The problem is that there still is a devoted customer base for film. It even seems to be growing as older photographers are taking up analogue again, and younger ones have discovered lomo.
Originally Posted by Sal Santamaura
The problem is that several film producers have not adapted their products and businesses to the new realities where film is a niche and digital the main medium. They also seem to lack commitment. For instance Fuji cancelled one of the best films ever, Neopan 400 120, because they wouldn't make the investment to comply with new environmental rules.
Film would be profitable, if the producers went about it in the right way. The world would be a sadder place if we lost film to inept business practices.