Theatrical Movies Will Start Coming to Home Video Faster
by EG
Universal and the Cinemark movie theater chain have reached a deal that will transition Universal's movies from theaters to home video faster than ever before. Under the deal, hit movies can be available on demand about a month after their theatrical release, and smaller movies will come to home screens in a little over two weeks. Read on for details.
Universal has struck a history-making deal with Cinemark Entertainment that will dramatically shorten the theatrical window for its films playing at the U.S. box office — including larger event pics and tentpoles — even after the pandemic ends.
Under the terms of multi-year pact, a Universal movie opening to $50 million or more at the domestic box office can be made available in the home via premium VOD beginning 31 days after it opens on the big screen.
Cinemark, the country's third-largest chain, is okay with all other Universal, DreamWorks Animation and Focus Features movies being made available on PVOD after 17 days, similar to the history-making arrangement Universal struck with AMC Entertainment in late April.
The Cinemark news is significant for several reasons. Not only does it introduce the idea of a 31-day window for tentpole or event fare, it means that two of the country's three largest movie theater circuits are on board with Universal's push to release movies in the home early and create a new PVOD window. Universal now has far more leverage.
The Cinemark arrangement further alters the landscape at a time when circuits are under siege because of COVID-19, with no certainty as to what moviegoing will look like when there's a vaccine.
Terms weren't disclosed, but Cinemark and AMC are expected to share in the PVOD revenue.
“We believe a more dynamic theatrical window, whereby movie theaters continue to provide an event-sized launching platform for films that maximize box office and bolsters the success of subsequent distribution channels, is in the shared best interests of studios, exhibitors and, most importantly, moviegoers," Cinemark CEO Mark Zoradi said in a statement.
Get the rest of the story at The Hollywood Reporter.
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