Indian films: the new dimension

This year, India celebrates 100 years of Indian cinema, having come a long way in the different genres of movie productions and the use of new technologies.

Among recent trends, it is worth mentioning the surge of 3D films. In the last two years the number of 3D releases in India increased steadily – a trend that is only getting stronger.  While the capacity and knowhow to produce a 3D film existed since 1984, it was really Hollywood movies that ushered the 3D film era into India. Filmmakers have always claimed that theaters in India don’t have the technology to screen 3D movies. Meanwhile, theatre owners have argued that Indian filmmakers don’t make enough 3D movies to justify investments for upgradation to 3D equipped screens. However, the Hollywood trend brought on by the flow of 3D blockbusters in recent years have taken 3D movie-making to higher levels and encouraged a change.

Multiplexes in India are now eagerly looking at the feasibility of investing larger amounts on 3D screens to meet the growing demand for 3D viewing. Bollywood has also released several domestically made 3D films and pushed for conversion of 2D films to 3D. Seeing this continuing trend, film technology company, UFO Moviez, on a revenue sharing basis, has developed a 3D compliant technology that has already been installed in over 110 multiplex screens across the country. The growth of such 3D equipped theatre screens are likely to grow annually by 30-40 percent going forward. Given that 3D theatre screens are currently generating more than twice the revenue per theatre vis-à-vis the traditional format, theatre owners can quickly recover their investments. Enhanced audience engagement, increased ticket prices and more repeat customers are some of the factors making the 3D proposition economically viable.

As a cascading effect of the growth of 3D films, there is also a noticeable growth in the number of visual effect (VFX) post-production houses operating in India. With the recent growth in popularity of sci-fi genre films in the industry, VFX is being experimented with by the Indian film industry. Movies such a Ra.One and Robot have used VFX broadly. In fact, its uses are not just limited to Bollywood but also extending into regional cinema in India.  Based on the last estimates there are over 40 major domestic VFX houses catering to domestic and international clients needs.  Currently, only 10% of all animation and VFX outsourcing market is captured by India.  But there is a huge room for growth and the amount of work coming to India from Hollywood is on the rise. Historically, VFX-post production houses in India had been doing low-end work such as wire removal and clean-ups. But the industry has shifted towards higher-value projects. This is prompting mergers between VFX houses and film and entertainment companies. A good example of this is VenSat Tech Services tying up with Reliance MediaWorks Limited to set up a VFX, computer graphics and animation team in early 2012.

These developments are being largely driven by the growing consumption in the domestic market. India’s film is opening many opportunities, in areas such as 3D technology, VFX and post-production, multiplexes, in-cinema advertising and animation.

To learn more about opportunities in India in the media and entertainment sector, please contact Radhika.Pandey@ukibc.com.

References:

3D Format rediscovered by Hollywood Bollywood

Film industry in India: New horizons

2D to 3D conversion growing trend in Indian film industry