The controversy surrounding the percentage-sharing system in Tollywood has now escalated into an open battle involving some of the biggest production houses, theatre chains, and distributors in Telugu cinema.
The issue intensified after Telangana exhibitors held a press meet yesterday and announced a series of resolutions regarding single-screen theatres. Their biggest decision was that Telangana single screens would reportedly screen only those films that agree to a percentage-sharing revenue model. Exhibitors also stated that even if producers secure government permission for ticket price hikes, single screens would continue selling tickets only at regular prices.
Those announcements immediately created shockwaves across the industry because they directly affect several upcoming releases, especially Peddi starring Ram Charan, which is just weeks away from release.
Yalamanchili Ravi Shankar from Mythri Movie Makers publicly countered the exhibitors’ stand during a separate producers’ press conference today.
Ravi Shankar accused certain exhibitor groups of selectively demanding the percentage system only when they currently do not control major upcoming releases. He questioned why similar concerns were not raised earlier during films like Hari Hara Veera Mallu, War 2, Coolie, OG, Akhanda 2, Mana Shankara Vara Prasad Garu and many others. According to him, exhibitors are pushing the issue aggressively now because they lack direct control over some of the upcoming big films.
He also stated that producers remain open to discussions but reject pressure tactics and indirect blackmail targeting certain releases.
Producer Naga Vamsi also made sharp remarks and openly mocked exhibitors over their sudden concern for single-screen cinemas. Naga Vamsi said it sounded ironic and even funny when an exhibitor allegedly owning around 300 multiplex screens speaks emotionally about protecting single screens. He accused multiplex owners of aggressively expanding into every possible area, from C centers to A centers, which he believes directly weakened traditional single theatres by diverting revenue away from them.
Naga Vamsi argued that those contributing to the decline of single screens cannot now portray themselves as their saviors. His most controversial remark came when he sarcastically stated that such industry press meets are starting to resemble comedy shows rather than serious discussions, indirectly telling exhibitors, “Don’t hold press meets for comedy.”
Tollywood now appears visibly divided into two camps, making this one of the biggest internal industry battles in recent years.
The biggest question now is whether Mythri Movie Makers will eventually compromise and accept percentage sharing in some form or continue resisting the system entirely. With Peddi just weeks away from release, the industry may not have much time left to resolve the standoff.
For now, with both sides refusing to back down publicly, the battle between exhibitors and producers has become one of the hottest and most sensitive discussions in Tollywood.
