Tamil Film Council Mandates Profit-Loss Share, Sets New OTT Rules

The Tamil Film Producers Council (TFPC) has mandated a revenue-share model for mega-budget films. This significant decision, announced Sunday, requires actors and key technicians to share both profits and losses with producers. The move aims to stabilize financial structures within the Tamil film industry, according to reports by news agency PTI.

In a broader restructuring effort to safeguard theatrical revenue, the association also established new staggered release windows for films moving to OTT platforms. Films featuring major actors can now only be released on streaming services eight weeks after their theatrical debut.

Mid-range actor films will have a six-week window before their digital release. Smaller budget productions will be available on OTT platforms four weeks after their run in cinemas.

The TFPC also plans to create a Film Release Regulation Committee. This committee, including representatives from theater owner and distributor associations, will ensure proper theatrical access for up to 250 small and medium-investment films annually.

Furthermore, the TFPC has urged actors, directors, and principal technicians to prioritize film projects over web series. The council believes excessive promotion of digital projects diminishes public interest in cinema and weakens the industry’s ecosystem.

The association stated that unions should cease cooperation with any individuals who violate this proposal. Theater owners would also be advised against screening films from those who do not adhere to the new guidelines.

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