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Tollywood is on the brink of a significant disruption, as theatre exhibitors from Andhra Pradesh and Telangana contemplate a complete shutdown of single-screen theatres starting June 1. The decision, discussed during a joint meeting held today, stems from growing dissatisfaction among exhibitors with the prevailing rental-based revenue model.

Exhibitors are now demanding a shift to a percentage-based revenue sharing model, arguing it would create a more equitable system. According to sources, a majority of the 60+ exhibitors present, including prominent industry figures like Dil Raju and Suresh Babu, expressed support for the change and displayed a rare unity in their stand.

However, the absence of several top producers and distributors from the meeting has raised eyebrows, suggesting internal disagreements within the industry. Reports indicate that many producers are wary of the proposed shift, concerned that a percentage-based model could diminish their overall returns.

Exhibitors are expected to formally submit a letter outlining their demands, along with a bandh notice, before making an official announcement regarding the theatre shutdown. If enforced, the bandh would significantly impact the Telugu film industry’s release calendar.

Among the immediate casualties could be the Telugu-dubbed version of Kamal Haasan’s much-anticipated film Thug Life, slated for release in early June. While the Tamil version may proceed as scheduled, only multiplexes outside the exhibitors’ association might be able to screen the Telugu version.

The more pressing concern is the fate of Hari Hara Veera Mallu, scheduled for release on June 12. The big-budget film, backed by substantial financial commitments and advances, faces the risk of delayed release, which could have far-reaching financial consequences.

With nearly two weeks remaining, there is hope that senior industry stakeholders will step in to mediate a resolution. However, if the proposed percentage-based model is implemented without consensus, it may trigger broader industry conflicts, especially concerning profit-sharing norms between producers, distributors, and exhibitors.

All eyes are now on the top brass of Tollywood to intervene and steer the industry away from a looming crisis.