Why are streamers buying satellite rights for movies?

Streamers are acquiring satellite rights to expand their content catalogues, reduce competition from linear television, and preserve digital exclusivity to drive subscriber growth.

What is the current valuation of satellite rights for films?

Satellite rights valuations have declined sharply, often by 80-90%, as digital rights now contribute the majority of a film's non-theatrical revenue.

How has the merger of Viacom18 and Disney Star impacted satellite deals?

The merger has triggered a power shift, reducing opportunities for producers in satellite deals and encouraging them to bundle satellite rights with digital rights.

Home / Business and Economy / Streamers Buy Satellite Rights: A New Film Deal Era

Streamers Buy Satellite Rights: A New Film Deal Era

23 Feb

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Summary

Pure-play streamers are actively buying satellite rights for movies.
Declining TV advertising revenue impacts satellite rights valuation.
Merger of Viacom18 and Disney Star shifted power dynamics in satellite deals.

Streamers Buy Satellite Rights: A New Film Deal Era

Pure-play streamers are now actively acquiring satellite rights, especially for mid- and small-budget films, over the last two months. This trend marks a notable shift in India's film distribution landscape, with platforms moving further up the content value chain.

Film trade analysts indicate that digital rights now constitute at least 75% of a film's non-theatrical revenue, with satellite rights contributing 20-25%. This change is attributed to meager growth in television advertising compared to the booming digital space. Consequently, satellite rights valuations have seen sharp declines, often by 80-90%.