A bunch of the largest Danish manufacturing firms have penned an open letter to Netflix, Viaplay and different main streamers urging them to recommission native content material or threat “a decimation of half the trade” after estimating the sector will lose as much as 1.5B DKK ($200M).
Following the collapse of negotiations with the Create Denmark union in January, Netflix, Viaplay, TV2, HBO Max, Disney+ and Amazon Prime Video have stopped ordering native Danish TV reveals and movies on account of their excessive value.
All these streaming providers rejected a framework 9 months in the past agreed by Create Denmark and the Danish Producers Affiliation and the open letter known as the content-stoppage “not only a monetary catastrophe, but additionally an irresponsible behaviour in the direction of the Danish trade as an entire.”
The problem considerations the “phrases and scope of fee for the switch of rights from artistic expertise,” in line with the letter.
It added: “The misfortune doesn’t solely contact producers, but additionally crews and suppliers, in addition to the creatives, script writers, administrators, actors, administrators of images, manufacturing designers and editors – whose pursuits are dealt with by Create Denmark.”
The open letter was signed by the bosses of main indies within the Nation: Fremantle-backed Miso Movie, ITV Studios-backed Apple Tree Productions, SAM Productions, Nordisk Movie Manufacturing, SF Studios and Tall & Small.
Whereas conceding that Danish content material is “costly” and the streaming providers have “different choices” – bar TV2 which has a authorized obligation to fee regionally – the letter urged the SVoDs to “negotiate with a will to comprise so offers may be made urgently.”
“The long-term penalties, if this example continues, could also be extra severe than any of us want to see,” it went on to say. “A decimation of half of the trade is just not unrealistic. And this at a time, the place we, collectively, have been rising greater than ever.”
The letter forecast the trade’s loss at between 1B DKK ($130M) and 1.5B DKK ($200M), forecasting a lack of revenue of that magnitude will end in “bankruptcies, firings, unemployment and a movie trade that’s knocked again a number of years.”
Deadline has reached out to Netflix and Viaplay for remark.