Kollywood and other south Indian film indsutries will go on strike from March 1, as the third and final meet between South Film Industry and Digital Service Providers ended without finding any amicable solution.
It is learnt that QUBE, one of the leading digital service providers, tried to reduce the fee from RS 22,500 to 14,000 but producers turned down the offer.
Jayendra, Co-founder of QUBE posted on Twitter: "Qube offers multiple price options in Bangalore meeting between Producers and Digital Service Providers including dramatic price reduction from 22,500 to 14,000 rupees. All offers turned down".
The latest round of talks took place in Bengaluru on Friday. Another meeting is expected to take place in the next few days.
One of the primary points of contention is the fee charged by digital service providers for the virtual print. Producers believe it is too high.
The south Indian film industries have claimed that the Visual Projection Fee demanded by DSPs like Qube and UFO are too high and eat into their profits. Producers like SR Prabhu of Dream Warrior Pictures have spoken against DSPs, alleging that they're running a "scam".
The discussions began in Chennai, then moved on to Hyderabad, and finally to Bengaluru. At the recently concluded meet in Bengaluru, QUBE’s final offer has been rejected by the producers’ council, and therefore, they will go on a strike from March 1.
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