This article engages recent debates about the future of cinema in the digital age. It seeks to broaden the rather narrow terms in which the transition to digital cinema is often understood in film theory. It also tries to assess claims about the 'demise of narrative' that are frequently associated with the digital threshold. I argue that a more dialectical understanding of the relation between terms such as 'narrative' and 'spectacle' is needed to advance current debates. In place of the technological determinism which aligns digital technology with 'blockbuster'films, an understanding based on the politics of spectacle and the ambivalence of distracted spectatorship is advanced.