Cost-cutting drives removal of DC Studios heads Gunn and Safran
Industry sources say Skydance's financial strategy and underperforming DC films led to the dismissal of James Gunn and Peter Safran as co-heads of DC Studios.
Skydance announced that James Gunn and Peter Safran will leave their roles as co-heads of DC Studios as part of a broader cost-saving effort. According to a report cited by IndieWire, the decision aligns with Skydance's plan to generate $6 billion in annual savings over the next three years while managing its $80 billion debt load. The outlet added that Skydance was “stunned by the financial picture of Warner Bros.' film unit,” which has struggled to produce profitable releases in 2026.
Industry insiders told Page Six that the box-office performance of the 2026 film "Supergirl" – which earned $126.5 million against a budget of $170 million to $186 million and reportedly lost $135 million – was a key factor in the leadership change. The film is described as one of the biggest commercial failures for the studio that year.
Skydance is set to appoint Jeremy Latcham as president and chief creative officer of DC Studios effective Dec. 1, 2026. Latcham will report to Skydance studio heads Dana Goldberg and Josh Greenstein rather than directly to Skydance CEO David Ellison. Sources said Latcham’s mainstream-oriented approach is intended to improve the profitability of future DC projects.
Gunn will remain involved with the upcoming 2027 release "Man of Tomorrow" to comply with Directors Guild of America rules, according to a source cited by Page Six. The move reflects Skydance's emphasis on financial performance over previous creative strategies.