In the field of theatrical movie release, a specific terminology is used in France.
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“Window,” in the sense of a time period during which the movie is released to a certain channel, is usually translated as “fenêtre.” “Créneau” could be understood but is less used.
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“Theatrical release” is “sortie en salles” or “exploitation en salles.”
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It is definitely not anything “théâtral,” as that adjective would be understood as referring to stage theater. (So your translation can only likely be understood by someone who’d understand the mistranslation, and backtranslates into English.)
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The English “movie theater” is “une salle de cinéma,” not “un théâtre.”
A better translation of
Would the film industry be better off without the theatrical window?
would be
Le secteur du cinéma se porterait-il mieux sans la fenêtre d’exploitation en salles ?
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