The Academy of Motion Picture Arts and Sciences has announced that it will now shortlist 10 nominees for the Best Picture award in a bid to promote "inclusion".
Current rules allow for the number of films shortlisted in the category to change each year.
The Academy announced the change in a statement which said the organisation is seeking to "advance inclusion in the entertainment industry and increase representation within its membership and the greater film community".
The announcement is part of plans by the organisation's Academy Aperture 2025 initiative which encourages "equitable hiring practices and representation" in the film industry.
A task force has also been set up to develop new standards for representation and inclusion in the film awards by July 31.
The new standards will be implemented for the 2021 Oscars, which is also the year that the new rules around the number of best picture nominations will be brought in.
The Oscars has repeatedly faced criticism over the diversity of awards shortlists. In 2015 and 2016 it announced an all-white list of acting nominees which prompted the high-profile #OscarsSoWhite campaign on Twitter. Several A-list stars also boycotted the 2016 ceremony.
Speaking about today's announcement Academy CEO Dawn Hudson said: "While the Academy has made strides, we know there is much more work to be done in order to ensure equitable opportunities across the board.
"The need to address this issue is urgent. To that end, we will amend - and continue to examine - our rules and procedures to ensure that all voices are heard and celebrated."