Shadowcast Pictures, a Hollywood rental company that since 2008 offered cameras, lighting and other filmmaking equipment, is closing its doors over the coming weeks, a situation owner Jay Ellison is attributing to a production drought that began with the Covid pandemic, Hollywood strikes and LA fires and has only been exacerbated by corporate mergers and AI.

In a statement on Facebook, founder and CEO Ellison says, “It is with great sadness that I must announce that Shadowcast Pictures will cease camera rental operations beginning today. While this is not the outcome we had hoped for or wanted, we simply do not see a patch forward. We will be completely closing down the company in the comings weeks.”

Ellison writes that film production in LA “has only seen a 10.7% increase in Q1 2026 from Q4 of 2025 overall.” He continues that, with the merger between Paramount and Warner Brothers imminent, “that only means less production, more layoffs and a continuation of the downward trend is sure to resume despite the CA film tax incentive.”

According to the CEO, challenges from the pandemic, the 2023 strikes, the LA fires and the rise of AI “are outside forces affecting this industry that are out of our control. The studios are no longer run by filmmakers, but instead by big tech CEOs.”

See the full statement below.

Recent media reports suggest that more than 80 Hollywood film and TV production service companies have closed their doors in the last four or five years.

Shadowcast Pictures was founded in January of 2008 during the emergence of digital cinema, and took a lead in providing digital cinema cameras for filmmakers. Among the company’s recent clients are Happy Happy Joy Joy: The Red & Stimpy Story, Hulu’s All That We Destroy and Sarah Silverman’s I Love You, America, Workaholics The Final Season and many more.