Theater Chains in Talks to Compete with Imax's Screens

Cinemark and Regal theater chains have discussed competing with Imax's big-screen service by potentially introducing a new premium format and unifying under a single brand name. The move aims to enhance their offerings and attract more customers.

Cinemark and Regal, two major US theater chains, have been exploring the possibility of launching a new premium large-screen brand to compete with IMAX's dominant position in the movie industry. The move is part of a broader strategy to enhance their offerings and attract more customers [2].

The discussion, which includes preliminary talks about setting shared standards for their premium large-format theaters, has been driven by the growing influence of IMAX within Hollywood and the public. IMAX's technology and brand have been integral to the success of numerous blockbuster films, including Oppenheimer, Dune, and Mission: Impossible. Despite its smaller footprint compared to traditional theaters, IMAX consistently generates more than 10% of the box office for major releases [2].

Some theater owners have expressed concern over IMAX's presence in Hollywood advertising, including posters in their lobbies that prominently feature the brand. Additionally, the exclusive deal that IMAX struck with Netflix to release its film based on C.S. Lewis' The Chronicles of Narnia in late 2026 has further fueled the push for change [2].

Cinemark and Regal have invested in big-screen formats of their own, such as Cinemark's XD, Regal's RPX, and Marcus' MT-X. These formats are typically 70 feet wide or taller and offer premium sound systems and seats that move, appealing to fans who are willing to pay more for the experience. However, the growing demand for IMAX screens has created scheduling challenges and financial strain for theaters that don't have IMAX technology [1].

While IMAX's technology and brand have been refined over the past half-century, the new premium format proposed by Cinemark and Regal could provide a viable alternative for both theaters and filmmakers. The initiative aims to create a unified brand that can compete with IMAX on both technological and marketing fronts.

The potential benefits for theaters include reduced licensing fees for IMAX technology and the possibility of studios helping to market the new brand. However, displacing IMAX would be a significant challenge, given its established market presence and support from marquee filmmakers.

The move by Cinemark and Regal is part of a broader recovery effort within the theater industry, which has been struggling since the COVID-19 pandemic and labor strife in Hollywood. The sluggish recovery of the industry has led to a more consistent release slate and increased box office revenue in 2025, with IMAX set to score its best year for box-office revenue [1].

As the industry continues to evolve, the introduction of a new premium format could provide a fresh competitive edge for Cinemark and Regal, potentially attracting more customers and driving revenue growth.

References:
[1] https://www.tradingview.com/news/invezz:7f39ec2bf094b:0-imax-shares-gain-3-amid-market-share-growth-and-strong-upcoming-lineup/
[2] https://www.livemint.com/companies/news/cinemas-weigh-launching-new-large-screen-brand-to-challenge-imax-11752714008845.html