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This page discusses the fall and rebirth of the Japanese film industry in modern times. The industry fell in the nineties, where Japan faced the biggest drop ever. The rebirth was due to increased funding from television companies and others, as well as the rise of talented new directors and actors, the opening of multiplex theaters, and the decline in quality of a lot of Hollywood films.

Echoing Japan's progress in the 197O's, the film industry is under a bust. Compared to the box office sales in 2008, 2009 seems to be foreshadowing a decline and an economy repression. It was surprising to find out that foreign movies are in a decline in sales as well. The industry's progress already prompted Distributors Wise Policy and Movie-Eye Entertainment to cancel their pieces of works midway through. Japan is also insisted on investing into making 3-D films because critics say that it would prove to be beneficial.

Hollywood blockbusters took over the movie industry in the 20th century, but Kitano Takeshi became the leading Japanese film director. He rose in the international movie world and lead the Japanese movie industry to a new heights in the current decade. In this century, Hollywood has created many remakes of original Japanese horror movies. Popular ones include The Ring (Ringu 1998), Tinseltown (2002), and The Grudge (Juon 2003)

The Japanese journalist, Takeharu Watai, produced "Little Birds" in 2005. This documentary is based on the Iraq war, from the point of view of the people who live in Baghdad. Watai was suggested to display the film to Congress and the President. Because it is spoken through a different perspective, rather than US soldiers, strong American nationalists are open to a different view of the war. Akihiro Nonaka, a representative of Asia Press International,said, "'Growth in antiwar momentum in the United States contributed to realizing the screenings of 'Little Birds' there'" (qtd. in Asia Media Archives par. 12). Since his documentary became an international hit, Watai was urged to make a sequel.