It’s because the market dynamics have changed and we stopped buying DVDs and VHS.
Matt Damon talked about this just a few years ago on Hot Ones.
“So what happened was the DVD was a huge part of our business, of our revenue stream,” Damon said.
“Technology has just made that obsolete, and so the movies that we used to make you could afford to not make all of your money when it played in the theatre because you knew you had the DVD coming behind the release.”
Links:
https://www.ajc.com/life/why-dont-they-make-movies-like-they...