2025 was tough, with the North American box office only reaching $8.9 billion. Even though it was up 2% from the year before, it was still 20% lower than pre-pandemic levels. Fewer people went to the movies too, dropping from 800 million to 780 million. The slight increase in box office was only because ticket prices went up. However, since the start of 2026, Avatar: Fire and Ash has been number one at the box office for three weeks straight, giving Hollywood a ray of hope. Everyone is hoping this year will be the best box office year in a decade, as many popular movie sequels are set to release, which could boost the market.

At the start of 2026, Hollywood box office news was good.

I. Avatar 3 Global Box Office Exceeds A Billion, Overseas Market a Huge Help

James Cameron's Avatar sequel, Avatar: Fire and Ash, has already passed $1 billion worldwide in three weeks. The North American weekend box office was $40 million, but the overseas market was better, with total box office at $777.1 million. Disney officially stated that this once again shows how popular the Avatar series is and provided a good start for Hollywood's 2026 box office.

II. Holiday Movies Do Well, Animation and Thrillers are Hits

Beyond Avatar 3, other films also performed well over the holidays. Disney's animated Zootopia 2 earned $1.59 billion globally in six weeks, making it Disney's second-highest-grossing animated film, just below 2019's The Lion King. Lionsgate's thriller The Housekeeper surpassed expectations, grossing $75.7 million in North America and $133 million worldwide in three weeks, on a $35 million budget. Timothée Chalamet's Maestro secured $12.6 million in its third weekend, with a North American total of $56 million, exceeding the global earnings of the director's prior film, Uncut Gems.

III. Film Industry Set for a Change, 2026 Box Office Expected to Boom

III. Film Industry Set for a Change, 2026 Box Office Expected to Boom

The first weekend of 2026 saw the North American box office up 26.5% compared to the same period in 2025, showing clear signs of market recovery. Industry experts believe this year is key for Hollywood box office. Sequels to popular franchises like Toy Story, Avengers, Spider-Man, The Super Mario Bros. Movie, and Dune are all coming out, which could create a wave of movie-going. Also, Warner Bros. and Netflix's $83 billion merger is still waiting for approval. If it goes through, it would greatly impact the Hollywood industry, bringing new changes and opportunities to the film market.