Reject DRM in total and you will see a gradual decrease in the number of new movies
The music industry spent around a decade refusing to sell music online unless it was wrapped in DRM, and they saw falling sales or stagnant growth. Recently the music industry gave up the DRM crusade and started allowing MP3 and other non-DRM music sales. And guess what? They started seeing better growth. Oh, some of them still pull out the bullshit line claiming "sales are declining", but the unstated details making that a bald LIE is that "physical disk sales are down" while digital sales are up resulting in total sales being up. Not to mention that concert revenue and other secondary revenue streams are up.
The claim that dropping DRM will result in fewer movies being made is ideological and based on a wildly simplistic view of the issue. It's impossible to predict any exact outcomes, but one thing is certain. Any change (in one direction or the other), will only be MARGINAL. Some percentage increase or decrease. And you know what? The number of movies and TV shows and other content being produced each year is already vastly more than any person can physically view. Hollywood alone shovels out just about one and a half movies per day. Plus of course domestic non-Hollywood production and the vast number of movies produced abroad. Hell, Bollywood puts out three movies per day. Obviously India must be utilizing far more DRM than we do (tag: sarcasm, for the sarcasm impaired).
*IF* you're right that abandoning DRM would result in fewer movies being made.... and that's a big if.... it merely means a marginal decrease, and that marginal decrease would strike movies that were only marginal to produce in the first place. Any dregs shaken out at the bottom would reduce the competition (and thereby shore up the profits) of all the better movies.
The demands for DRM are pig-shearing.
Plenty of squealing, not much wool.