Different OTT release windows cause tensions between filmmakers and cinemas

The gap between a film’s theatrical release and its OTT release was normally 8 weeks in India, before the Covid-19 pandemic struck in 2020, when films started releasing on streaming platforms first while theatres remained closed for months.

Exhibitors had hoped the old equilibrium would return once the pandemic was over, but that has not happened uniformly across Indian-language films, with many filmmakers opting for a shorter OTT release window than eight weeks, potentially hurting multiplex revenues.

While Hindi filmmakers generally stick to the eight-week timeframe, Tamil films stream online within four weeks of theatrical release, and sometimes even sooner. Malaysian cinema, by contrast, opts for a timeframe of four to six weeks, depending on the film’s box office performance and the specific deal struck with a streaming service.

This inconsistency is rampant and fuels tensions between producers and theater owners, experts said.

While producers stress the need to monetize a film on other platforms soon after its theatrical release, theaters are keen that the release gap between the two platforms (theaters and OTT platforms) is considered sacrosanct.

“The conversation between producers and exhibitors on the gap between theatrical and OTT releases is evolving dynamically, especially in light of recent trends. For Hindi films, the usual practice has been around an eight-week gap before transitioning to OTT platforms. However, in the Tamil and Malayalam film industries, this gap is more varied and ranges between four to eight weeks. We believe that maintaining an appropriate gap is essential to preserve the value of the theatrical experience and ensure that both producers and exhibitors benefit from a well-balanced release strategy,” said Devang Sampat, CEO, Cinepolis India.

Sampat added that the concept of theatrical release windows, while traditionally fixed, is increasingly seen as a perception rather than a hard-and-fast rule. “However, in our view, all films, regardless of their box office performance, should adhere to the same window. This uniformity ensures fairness and predictability across the industry, while maintaining the integrity of the theatrical experience. By keeping the window consistent, we uphold the value of the theatrical release, allowing each film the opportunity to reach its full potential in theatres before moving to digital platforms,” Sampat said.

No doubt, as has been the practice since the COVID-19 pandemic, recent southern films like Dhanush’s raayan and Vikram Thangalaan Multiplex chains in North India did not screen films that opted for a faster release on OTT. Amit Sharma, CEO of Miraj Entertainment, a company that operates multiplexes, admitted that the company has shelved dubbed versions of films from the south that did not adhere to the eight-week deadline. “In this case, it is the producer’s decision. Talks are on, but nothing concrete has materialised,” Sharma said.

A film producer said filmmakers had jumped on the bandwagon during the COVID-19 pandemic to reduce the OTT release window of their films to four weeks after the theatrical release as theatres were functioning with limited occupancies and films were hardly registering footfall.

“The situation is complicated at the moment (all languages ​​work differently). Producer associations are much stronger in the South and they do not agree with the eight-week window, given their deep connections with single-screen theatres, which they value more. Obviously, all OTT platforms have a certain release schedule and need to put out a specific number of new titles every quarter, so the pressure from them is also high,” said the producer, who asked not to be named. That said, both producers and OTT platforms realise the importance of the box office, so the effort is to try to gradually strike a balance, the producer noted.