Multiplexes’ pain is Amazon Prime Video’s gain

The tug of war between the video streaming services (over-the-top players) and the multiplexes is set to intensify after Amazon Prime Video fired the latest salvo by acquiring seven Bollywood and regional films, including Amitabh Bachchan-Ayushmann Khurrana’s ‘Gulabo Sitabo’ and Vidya Balan-starrer ‘Shakuntala Devi’ for direct-to-digital premiere.

The move will allow the producers and studios to protect their investments and offset carrying losses on their ready to release films and also leverage Amazon Prime’s global reach.

The OTT major’s actions may not go down well with the multiplexes, who have been asking the producers to hold back their releases till they resume operations and honour the time-tested exclusive theatrical window.

“We are ensuring that these movies will get the widest possible distribution across 200 countries and over 150 million Prime users can access fresh content within the safety of their homes,” said Gaurav Gandhi, GM- India at Amazon Prime Video, who was the architect of this disruptive move.

Apart from the two Bollywood films, Amazon has also acquired rights of Jyothika-starrer Tamil legal drama ‘Ponmagal Vandhal’, two Kannada titles – ‘French Biryani’ and ‘Law’, Malayalam film ‘Sufiyum Sujathayum’, and Penguin (Tamil and Telugu).

ET had reported on May 5 that OTT players like Amazon Prime Video, Netflix and Disney + Hotstar were in talks with multiple filmmakers to release films on their respective platforms.

Expressing its “extreme displeasure” and “disappointment”, Inox Leisure, India’s second largest multiplex chain, said in a statement that such decision of the production house is alarming and disconcerting.

“Such acts, though isolated, vitiate the atmosphere of mutual partnership and paint these content producers as fair-weather friends rather than all-weather life-long partners,” Inox said.

When asked if Amazon will continue this trend and acquire movies ahead of theatrical release in future too, Vijay Subramaniam, Head of Content, Amazon Prime Video India, said that such deals are happening across the world.

“We believe this is the best way to bring fresh content to our customers. Also, in current times, all the producers have taken a very holistic view. We all have to readjust to the new reality. The producers are happy with the value they are realising on their films by releasing on Prime Video,” said Subramaniam.

Earlier, the Multiplex Association of India (MAI) had asked all its partners – studios, producers, actors and content creators – to support the cinema exhibition sector by holding and releasing their films in the theatres only, once they open again.