Box Office Struggles and Failed Projects Bring Down Gunn and Safran’s DC Plans

Not long ago, DC Studios’ future looked secure. Last summer, just 3 days into the theatrical run of ‘Superman’, then-Warner Bros. Discovery CEO David Zaslav was already celebrating, praising the “bold 10-year plan” from co-chiefs James Gunn and Peter Safran. He said the momentum was real and the vision for DC was clear.

Gunn and Safran had been brought in back in 2022 to rebuild some of the company’s most valuable IP. That came after DC’s previous run of superhero movies flamed out with releases like ‘The Flash’ and ‘Aquaman and the Lost Kingdom’. A year and a half after Zaslav’s celebration, their plans have fallen apart.

A new report from Variety lays out what went wrong. Gunn and Safran were removed from the top of DC Studios, with Marvel Studios alum Jeremy Latcham taking over as president and chief creative officer. According to Variety’s sources, the thinking was that the pair spent big and lost too much on projects that simply weren’t connecting with audiences.

Their creative strategy also came under scrutiny. Insiders questioned the decision to focus on lesser-known characters like Supergirl and Clayface instead of building the franchise around marquee names. “The industry has taken away the wrong lessons from Marvel’s success,” a studio insider told Variety. “Higher budgets don’t equal quality storytelling.”

The box office results explain much of the concern. ‘Superman’, starring David Corenswet, was billed as a hit with $618 million against a $225 million budget. But sources say it didn’t signal the kind of lasting enthusiasm that builds a shared universe.

The final trailer for DC’s ‘CLAYFACE’ has been released. In theaters on October 23. https://t.co/ecTMB97Sto

— DiscussingFilm (@DiscussingFilm) September 24, 2026

The follow-ups struggled more. ‘Supergirl’ earned $126 million globally on a $170 million budget, and Variety calls it a flop. ‘Clayface’ made $109 million on a $44 million budget, but sources say it won’t break even until downstream revenue is counted.

The contrast with Marvel is stark. In July, ‘Spider-Man: Brand New Day’ became the third-biggest movie in history with $2.5 billion, and ‘Avengers: Doomsday’ could challenge that record in December.

Television wasn’t a clear win either. DC’s main small-screen success, ‘The Penguin’, was greenlit before Gunn and Safran took over. ‘Peacemaker’ Season 2 arrived 3 years after the first season and didn’t match its buzz.

‘Lanterns’ posted decent viewership but wasn’t renewed for a second season, according to the report. One source put it bluntly, saying people are always eager to make another season of a true hit show.

The leadership shuffle came at a tricky moment. Gunn and Safran had been told they would stay on David Ellison’s leadership team after Paramount’s $111 billion acquisition of Warner Bros. Discovery closed in October. Staying, however, would have meant a demotion.

They had reported directly to Zaslav. Under the new structure, Ellison and co-CEO Ynon Kreiz planned to have them report to Skydance Motion Picture Group chiefs Dana Goldberg and Josh Greenstein.

The final trailer for ‘SUPERGIRL’ has been released. • Tickets on sale now • In theaters on June 26 https://t.co/hiTkG52C3T

— DiscussingFilm (@DiscussingFilm) June 3, 2026

Gunn and Safran aren’t leaving DC entirely. Gunn is directing ‘Superman: Man of Tomorrow’ for release next summer, and the pair are producing the 2027 series ‘The People v. Gorilla Grodd’ plus another season of ‘Creature Commandos’. ‘The Batman Part II’ is also scheduled for 2028.

The bigger question is what happens to their larger plan of sequels and spinoffs. Latcham will decide whether to continue that vision or change course. One source described him as the kind of fan who would ask for an autograph at Comic-Con, not sign one, which suggests a very different leadership style ahead.

Have something to add? Let us know in the comments!