How does theatrical piracy impact box office revenue?

Theatrical piracy can lead to millions of dollars in lost ticket sales, as audiences may opt to watch pirated copies instead of paying for a cinema ticket. Early leaks are especially damaging during the critical opening weekend, which often determines a film’s commercial success. The financial loss doesn’t just affect big studios—independent filmmakers, who rely heavily on theatrical runs to recoup production costs, are also hit hard. In some cases, the existence of high-quality pirated versions online within hours of release has caused films to underperform drastically, forcing distributors to shorten theatrical runs or cancel international releases.