Initially budgeted at $250,000, the film's production soared above $1 million, thanks to Erich von Stroheim's excesses. He started shooting in July 1920 and kept going for 11 months, until he was taken off the picture in June 1921. Afraid that the movie might bankrupt Universal, studio chief Carl Laemmle sent his assistant, 21-year-old Irving Thalberg, from New York to Hollywood to try to get von Stroheim to finish the film. When Thalberg threatened to replace him with another director, von Stroheim laughed in his face, pointing out that he was the star of the movie as well as the director; if he were replaced, the movie would never be finished. However, Thalberg outsmarted him. He carefully watched production on the picture and, when he thought enough footage had been shot to make up a story, took von Stroheim's cameras away, reminding the director that they were studio property. For proving his mettle against von Stroheim, Laemmle made Thalberg the new head of production at Universal Pictures.

Mrs. Hughes can be seen reading a book with the title "Foolish Wives", written by Erich von Stroheim.

Included among the '1001 Movies You Must See Before You Die', edited by Steven Jay Schneider.

After six months in the editing room, Erich von Stroheim turned over his cut of the film to Universal Pictures in December of 1921. The film was 32 reels and 8 hours long, but von Stroheim insisted it was now "a perfect story." When asked how it would be possible to present 32 reels for an evening's entertainment, he replied, "That's a detail I hadn't time to bother about" (the magazine "Photoplay" suggested that the movie should be re-titled, "Foolish Directors," and released as a serial). Universal took over the movie, and edited it down to 14 reels, with a 210-minute running time. Von Stroheim hated the shorter version, complaining that all that was left of his masterpiece was "the bones."

Erich von Stroheim's excesses on the film also included ordering lavish evening gowns from Paris, silk stockings, and monogrammed silk underwear for his actors to wear so they could "feel more like aristocrats." He decorated his sets with real porcelain, tapestries and crystal chandeliers. At banquet scenes he insisted on using real champagne and caviar. When asked by a studio executive why he couldn't substitute ginger ale and blackberry jam as props for the champagne and caviar, von Stroheim replied, "Because my actors will know the difference, I will know the difference, and the camera will know the difference."