Producers regret shrinking non-theatrical revenues

The Telugu film industry is now facing the consequences of its own missteps, with leading producers openly acknowledging the collapse of the once-lucrative non-theatrical revenue streams.

The Hindi dubbing market for Telugu films has virtually vanished. Satellite rights have become negligible in value. And now, OTT platforms have started tightening their budgets, striking deals only with select big-ticket films.

Veteran producer Dil Raju recently admitted that the producers themselves are to blame for the decline. “Without proper foresight, we over-relied on the OTT boom. Now, platforms are selective, and smaller or mid-range films are not getting decent offers,” he said.

Joining the conversation, Mythri Movie Makers’ Naveen Yerneni echoed the same concerns. “OTT deals are becoming increasingly difficult to close. We now realize it’s time to focus on reviving the traditional theatrical business,” he remarked.

This rare self-reflection from top producers signals a turning point. And a likely shift back to prioritizing content-driven theatrical releases, as the industry seeks to regain lost ground.