Baudrillard hated The Matrix for its vulgar and simplistic representation of his work. Great video-essay from Cuck Philosophy on Neos Adventures in the Simulation:
From the shownotes: The Matrix Decoded: Le Nouvel Observateur Interview With Jean Baudrillard.
There have been other films that treat the growing indistinction between the real and the virtual: The Truman Show, Minority Report, or even Mulholland Drive, the masterpiece of David Lynch. The Matrix’s value is chiefly as a synthesis of all that. But there the set-up is cruder and does not truly evoke the problem. The actors are in the matrix, that is, in the digitized system of things; or, they are radically outside it, such as in Zion, the city of resistors. But what would be interesting is to show what happens when these two worlds collide. The most embarrassing part of the film is that the new problem posed by simulation is confused with its classical, Platonic treatment. This is a serious flaw.
The reality (haha) of our new world would be something like noone completely lives in the simulated virtual realms nor completely in reality (which we have no direct access to). We experience and act in the world on a spectrum between the simulated, virtual, fictional and the reality of particles, waves and physics and it would indeed be interesting to explore the dynamics and forces unfolding, when those levels of reality crash into each other and generate manifold narratives, perceived realities and stories. Memetics would be the study of these forces.