What I take from this is that stories that began as animation should remain animation, including video game movie adaptations. For a story or character that begins in a medium where anything and any visual design is possible, switching to live action and real-world constraints kills the feel that the source material had. Trying to reproduce the look and feel of the original is going to require heavy use of CGI anyway, so why not go all the way with it?
One thing that Levi's explanation, this article, or the comments fail to mention is that THE WORLD HAS CHANGED since COVID, and it will never again be as it once was, despite the wishes of movie theaters and movie producers. There are far fewer movie theaters open now than there were in 2019. Also, even if all of the movie theaters that have closed in the last 3 years reopened, the global box office still would not be as great as it once was because the way many people prefer to watch movies has changed.
The industry as a whole needs to adapt to the new reality.
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