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When Kevin Hart announced in January that he’d licensed his name to Authentic Brands Group, the popular comedian was silent on a key detail: the future of his namesake media company.

Hart sold some ownership and oversight of his brand in exchange for an undisclosed sum of money and a stake in Authentic, a New York-based firm that manages the likenesses of Marilyn Monroe, Muhammad Ali, Shaquille O’Neal and David Beckham.

Hart used the partnership with Authentic to reset his relationship with the people around him and his company, according to six current and former employees. Hart’s employees say they worry that this deal marks the beginning of the end of Hartbeat, the comedian’s namesake media company that produces films, owns a network of short-form video channels and handles marketing for brands.

Though the announcement made no mention of Hartbeat, the agreement gave Hart money to buy out his private equity partner in the company over time and regain control of the use of his name, image and likeness. Hart’s endorsement deals, which had been a pillar of Hartbeat business, will now be handled by Authentic.

Once valued at about $650 million, Hartbeat has shriveled over the past few years. The company enacted its latest round of job cuts in December, firing the heads of its scripted TV division, as well as employees working across marketing, social media and brand partnerships, said the people. Earlier this year it let go the leaders of its podcast division and later sued them for breach of contract.

Hart has withdrawn from the company, leaving day-to-day management in the hands of a small group of executives. Staff meetings have been canceled. The development of new film and TV projects has slowed. A slate of new podcasts was pitched but never produced.

Hartbeat’s struggles reflected the challenging environment for many Hollywood production companies as media giants merge and cut spending. The company is also a cautionary tale in this age of the celebrity media mogul. Financial firms have plowed money into media companies led by high-profile figures, believing they could use their notoriety to build valuable businesses. Yet even seemingly successful ones have had a hard time.

Hartbeat, like many of its peers, has suffered from mismanagement and grappled with the tension between the needs of the star and his company. Hart, one of the hardest-working people in Hollywood, tired of subsidizing a company that relied so much on him

Hart declined to comment for this story, which is based on conversations with several current and former employees. On Sunday night, Hart, who hosted the widely viewed roast of NFL great Tom Brady two years ago, was the subject of his own roast on Netflix.

Building a Billion-Dollar Business

One of the most successful stand-up comedians and actors of his generation, Hart, 46, has always been entrepreneurial. In 2017, he started Laugh Out Loud, an online video comedy business that later grew to include branded entertainment. He also operated his own production company, Hartbeat Productions, that made programs for streaming services like Peacock, Quibi and Netflix Inc.

With Hollywood in the midst of a production boom, Hart watched his fellow celebrities get rich from their media enterprises. Reese Witherspoon sold her media company, Hello Sunshine, in a deal that valued it at as much as $900 million. Hart’s friend LeBron James raised money for his company, SpringHill, at a valuation of $725 million. Hart believed he could be next.

In late 2022, Hart merged his business interests under the Hartbeat banner and raised money by selling a 15% stake to the private equity firm Abry Partners. The deal valued the company at about $650 million.

The new business was predicated on three pillars: film and TV, short-form video and advertising. Hartbeat had a deal to produce movies for Netflix, a slate of podcasts for SiriusXM Holdings Inc. and original audio series for Audible. Hartbeat also developed relationships with advertisers such as Lyft Inc., Procter & Gamble Co. and DraftKings Inc.

While Hart would star in Hartbeat projects, the goal of the company was to develop projects and new business that didn’t involve its namesake founder. The company could leverage Hart to sell projects and secure broad programming partnerships. Hart would ask that Hartbeat be involved in producing his movies and any advertising campaign for which he was a spokesperson. His fees as a producer and brand ambassador would help pay the bills. The hope was he’d convince other celebrities to use Hartbeat as well. Thai Randolph, who had been running Laugh Out Loud, was named chief executive officer.

Hartbeat opened offices in New York and Atlanta and took over a 40,000-square-foot West Hollywood office once occupied by Oprah Winfrey. Hart redesigned the space and installed a world-class art collection.

The upper-level lobby featured a work by Ghanaian artist Serge Attukwei Clottey, while the conference room had a sculpture by Zimbabwean artist Moffat Takadiwa made of computer keyboard keys. A portrait of Kobe Bryant by Julian Pace hung outside a podcast studio.

Hart’s own office featured a dressing room, a series of paintings by South African artist Feni Chulumanco, multiple TVs and a desk from a prominent French designer. “He really has almost a full-service apartment in his suite,” Kai Williamson, who worked with Hart on the project, told Architectural Digest. Hart was interviewed for a story and also filmed an episode of the design magazine’s “Open Door” video series.

While Hartbeat expanded, Hollywood entered a recession. Economic uncertainty, rising interest rates and growing skepticism about the profitability of streaming caused major media companies to fire staff and pull back on buying new projects. Hartbeat was a little more insulated than most because talent like Hart could usually still get a project made. Still, producing projects without Hart in a starring role became more difficult.

Randolph left the company in late 2023 and was replaced by Jay Levine, who had spent much of his career at Warner Bros. Discovery Inc. Levine brought in a couple of other senior leaders with experience at major media companies.

A contingent of executives pushed Hart to scale back some ambitions, the people said. The company couldn’t afford to be working in so many different businesses at the same time, especially as areas like free, advertising-supported online video, and podcasts got more competitive. Hart was one of the most prolific and productive creative people in the world, starring in and producing movies, TV shows, comedy, short-form videos and advertisements. The point of the company was to relieve the stress on him, not add to it.

While Hartbeat closed its New York office, Hart was reluctant to scale back his vision or replace some long-time lieutenants. Levine negotiated his exit at the end of 2024 and was followed out the door by the company’s chief financial officer and chief content officer. Days before Thanksgiving, Hartbeat laid off about 20 people, nearly one quarter of its work force.

A year of chaos and conflict

In January 2025, Hart announced he would be the new CEO of Hartbeat and pledged to outline the firm’s strategy in the coming weeks. Instead, Hart went weeks and sometimes months without visiting the office, the people said, and empowered Jeff Clanagan and CFO Eric Stoneburner to run the company day to day. (Hart was on set to shoot at least a couple movies last year, in addition to his other work.)

A former concert promoter and movie producer, Clanagan had helped make Hart a major star. He had partnered with Hart to bring his stand-up specials to the big screen, producing shows such as 2013’s Kevin Hart: Let Me Explain, which grossed $32 million at the box office. Clanagan produced some of these specials under the banner of his own company, Codeblack Films, which helps promote, market and distribute video from Black creators.

Clanagan continued to operate Codeblack while serving in a senior capacity at Hartbeat, said the people. He pushed employees at Hartbeat to post its videos to the Codeblack channels as well, saying they could use the additional reach to raise awareness. The videos generated advertising sales for Codeblack.

Clanagan had employees at Hartbeat oversee Codeblack’s social media pages and asked to get those channels loaded into Hartbeat’s content management system. That gave Codeblack’s YouTube channels advantages over others because of Hart’s prominence and his company’s designation with YouTube. Employees raised concerns with human resources and the company’s lawyer.

Clanagan also became increasingly interested in video generated by artificial intelligence. He started a new app called Blktopia, a streaming service for Black viewers programmed with content from online creators and often made by AI. He urged employees to work on it, the people said. Clanagan initially responded to a request for comment and then retracted the text message.

Meanwhile, many of Hartbeat’s main businesses languished. Sales from the company’s YouTube channels fell and investment in new film and TV projects slowed. Hartbeat, once profitable, started to bleed cash. Hartbeat had hired Eric Eddings and Lesley Gwam to produce audio shows that didn’t involve Hart. While the pair developed a slate of projects, they never got approval to make them.

In mid-December, Hartbeat fired about a dozen employees, including some of those who were supposed to develop the podcasts. Eddings and Gwam then decided to start their own company and began trying to raise money. When Clanagan found out, Hartbeat fired them and sued for alleged theft of trade secrets and breach of contract.

A court approved a temporary restraining order but then rejected a preliminary injunction, saying Hartbeat had not demonstrated Eddings and Gwam had used proprietary information or trade secrets. The court said the request was “vague, ambiguous, and overly broad.” The case is ongoing.

Hartbeat also fired the heads of its TV division, Tiffany Brown and Mike Stein, who were in the middle of producing a TV show based on the film Barbershop for Amazon.com Inc. and a second season of the animated series Lil Kev.

The company made no official announcement explaining the cuts. The following week, senior leadership arranged a Zoom meeting. Hart remained off camera until it was his time to speak. He talked for a few minutes about changes at the company and took no questions. Hart changed his phone number in the weeks following the layoffs. (Some of his advisors had suggested he do this years earlier so that he wasn’t so available.)

A few weeks later, Hart announced the deal with Authentic Brands Group. Hart used some of the proceeds to buy out Abry Partners, freeing him to steer his brand deals to Authentic and outside of Hartbeat. A few of his employees and his publicist joined him at Authentic.

“This is a turning point for Hartbeat,” the company wrote in a subsequent email to employees, explaining that the deal would free Hart up to focus on what he does best, while allowing Hartbeat to stand on its own and grow beyond him.

“I know the past few months have been tough,” Hart wrote, adding that for too long the company had been too dependent on him. The email was said to be from “Kevin AKA Boss Man.” It was sent by Hart’s assistant.

Shaw writes for Bloomberg.

Published on 11/05/2026 – 7:59 GMT+2•Updated
8:11

Oil prices surged in early trade as investors digested the latest developments in the Middle East, with both Brent and US crude climbing over 4%.

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It comes after Trump’s rejection of Tehran’s response to the latest US proposition on bringing the conflict in Iran, and subsequent impact on trade passing through the Strait of Hormuz, to an end.

In other trading, US futures edged lower, while Tokyo’s Nikkei 225 fell 0.4% to 62,486.84 after briefly reaching another record high in intraday trading at above 63,300.

South Korea’s Kospi gained 4.1% to 7,804.71. It also hit an all-time intraday high, led by gains from tech-related stocks including Samsung Electronics and memory chip maker SK Hynix.

Technology-related stocks and growing artificial intelligence-related interest have supported markets in Japan and South Korea despite the Iran war, with the Nikkei 225 and Kospi rising more than 10% and 30%, respectively, over the past month.

Meanwhile, Donald Trump will head to China this week for talks with his counterpart, Xi Jinping. The two leaders are expected to discuss a wide range of topics, including trade concerns.

The article suggests that hyperscaler capital expenditures are likely to be maintained even during economic downturns due to competitive pressures and the risk of under-investment, but acknowledges their financial cushion is thinner than historic monopolies like Bell System.

For Vince Gervasi, chief executive of Triscenic Production Services, it was yet another body blow.

His company, a leading supplier of set and scenery storage and transportation for the film industry, was poised for a turnaround after nearly three years of losing money.

Then, last week, he said a line producer on “Shark Tank,” one of his long-standing clients, called him to say the hit ABC reality show was relocating production from the Sony Pictures Studios lot in Culver City to Atlanta.

“They said it was too expensive here to do anything,” Gervasi recalled being told. “I said, ‘Are you kidding me?’ This show has money.’”

For the last six years, Triscenic had dedicated a 70,000-square-foot warehouse at its Santa Clarita facility to store the show’s items, transporting them in 30 custom made semitrucks between seasons.

Battered by the pandemic, the dual labor strikes, economic downturns and consolidations, Gervasi told The Times in 2024 that he had laid off 78 of his 85 employees and winnowed down his once-buzzing operations that housed sets and scenery across 2 million square feet in 41 buildings to half that, with the expectation that things would bounce back.

Like many other local film industry veterans, he is still waiting.

Vince Gervasi, at Triscenic Production Services, in Santa Clarita.

(Bob Doyle)

“I’ve been doing this for 41 years. I’ve seen the good and the bad — this is a complete decimation. It’s unprecedented.”

From florists to prop rentals to catering and beyond, production services and craft businesses are the hub and spoke of L.A.’s film and TV industry. But many of these businesses — some of which have been family-operated for generations — are struggling to weather a post-pandemic slump in film activity deepened by runaway production, media consolidation and the end of the streaming boom.

Film shoot days in the Los Angeles region have fallen nearly 50% since 2019, according to FilmLA data reviewed by The Times. Employment in Los Angeles County’s motion picture and sound recording industry has similarly plummeted, with a loss of some 57,000 jobs in the last four years, federal labor data show.

The slowdown has become a major issue in the L.A. mayoral race as evidence mounts of the economic toll on the city.

Just last month major industry vendor Quixote — whose Star Waggons trailers were once ubiquitous on the streets of L.A. — announced that it was winding down most of its sound stage business in Los Angeles, closing its operations in Atlanta and laying off 70 employees.

In a note to its clients and partners, Hudson Pacific Properties Inc., Quixote’s parent company, said that “we have persisted through the prolonged and ongoing slowdown in commercial, television and film production. But ultimately, industry conditions have forced difficult decisions.”

Between 2022 and 2025, more than 80 such businesses across Los Angeles have closed down, according to a list compiled by the ACME Directory, a production resource that connects TV and film professionals with specialized products and services.

“It’s, in many ways, a much bigger reflection of the contraction we’re seeing in the industry right now,” said Kevin Klowden, a senior fellow at the Milken Institute, focused on entertainment and technology. “The surge in demand for streaming and the consequential demand to catch up on content hid the fact that the industry was shrinking.”

Last October, the family-run Costume Rentals Corp. began liquidating its inventory after dressing film and television characters for 50 years. The North Hollywood firm provided costumes for “Forrest Gump,” “Apocalypse Now,” “Fast and Furious” and, more recently, the 2024 Bob Dylan biopic, “A Complete Unknown.”

A year earlier, Valentino’s Costume Group closed its doors after two decades in business and sold off its 400,000 items. At the time, Shon LeBlanc, the North Hollywood shop’s last owner standing, said he had endured a “perfect storm” of calamities and was drowning in debt following the cancellation of 15 shows in a single week.

Even the legendary Western Costume, which has been in business since 1912, has been hurt by the slowdown. During the 2023 strikes by writers and actors, Western Costume furloughed 43 employees, or about two-thirds of its staff. Recently, the North Hollywood costume mecca, which has supplied such classic films as “Gone with the Wind,” “The Wizard of Oz,” “The Sound of Music” and the TV series “Mad Men,” furloughed an unspecified number of its workers, said two people familiar with the matter who were not authorized to speak publicly.

A representative of Western Costume did not respond to a request for comment.

Marc Meyer, the owner of Faux Library Studio Props, had strained to stay in business through the pandemic shutdown and the 2023 labor strikes — laying off 11 of his 13 employees.

By the start of 2024, Meyer, a set decorator who was credited with inventing the fake movie book, was drastically behind on rent, owing $500,000, he said.

Marc Meyer, closed the doors on Faux Library Studio Props in North Hollywood after almost 25 years in business.

(Mel Melcon/Los Angeles Times)

Meyer’s landlord had given him a week to come up with more than $100,000 in unpaid rent or vacate the 89,000-square-foot warehouse in North Hollywood filled with props, books, antique furniture and other items that have decorated such film and TV sets as “Angels & Demons” and “The X-Files” for almost a quarter-century.

Meyer came up with $45,000 to mollify his landlord, garnering a month’s reprieve. A GoFundMe was set up during the strikes and a host of industry colleagues such as “Top Gun: Maverick” set decorator Jan Pascale stepped up, buying props to help fill his coffers.

A year later, Meyer was out of business, selling off Faux Library for parts in a massive auction. He died last July at 77.

“The change in our city is palpable,” said writer and director Sarah Adina Smith, a co-founder of Stay in LA’s, a grassroots campaign aimed at increasing film and television production in Los Angeles. “It’s not just that so many crafts and artists are out of work, but you see small businesses, too. In L.A., we’re an ecosystem fed in large part by creative jobs, and that is quickly vanishing.”

Marlon Gilbert still waxes nostalgic about the days his Commerce-based company, Gilbert Production Service, stored and transported scenery and props for TV shows including “Dancing with the Stars” and feature films like “Batman.” At one time, he said, he was handling seven active TV shows in a single season.

“When it was still on Fox, the ‘American Idol’ finale, we had like 20 semitrucks going in and out. Money was flowing like crazy,” he said. “But eventually times got hard for them, and they cut back on their production stuff.”

By last year, Gilbert was down to just three clients. “It wasn’t sustainable,” he said.

In December, after three decades, the family-owned business filed for Chapter 11 bankruptcy and shut down too.

“I couldn’t pay rent on our warehouse lease, I blew through my savings and my 401(k),” he said. After his wife was hospitalized following multiple strokes in 2023, he said, “I didn’t have the energy to beat the bush for new business.”

“I would’ve liked to have gone out with more panache and made a big splash and money selling the business. But there was nothing left to sell.”

Scott Niner, president and owner of Dangling Carrot Creative, checks on a robotic machine as it fabricates at his shop in North Hollywood.

(Jason Armond/Los Angeles Times)

Scott Niner, president and owner of Dangling Carrot Creative, offers a case study in how production service businesses have navigated the tidal wave of upheavals.

After 18 years in business creating graphic signage, custom flooring and wallpaper to make sets look exactly as art directors dreamed up, the company filed for Chapter 11 bankruptcy last April.

Before the pandemic, Niner’s Valencia-based business was thriving.

In 2014, he opened a Georgia satellite office to service the film and TV productions that had migrated to take advantage of the state’s generous tax credits. He steadily expanded his workforce to 32 employees in L.A. and Georgia.

Production was so plentiful that he even branched into the bakery business in 2018, delivering graphics and cupcakes in the same order. At its peak, Dangling Carrot generated $800,000 a month.

When the pandemic shutdown hit, Niner’s monthly revenue dropped to $50,000, he said. He kept his workers employed by making face shields that he donated to hospitals.

“I hung in there, and it was painful,” said Niner, who received some government assistance.

During the strikes in 2023, he drained his 401(k) and his union pension to keep his shop open and his workers employed.

Niner said he deployed a strategy of “pivoting and praying.” He shifted his business to focus more on fabrication, making giant 3-D-printed items for movie premieres, 25-foot-long, 8-foot-tall and 8-foot-deep ammo chests for a “Call of Duty” promotion and even graphics at airports.

Last last month, Niner sold off his Georgia business as filming in that state shifted to the U.K. He downsized his home and moved his business from Valencia to a much smaller building in North Hollywood. He is now down to 11 employees.

“I have a very bright outlook on the future, especially because we’re getting phone calls from people who never would have called us because all the other guys are out of business,” he said. “There’s something to be said about the last man standing. But I’m the last man standing on $2 million in debt. I’m more like lying down.”

The industry got a reprieve last week when CBS announced that it was relocating its hit drama “Tracker” to Los Angeles from Vancouver, Canada, after receiving a $48-million tax credit. Many view such moves, however, as small wins over comprehensive ones.

“There’s been a fundamental change happening here over the past five years,” said Cale Thomas, a makeup artist who has worked on “Guardians of the Galaxy 3” and the recent biopic “Michael.”

Thomas, who is a member of Stay in LA, acknowledges that California’s step last year to double its tax incentives has helped to spur an uptick in local production, but that has not stopped the outflow of productions or resolved a host of restrictions and costs that have hampered the industry.

He worked on “The Mandalorian” and other Lucasfilm series that stream on Disney+ for five years. “We shot in Manhattan Beach Studios,” he said, but noted that Lucasfilm has since moved one show to the U.K. and produced two others there.

“This has been devastating for our industry,” he said. “Hundreds of generational family businesses aren’t being used anymore.”

The pain points are not confined to Hollywood.

Last year, Marvel Studios — which had made Georgia, known as Hollywood of the South, its primary filming center for such major franchises as “Avengers: Infinity War” — relocated much of its production to the U.K.

The impact has meant even fewer domestic productions causing an even bigger ripple effect.

Among the high-profile casualties was Hackman Capital Partners, which aggressively snapped up studios, acquiring $10 billion in assets under management before production activity plummeted nationwide.

In January, the company defaulted on its $1.1-billion mortgage on Radford Studio Center, the historic lot where “Seinfeld” and “Gunsmoke” were filmed and which gave Studio City its name.

Earlier this year, Hackman Capital Partners defaulted on its $1.1-billion mortgage on Radford Studio Center, the historic lot where “Seinfeld” and “Gunsmoke” were filmed.

(Gary Coronado/Los Angeles Times)

Three months later, lender Deutsche Bank filed a foreclosure complaint on the also-historic Kaufman Astoria Studios in Queens, N.Y., home to “Sesame Street” and “Succession.”

Kaufman, also owned by Hackman Capital Partners, defaulted on an outstanding loan balance of $359 million that was due to be paid last fall, according to CRE Daily.

Gregg Bilson sold ISS Props, the Sunland-based company his father founded in 1977, to Manhattan Beach Studios, part of Hackman Capital Partners, five years ago, staying on as CEO to help run and expand the company.

After 40 years in the business, he retired last August with a little more than a year and a half left on his contract.

Bilson now sees himself as a Hollywood relic.

“Many of my contemporaries and I have had conversations where we say we saw the best of the film and TV industry when it was an art form,” Bilson said. “It will never be the same.”