In a stunning blow to Disney and Marvel Studios, The Fantastic Four: First Steps, the highly anticipated reboot of Marvel’s First Family, has stumbled dramatically at the box office, sparking panic within the studio and fueling speculation about the future of the Marvel Cinematic Universe (MCU). Despite an all-star cast led by Pedro Pascal and a promising $118 million domestic opening, the film’s catastrophic 66% second-weekend drop to $40 million has left industry insiders reeling. With a global gross of $368.7 million against a $300 million production and marketing budget, the film is on track to fall short of profitability, raising alarm bells at Disney. Social media platforms like X are ablaze with reactions, with fans and critics alike questioning whether Marvel should hit the panic button. What went wrong with First Steps, and is this the beginning of the end for the MCU’s once-unassailable dominance?

A High-Stakes Reboot

The Fantastic Four: First Steps, released on July 25, 2025, was positioned as a cornerstone of Marvel’s Phase 6, introducing Reed Richards (Pedro Pascal), Sue Storm (Vanessa Kirby), Johnny Storm (Joseph Quinn), and Ben Grimm (Ebon Moss-Bachrach) to the MCU. Directed by Matt Shakman, the film embraced a retro-futuristic 1960s aesthetic, aiming to differentiate itself from previous failed adaptations by 20th Century Fox, including the critically panned 2015 reboot that grossed just $167 million globally. Marvel’s acquisition of Fox in 2019 gave studio president Kevin Feige the chance to integrate the Fantastic Four into the MCU, with promises of a “no-homework-required” story that avoided the team’s origin narrative.

The film’s marketing campaign, valued at $170 million, was one of Marvel’s most ambitious, featuring partnerships with brands like Little Caesars, Zillow, and Pop-Tarts, and leaning heavily into the family-centric narrative of its heroes facing the planet-devouring Galactus (Ralph Ineson). Early buzz was positive, with critics praising the cast’s chemistry and the film’s visual style, earning an 89% “certified fresh” rating on Rotten Tomatoes. The Hollywood Reporter called it “Marvel firing on all cylinders,” and audiences gave it an A- CinemaScore. With a $57 million opening day—the second-biggest of 2025 behind A Minecraft Movie—and a $118 million domestic debut, First Steps seemed poised to break the curse of past Fantastic Four flops.

Yet, the euphoria was short-lived. The film’s second weekend saw a devastating 66% drop to $40 million domestically, one of the steepest declines in MCU history, rivaling The Marvels (78%) and Ant-Man and the Wasp: Quantumania (70%). By August 3, 2025, its global total stood at $368.7 million, with $170.3 million from international markets, far below expectations for a film meant to anchor Marvel’s future.

What Went Wrong?

Several factors contributed to First Steps’ shocking underperformance. First, the film failed to expand beyond its core comic book fanbase. Despite its accessible premise, the retro-futuristic setting and lack of MCU connectivity alienated casual moviegoers, who have shown signs of superhero fatigue. Variety noted that while 68% of opening weekend audiences were male, the film struggled to attract female viewers, despite Vanessa Kirby’s standout performance as a pregnant Sue Storm. Analyst Jeff Bock of Exhibitor Relations remarked, “Fantastic Four is not a top-tier Marvel franchise. Never has been,” highlighting its historical struggle to resonate broadly.

Second, the film’s narrative shortcomings drew criticism. While reviewers praised its character-driven approach and polished visuals, some, like ComicBook.com’s Spencer Perry, called it “damning with faint praise” compared to Marvel’s 2025 disappointments, Captain America: Brave New World ($415 million globally) and Thunderbolts ($382 million). Critics on X and Reddit pointed to a weak third act, minimal action sequences, and an underwhelming Galactus, with one IMDb user lamenting, “The last act was horrible. It felt like it was missing a whole act.” The decision to sideline the Silver Surfer (Julia Garner) and reduce Galactus’ menace further dampened audience excitement.

Third, competition and market dynamics played a role. First Steps followed closely on the heels of DC’s Superman, which opened to $125 million domestically and has grossed $551.2 million globally, benefiting from stronger family turnout (21% vs. First Steps’ 17%). Rural and suburban audiences, key for family-driven films, underperformed by 13%, according to EntTelligence. Additionally, international markets like China, where First Steps earned just $4.5 million, have been hostile to superhero films, further limiting its global reach.

Finally, casting controversies surrounding Pedro Pascal as Reed Richards fueled online backlash. Fans on X criticized his age and appearance, with comments like “He looks more like Tony Stark than Mister Fantastic.” This echoed the backlash faced by Rachel Zegler in Snow White and Evita, where public perception impacted performance. Pascal’s recent collapse during a promotional event for First Steps—attributed to exhaustion—added to the narrative of a production under strain, further dampening audience enthusiasm.

Disney and Marvel’s Panic Mode

The box office collapse has sparked panic at Disney and Marvel, with insiders reporting “crisis meetings” to address the MCU’s trajectory. The studio’s $300 million investment in First Steps, including $200 million for production and over $100 million for marketing, requires a global gross of at least $600 million to break even, a threshold it is unlikely to reach given its current $368.7 million total and projected $450 million final tally. This follows a pattern of recent MCU disappointments, with Captain America: Brave New World and Thunderbolts losing money against their $180 million budgets.

Disney CEO Bob Iger’s mandate to “do less at a higher caliber” has been tested by First Steps’ failure to sustain momentum. The film’s 46% international share of its global gross—unusually low for an MCU title—highlights its struggle in key markets like Asia, where local competition in Korea and Japan overshadowed its release. The studio’s reliance on premium large-format screens, which accounted for 46% of domestic ticket sales, was a bright spot, but not enough to offset the broader decline.

Social media reactions have amplified the crisis. X posts like “Marvel’s done. Fantastic Four was their last shot” and “Disney’s burning cash on flops” reflect growing fan disillusionment. Comic creator Rob Liefeld, who criticized Marvel after Deadpool & Wolverine, took to X to note his nearly empty First Steps IMAX screening, calling it a sign of the MCU’s waning appeal. Conversely, some fans defended the film, with one writing, “It’s a fun family dramedy. People just want explosions.”

The timing is particularly dire as First Steps sets the stage for Avengers: Doomsday (December 18, 2026), where Pascal’s Reed Richards and Robert Downey Jr.’s Doctor Doom will face off. Downey’s recent emotional breakdown on the Doomsday set—after seeing Pascal in the Iron Man suit—has added to the narrative of a franchise in disarray, with fans on X speculating that Marvel is disrespecting its legacy heroes. The failure of First Steps to establish the Fantastic Four as a bankable team could jeopardize Doomsday’s prospects, a critical event film for Marvel’s future.

Should Marvel Panic?

The question of whether Marvel should panic hinges on the broader context of its recent performance. The success of Deadpool & Wolverine, which grossed over $1 billion globally in 2024, proves that audiences will turn out for compelling superhero stories. Superman’s strong $551.2 million global haul further suggests that quality, not genre fatigue, drives success. However, First Steps’ inability to match these benchmarks, despite positive reviews, indicates deeper issues with Marvel’s strategy.

Marvel’s reliance on star power—evidenced by Pascal’s casting and the $170 million promotional push—has not translated to sustained audience interest. The studio’s shift away from interconnected narratives, while appealing to casual viewers, may have alienated diehard fans expecting ties to the broader MCU. The decision to avoid the Fantastic Four’s origin story, while bold, left some viewers feeling disconnected, as noted in IMDb reviews complaining about pacing and a lack of emotional depth.

Yet, there are reasons for cautious optimism. First Steps has already outgrossed Fox’s 2015 Fantastic Four ($167 million) and is poised to surpass the 2005 and 2007 films ($333 million and $301 million, respectively), making it the highest-grossing Fantastic Four film ever. Its A- CinemaScore and 93% audience score on Rotten Tomatoes suggest it resonates with those who saw it, particularly in urban markets where it overperformed. With no major competition until Tron: Ares in October, the film could see a modest recovery in coming weeks.

A Path Forward

To avoid further flops, Marvel must address several key issues. First, it should prioritize narrative clarity and emotional resonance, learning from First Steps’ weak third act and underdeveloped villains. Second, casting decisions need careful consideration to avoid fan backlash, as seen with Pascal’s polarizing Reed Richards. Third, Marvel must balance its appeal to families and comic fans, potentially by leaning into the “kid-centric” tone inspired by The Incredibles, as noted in the film’s screenplay origins. Finally, the studio should leverage its upcoming slate—Spider-Man: Brand New Day and Avengers: Doomsday—to rebuild trust, ensuring these films deliver on both spectacle and story.

For Disney, the financial stakes are high. The studio’s $3.19 billion global box office in 2025, driven by First Steps and Lilo & Stitch’s $1 billion haul, shows resilience, but consistent losses on MCU films could erode investor confidence. A strategic pivot, perhaps streamlining Phase 6 to focus on proven characters like Spider-Man and the X-Men, could stabilize the franchise.

Conclusion

The Fantastic Four: First Steps’ shocking box office collapse has sent Disney and Marvel into a tailspin, raising existential questions about the MCU’s future. While the film’s $368.7 million global gross and strong reviews offer some solace, its failure to sustain momentum underscores deeper challenges: superhero fatigue, casting controversies, and narrative missteps. With Avengers: Doomsday looming, Marvel faces a critical juncture. Panic may be premature, but the studio must act decisively to restore its reputation as Hollywood’s hitmaker. For now, the Fantastic Four’s first steps have faltered, leaving fans and executives alike wondering if Marvel can find its footing again.