Netflix is reportedly exploring a foray into the theatrical exhibition space in India, specifically in the Telugu states. The company is considering building theatres across tier-2 and tier-3 cities, marking a significant shift in the traditional film distribution model. This move could potentially blur the boundaries between theatrical and digital releases in the Indian market.
The speculation has gained momentum following Netflix's recent opening of Eyeline Studios, a 32,000 sq. ft. VFX and post-production facility in Hyderabad. The studio specializes in high-end visual effects work and virtual production technology, positioning Telangana as a key player in the global entertainment production ecosystem.
Netflix is not just looking at exhibition but also at distribution. The platform is keen on distributing feature films in India while exploring the possibility of screening its original OTT content in theatres. This move could mark a significant shift in the traditional film distribution model, potentially changing how films are released and consumed in India.
Netflix has already acquired the post-theatrical streaming rights of some big Telugu Pan-Indian films, which will be available on the platform after an 8-week theatrical window. The company's investment in Telugu cinema is evident, with a combined investment of over Rs. 1,000 crore in various projects.