Director Atlee is having a hard time sealing his next project after giving the humongous hit Jawan with Shah Rukh Khan. The action film collected more than ₹1000 crores globally, and Atlee became one of the most demanded directors in Indian cinema. But even with his success, he has not been able to start his next film.
Atlee had initially conceived a film with Allu Arjun, but the talks did not go through and the project was put on hold. Why? It was because of budget issues. This is the second time this has happened for Atlee, as another proposed multi-starrer with Salman Khan and Kamal Haasan met the same end.
Atlee Wants ₹100 Crores, Allu Arjun Demands ₹250 Crores
Now, following the huge hype around Pushpa 2, Atlee has restarted negotiations with Allu Arjun. But the latest news is that both Atlee and Allu Arjun are seeking record-breaking salaries.
- Atlee is said to be seeking ₹100 crores as his director’s salary.
- Allu Arjun is seeking an astronomical ₹250 crores for the movie.
The total movie budget is said to be ₹700 crores, which makes it one of the most expensive projects ever.
This budget has caused producers to be concerned. Although Atlee and Allu Arjun have high market value, their demands have created doubts regarding the commercial success of the film.
Can the Film Recover a ₹700 Crore Budget?
A film of this magnitude needs to rake in huge amounts of money from multiple sources, such as theatrical collections, OTT rights, and satellite deals. But market trends at present present severe challenges:
OTT and Satellite Market Slowdown:
OTT players are reluctant to shell out record amounts for films because of weakening subscriber additions and shifting content approaches.
The satellite market has also bottomed out, and there is little scope for recovering the cost from television rights.
Revenue Requirements from Theatres:
Even if the movie manages ₹300 crores from non-theatrical rights, it will still have to collect ₹400 crores in theatres in order to recover its costs.
This implies that the movie has to earn at least ₹800 crores globally, which is an unsafe wager in the current situation.
Producer’s Dilemma:
- Producers believe that a budget of ₹500 crores would be more feasible.
- An escape route could be providing remunerations upfront and sharing profits after theatrical release.
Is Atlee Overestimating His Market Value?
Atlee has produced several blockbusters such as Theri, Mersal, Bigil, and Jawan. But demanding ₹100 crores as a director’s remuneration is an ambitious step. Although directors like SS Rajamouli and Prashanth Neel demanded high fees, they established their market through several films.
Conversely, Allu Arjun’s ₹250 crore ask is understandable, considering the worldwide frenzy for Pushpa 2. His growing popularity and PAN-India fan base may guarantee a strong box office pull, but that still does not assure an ₹800 crore haul.
Potential Solutions to Make the Project Viable
In order to make this project economically viable, the team needs to find alternative solutions:
Revenue Sharing Model: Rather than requiring a guaranteed salary, Atlee and Allu Arjun may accept a percentage of profit depending on the box office collection of the film.
Budget Optimization: Cutting excess production expenses and overspending can bring the budget to an affordable ₹500 crores.
Strategic Partnerships: Associating with international OTT giants Netflix, Amazon Prime, or Disney+ Hotstar in early deals can guarantee more pre-release revenue.
International Market Expansion: Expanding into non-traditional markets such as China, Japan, and the Middle East would help increase box office revenue.
Read Also :- Bhagyashree Borse Joins Prabhas in a Big-Budget Film
Final Thoughts: Will the Deal Go Through?
Atlee and Allu Arjun’s project may be a blockbuster on the horizon, but the budget is still the largest obstacle. If the financing problem of the movie is solved, it could become a new benchmark in Indian film. Nevertheless, if the producers are unable to hatch an idea to meet star remuneration while maintaining cost feasibility, the project again may be put on the backburner.
Will Atlee and Allu Arjun compromise, or will this ambitious project remain just a dream? The coming weeks will reveal the fate of this high-stakes negotiation.
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