Universal Pictures and AMC Theaters have signed a new important agreement to release films to order. Under a multi-year deal, films released by Universal Pictures may become available in premium video on demand channels only three weeks after their theatrical release.
The specifics of the finances were not announced, although AMC CEO Adam Aron said that AMC Theaters would receive a percentage of the revenue from these digital issues.
It is important to note that this agreement applies only premium video on demand channels. This means that these digital editions will be available for about $ 20 each. Universal Pictures films will not be available for video on lower-demand channels for three months after the release.
Donna Langley, chairman of Universal Filmed Entertainment Group, made the following statement:
“Theatrical experience continues to be the cornerstone of our business. The partnership we have established with AMC is driven by our collective desire to secure a prosperous future for the film distribution ecosystem and to meet consumer demand with flexibility and optionality. “
The movie landscape is likely to be affected by COVID-19 for some time as theaters across the country remain closed. This agreement will certainly affect the industry even more.