Showbox, NEW, other distributors launch alliance to tackle film industry crisis

▲ This logo is provided by the seven major South Korean film distributors, united for the first time in 15 years in an effort to overcome the industrywide downturn. (PHOTO NOT FOR SALE) (Yonhap)

SEOUL, Dec. 12 (Yonhap) -- Major South Korean film distributors have joined forces for the first time in 15 years in an effort to overcome the industrywide downturn.

Showbox, Big Pictures, Special City SMC, Ewha Bae Company, Triple Pictures, SY Comad and Next Entertainment World (NEW) announced on Friday the official launch of the Distributors Alliance.

The alliance said the prolonged crisis in the film industry following the COVID-19 pandemic prompted the formation of the first distributor group since the Korea Film Producers Association dissolved 15 years ago.

The group identified ticket-discount agreements between the nation’s three major multiplex chains and the three major mobile carriers as the most urgent issue. According to the alliance, the cost of these discounts—offered by telecom companies to subscribers—ultimately falls on producers, investors and distributors.

The alliance argued that this structure is tied to the current practice of measuring box-office success by admissions rather than revenue, and proposed establishing revenue-based box-office statistics.

It also said it plans to actively present its stance on key issues such as average ticket price and the holdback system, under which a film has a reserved window in theaters before it can be released on other platforms.

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