Tamil Theatres Face Crisis: Ticket Prices & OTT Woes

The Tamil Nadu theatre industry is facing a severe crisis, with owners calling for an urgent meeting to discuss escalating financial challenges. Key demands include increasing ticket prices to Rs 250 and establishing an eight-week mandatory window between theatrical and OTT releases. The current four-week gap, coupled with soaring star salaries and reduced OTT platform acquisition rates, has led to a significant strain on producers and theatre owners alike.

Industry heads point to post-COVID surges in star remuneration, with some actors reportedly commanding fees around Rs 140 crore. This, combined with rising production costs, has resulted in substantial losses for many corporate production houses. Consequently, theatres are finding it difficult to turn a profit, with some unable to even break even. The scarcity of major Tamil film releases over recent months further exacerbates the situation, threatening the viability of many cinema halls.

While the Tamil Film Producers Council has mandated an eight-week gap for A-list stars, the feasibility and implementation remain uncertain. Producers are also urging stars to consider profit-sharing models instead of upfront high salaries. The current market dynamics show OTT platforms being selective, making it harder for producers to recoup costs, especially with reduced rights values. The future of Tamil cinema hinges on addressing these complex financial and distribution challenges.