iWorld
Small, mid-budget movies may take OTT route before landing in theatres amid COVID-19 crisis
MUMBAI: A number of countries have come to a standstill along with major industries as the number of COVID-19 infections keeps increasing unabated. Theatres across India have shut down amid a 21-day-long lockdown and scheduled film releases in the country too are cancelled. Since the theatrical window is now a closed option, some of the producers and distributors might look at streaming platforms for an early release. Many major Hollywood studios have decided to make their movies available on streaming services in the US. Will India follow the pattern? Not immediately.
The economics of movies are far from simple. Production budget is not the only major investment for a movie and ticket sale is not the only source of revenue anymore. Hence, experts believe that large-scale films in India will wait for this crisis to get over to have a proper theatrical release but mid-scale or small-budget films have higher chances of looking at streaming releases.
SBICap Securities institutional equity research head Rajiv Sharma says that some of the movies which are ready to release and can not be released may find themselves with OTT names. Sharma says if this lockdown is beyond 14 April, producers and distributors will need liquidity, particularly the regional film makers as they will need to pay stuff, production costs. Hence, he thinks as such something needs to happen there.
Elara Capital VP – research analyst (Media) Karan Taurani thinks only the smaller-budget films of Rs 10-15 core range might come but larger-budgets will still wait for theatres to open. He thinks large-budget films will not come directly to TV or digital because the economics is very different, and too much money is at stake. Moreover, if budgets are very high, digital or satellite would not be able to compensate that budget.
“OTT players, especially deep-pocket ones like Netflix and Amazon, will be willing to pay for such movies as they are building their local /regional content libraries. This is a time to build that loyalty but the problem is Netflix or Amazon may find it easy but for other broadcasters who also have their OTT business may find it tricky given sharp pressure on the ad revenues on the TV side of the business. Nonetheless, they will attempt to pick a few, at least on the regional side, if possible,” Sharma adds.
During the lockdown, over-the-top platforms have already emerged as beneficiaries as viewers now don’t have any other option of entertainment. Some of the major platforms even have pushed a few premium content for free. While content-driven digital-only films are already turning out as big trend, the platforms might even look for direct releases of the ones which have postponed release for indefinite time. According to the FICCI-EY 2020 report, the filmed entertainment segment grew because of increased domestic theatrical revenues and growth in both rates and volume of digital rights sold. Digital rights continued to grow in 2019 with an increase in revenues from Rs 13.5 billion in 2018 to Rs 19 billion in 2019. Considerably, around 50 films made direct debut on digital platforms.
Taurani mentions that it all depends now on how many cases develop in the next 15 days and that is the deciding factor. Also, we have to see if people will move out or the government doesn't lift the lockdown. He also cited the example of China which has opened around 1000 screens and they have slowly started revising the ticket prices downwards to motivate people to come to cinemas.
Until there are no cases of infection or proper clarification that cases won’t rise in india, people will probably have second thought about going to the cinema. According to him, the occupancy of cinemas, which operates 30 per cent for the multiplexes, wil get at 8-10 per cent for start which will also lead to losses.
“Low-cost producers will be more interested in releasing on streaming platforms. Other than that, if they can get at least Rs 50-60 crore, they won’t mind. Later, they can even go for a theatrical release for lower but additional revenues,” Sharma states. Taurani is of the view that small-budget films will be able to easily recover the cost.
Members of the producers' guild, however, refused to comment when reached.
Big films like Sooryavanshi have postponed their releases in this unprecedented situation. Theatres across the country did not have to shut down for such long time except during the 1984 riots. As the media and entertainment industry is now in uncharted water, there are several pressing questions which will need more time to be answered.
iWorld
Telcos push for unified rules as spam shifts to OTT platforms
Over 80 per cent fraud moves online, operators seek common framework.
MUMBAI: The spam may have left your phone network but it hasn’t left you alone. India’s telecom operators are once again dialling up the pressure for a unified regulatory framework, warning that fraud is rapidly migrating to internet-based platforms where oversight remains far looser. According to industry communication, a leading operator has written to multiple arms of the government including the Department of Telecommunications, the Ministry of Electronics and Information Technology and the Ministry of Finance arguing that tighter controls on traditional telecom networks are inadvertently pushing bad actors towards over-the-top (OTT) communication platforms.
The concern is not new, but the framing has sharpened. What was once an industry grievance is now being positioned as a consumer protection issue. Operators say that tackling spam in silos no longer works, as fraudsters seamlessly shift across platforms, exploiting regulatory gaps. The result: a moving target that traditional safeguards struggle to contain.
Executives point to a clear shift in fraud patterns. OTT platforms are increasingly being used for phishing links, impersonation scams and bulk unsolicited messaging, with industry estimates suggesting that over 80 per cent of spam activity has now migrated online. In this environment, the lines between telecom networks, messaging apps and financial fraud are blurring fast.
At the heart of the industry’s demand is a call for a technology-neutral regulatory framework, one that applies consistently across telecom and internet-based communication services. Operators argue that the absence of uniform safeguards, such as sender verification systems, robust spam filters and clearly defined accountability mechanisms, has created enforcement blind spots that fraudsters are quick to exploit.
The proposal is straightforward but far-reaching. Telcos are pushing for baseline anti-fraud measures across all communication platforms, alongside faster response systems and deeper coordination between ministries. Given the interconnected nature of telecom networks, digital platforms and financial systems, they argue that fragmented oversight only weakens the overall defence.
The broader issue is regulatory arbitrage, the ability of bad actors to hop between platforms based on which is least regulated at any given time. Without harmonised rules, operators say, efforts to curb fraud risk becoming a game of whack-a-mole.
As digital communication continues to expand, the debate is shifting from who regulates what to how consistently it is regulated. For now, telecom operators are making their case clear: in a world where spam travels freely, regulation cannot afford to stay fragmented.
