'Dunkirk' was quite good and I plan to see 'Darkest Hour'. Admittedly, some of the highest grossing films, including 'Star Wars', 'F&F 8' and others simply aren't of Best Picture caliber. 'Dunkirk' had a respectable gross and was nominated. I think it's less the films that are nominated, although that may be an aspect of the issue. A film that might have merited a nomination, if for nothing else it's originality was 'Split'.
Hollywood seems incapable of producing quality films that will attract audiences and could be Best Picture contenders, so the problem is still there regardless.
The power issues in the East may have had some impact, but I doubt it would've made much difference. They chose an awful host. I didn't get the moralizing anyway. Hollywood tolerated awful behavior for years, and now Hollywood is scolding who, the rest of America for their failings? No wonder people are tuning out.