Except the web doesn't really need their content. The web exists and will continue to flourish regardless of the availability of commercial hollywood films and television on it. It got this far without ruining open standards, and the MAFIAA lobby forced DRM bullshit upon it because they fear for their long term viability.
That is a sign they were losing the battle, and they absolutely were with the rise of youtube, facebook video, twitch, etc - alternative video sources were / are starting to get professional, with many major youtube channels having production crew and proper film / showmaking.
The web would have been absolutely fine without them, but they knew they would not survive without the web long term, especially internationally.
It's not so simple. Content providers want to distribute on the web. Yes, they have the ability to just pull out and avoid that space entirely, but that's not good for them. The web needs their content, but they also need the web.
In other words, the W3C saying no to DRM would apply pressure in the right direction.
That suggests positions can be shifted. And we have seen them shift before, with music downloads, which used to be DRM'ed, but no longer are.