OTT platforms have now started to acquire satellite rights of films too, besides the streaming rights, particularly for small and mid-budget films. This move is likely to further cement the growing dominance of such platforms.
It works both ways. If it’s a big digital platform, it can ask for satellite rights. But if producers are in a low-bargaining position, they can bundle the satellite rights with the digital rights and sell them to streamers.
Both, digital and satellite rights, of films like Kis Kisko Pyaar Karoon 2 and Mana Shankara Vara Prasad Garu (Telugu) were acquired by JioHotstar and Zee5 respectively. Although there’s no hard and fast rule, digital rights contribute around 75% of a film’s non-theatrical revenue while satellite rights contribute 20-25%.