Thug Life OTT Deal Turns Risky After Box Office Failure

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Thug Life created significant buzz ahead of its release, particularly due to its unconventional OTT strategy. Unlike the standard four-week post-theatrical window followed in the South, the makers opted for an eight-week gap before the film would premiere on Netflix. At the time, this move was seen as a confident bet on the film’s box office performance. Unfortunately, things didn’t go as planned.

From its opening weekend, Thug Life struggled to gain traction at the box office. Audiences largely rejected the film, and now it’s being termed not just a flop but a serious contender for one of the biggest disasters of the decade. The collections have been dismal, and the financial losses are significant for all stakeholders involved.

Reportedly, there’s mounting pressure on the producers to compensate the distributors for their losses. Adding to the challenge, the film’s OTT deal was closed for a lower amount, mainly because it was tied to the eight-week streaming window. Had the film opted for a four-week window, the OTT value might have been higher.

Buzz in the Tamil industry indicates that Kamal Haasan’s team is now trying to renegotiate the Netflix deal to allow for an earlier streaming release — potentially in exchange for a revised deal. However, sources suggest that Netflix is treading cautiously. Given the film’s poor reviews, weak word-of-mouth, and disappointing ticket sales, the platform is reportedly hesitant to revise the terms or increase the payout.

With most theatres having already pulled the film from prime showtimes, the momentum is nearly gone. For a project that was promoted as a landmark collaboration between Kamal Haasan and Mani Ratnam, Thug Life has turned into a major setback — one that may force the industry to rethink its release strategies and OTT deals going forward.


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