
The ongoing controversy in Tollywood over switching from a rental to a percentage-based theater revenue model is heating up.
The slogan favoring the percentage system has gained traction in East, Krishna, Ceded, and Nizam areas.
In response, the Film Chamber has called for a crucial meeting with exhibitors from both Telugu states on the 18th of this month.
Active producers allege that influential figures like Daggubati Suresh Babu, Asian Sunil, and Dil Raju's brother Sirish are manipulating exhibitors to push for the percentage system as they are exhibitors themselves.
The producers on the other hand, argue that for big films like Pushpa, this could result in losses of Rs 10–20 crores, particularly in Nizam, where a Rs 40 crore collection might yield Rs7–8 crore less under the new percentage model.
Exhibitors, however, argue that theaters are struggling and demand rental terms only for major releases, switching to sharing after two weeks.
Amid this, Sitara Entertainments is reportedly planning to counter Dil Raju by aligning with Mytri Movie Makers and launching a new distribution company focused on multiplexes.
With the 18th approaching, Tollywood awaits the outcome of this pivotal meeting and the possible shifts it may trigger.