Silicon Valley Bank Failure Closely Watched In Entertainment As Biden Reassures Investors

Stock markets in Europe fell on Monday amid concern over the fallout of the failure of Silicon Valley Bank, the U.S. bank known for lending to technology companies, despite regulators’ moves to contain the crisis and avoid a domino effect with various measures. U.S. markets also opened the week lower, driven by a drop in banking stocks, but they recovered and were roughly unchanged as of 10 a.m. ET after U.S. President Joe Biden tried to reassure investors, saying: “No losses will be borne by the taxpayers.” The ripple effects of the SVB collapse will also impact the U.S. entertainment industry. Hollywood payroll services firm Wrapbook, which told its production company customers on March 10 that payroll processing would be delayed, gave an update to clients on Sunday saying it will be processing outstanding worker payments on Monday via direct deposit and expects to be “fully operational” by Wednesday. Several companies with connections to the entertainment business, such as Roku, Vimeo and Roblox, said in regulatory filings on Friday that they had accounts at the bank. That being said, none of them have said that the failure of SVB would have a dramatic impact on their ability to operate. At least one analyst also reiterated his bullishness
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