The final frame of Michael didn't just close the book on the King of Pop; it left a neon-lit signpost for investors. "His Story Continues," the screen read. Now, Lionsgate is making good on that promise.

During a quarterly earnings call on Thursday, Lionsgate film chief Adam Fogelson confirmed that the studio is deep in development on a sequel to the 2026 blockbuster. The first film, which grossed over $700 million globally, ended abruptly at the 1987 Bad tour. That leaves decades of history—and the most recognizable songs in the Jackson catalog—untapped.

Fogelson’s message to shareholders was clear: the franchise is far from finished. "We are really excited about the progress we’re making," he said. The studio isn't just looking for a repeat performance. They are looking for a massive expansion.

The Strategy Behind the Sequel

Lionsgate has a significant head start. Fogelson revealed that roughly 25 to 30 percent of the second film is already in the can. This footage was captured during the chaotic production of the first movie but ultimately left on the cutting room floor. Using this material will provide a clear financial benefit, lowering the production costs for the follow-up.

Beyond the budget, the narrative structure is set to shift. The first film followed a traditional, linear path. The sequel might not. Fogelson teased a non-chronological approach, suggesting the team could jump "forwards and backwards" through time. This flexibility allows the studio to cherry-pick the most iconic musical moments that didn't make the cut the first time around.

The Elephant in the Room

Michael was a commercial juggernaut, but its production was far from smooth. The original script intended to tackle the child sexual abuse allegations that defined the latter half of Jackson’s life. Those scenes were scrapped entirely after legal counsel for the Jackson estate identified a restrictive clause in a settlement with accuser Jordan Chandler.

That legal hurdle remains. It is unclear how a sequel can navigate the 1990s and 2000s without addressing the scandals that dominated the headlines. If the studio intends to cover the Dangerous era or the later years, they will have to find a way to reconcile the estate’s protective stance with the reality of the public record. For now, Fogelson is focusing on the music.

Key Takeaways

  • Existing Assets: Lionsgate has already filmed nearly a third of the sequel using footage left over from the first production.
  • Non-Linear Storytelling: The studio plans to move away from a strict chronological timeline to maximize the impact of Jackson's biggest hits.
  • Financial Stakes: With the first film grossing $700 million against a $155 million budget, the sequel is a cornerstone of Lionsgate’s long-term growth strategy.

What Comes Next

Lionsgate has not yet set a release date or confirmed a director for the second installment. However, the studio’s next major investor update is scheduled for late August. By then, the industry will be watching to see if the studio announces a production timeline or a lead writer. Until then, the project remains in the delicate phase of balancing the estate’s requirements with the need for a compelling, box-office-ready narrative.