With DEI Rollbacks, the Business of Hollywood May Take a Hit

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Experts say the decision to scale back on equity and inclusion in the face of political pressure will alienate consumers and leave a hole in the bottom line

Christopher Smith/TheWrap, Getty Images)
(Christopher Smith for TheWrap/Getty Images)

Today, America is more diverse than it’s ever been, with people of color representing 43% of the total U.S. population as of 2021 — a 34% jump from 2010. The same goes for women, the disabled and LGTBQ+ communities, with rapid growth among historically marginalized groups.

Yet despite that growth and an audience demand for more inclusive stories, Hollywood studios have scaled back their inclusion efforts to mollify President Donald Trump and his supporters at the possible cost of alienating a large and growing group of consumers.

“It’s a horrible business decision and certainly not the right thing to do,” Darnell Hunt, UCLA’s executive vice chancellor and provost, told TheWrap.

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