at: https://www.fathomentertainment.com/news/tadc-the-last-act-announcement-release/.
Etan Vlessing (2025). ‘Coyote vs. Acme’ Movie Saved After Being Shelved. [online] The Hollywood Reporter. Available at: https://www.hollywoodreporter.com/movies/movie-news/coyote-vs-acme-movie0saved-ketchup-entertainment-1236176482/.