The Telugu film industry is heading towards a potential standoff as theatre exhibitors, producers, and distributors prepare to meet today to discuss pressing issues related to film revenue-sharing. A crucial meeting is scheduled this evening at the Film Chamber in Hyderabad, starting after 4 PM.
At the heart of the issue is the current model where theatres operate on a rental system in the first week of a film’s release, followed by a revenue-sharing model from the second week. Exhibitors argue that this system no longer works in their favour. With most collections now coming in the first week, they say the rental method leaves them with little to no profit.
As a result, exhibitors are demanding that the revenue-sharing model be implemented right from the first week, eliminating the fixed-rent approach. They believe this change is essential for the survival of many single-screen and small theatres struggling with rising costs and reduced footfalls.
Today’s evening meetings – first with distributors and later with producers – are expected to be intense, as exhibitors have already set a deadline of June 1, 2025. If no solution is found, they have warned of a theatre shutdown across Andhra Pradesh and Telangana starting next month.
With major releases like Thug Life and Hari Hara Veera Mallu lined up for June, all stakeholders are under pressure to reach an agreement. Industry insiders and trade analysts will be closely watching the outcome of today’s discussions, which could decide the near future of film distribution in Telugu states.