Tamil Film Council Shifts Big-Budget Films to Profit-Sharing Model

Tamil Film Council Shifts Big-Budget Films to Profit-Sharing Model
Source: www.hindustantimes.com

TFPC mandates revenue-share models for big films; what it means for top stars like Rajinikanth, Kamal Haasan, Vijay | Hindustan Times

The Tamil Film Producers Council (TFPC) has announced a significant change in the way large-scale Tamil films are produced, moving toward a revenue-sharing model where leading actors, directors and technicians share both profits and losses with producers. The decision comes amid mounting pressure from declining theatrical, OTT and satellite revenues, prompting the council to also impose stricter release‐window rules: films featuring top stars must wait eight weeks before hitting OTT platforms, while medium‐ and smaller-budget films face shorter windows. The plan further includes the formation of a film-release regulatory committee to ensure smaller films get adequate theatre access, and an industry‐wide effort to prioritise film projects over digital web series. With this, major stars such as Rajinikanth, Kamal Haasan and Vijay could see their production deals and compensation models changing significantly.

The Key points

  • TFPC mandates that big-budget films adopt a profit- and loss-sharing model among producers, stars and technicians.
  • The revenue-sharing move is driven by declining returns across theatres, OTT platforms and satellite rights.
  • Films starring A-list actors must observe an eight-week theatrical window before OTT release.
  • Mid-tier films get a six-week window; smaller films may release digitally after four weeks.
  • A new release-regulation committee (involving theatre owners and distributors) is set up to aid smaller-budget films’ access to screens.
  • The council urges talent to prioritise theatrical cinema over web series to protect the film ecosystem.
  • Non-compliance by actors/directors may result in unions withholding cooperation or theatre owners declining screenings.
  • Legal action will be taken against YouTube channels and unauthorised award/music shows exploiting films.
  • TFPC has acknowledged government support: single-window shooting permissions and local tax reductions were secured.
  • The changes mark a shift in how Tamil cinema finances big projects and indicates evolving compensation norms for top stars.
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