France has published its most comprehensive study to date detailing the impact of investment commitments introduced in 2021 that require global broadcasters to invest at least 20% of their annual domestic revenues in French film and TV production.
The commitments were introduced in June 2021 as part of the country's transition to the EU's 2018 Audio, Visual and Media Services Directive (AVMSD), updating the bloc's legislation for the digital age and the rise of global streaming platforms.
The report – compiled by France's National Cinema Center (CMC) and audiovisual body ARCOM – showed that global broadcasters invested more than $1.02 billion (€974.6 million) in French films and TV shows from 2021 to the end of 2023.
Within this, the streamers committed $73 million (€70.1 million) into 58 CNC-certified features over the three-year period and funded 106 audio-visual works for an investment of $952 million (€904.4 million). Arcom's numbers, which included films not registered with CNC, were slightly higher, showing investment and pre-financing of $114.11 (€108.4 million) in 81 feature films.
Within this, Netflix topped the chart, investing in 66 works, 40.2% of the total, ahead of Prime Video with 53 works (32.2%) and Disney+, with 36 works (22%). The other platforms, Apple TV+, Paramount+, and Max, have contributed to nine projects between them.
“Disney+, Netflix, and Prime Video honored their commitments globally during this period, allowing significant progress on their investments,” the report states.
But the study indicated that the three platforms have not yet fully fulfilled their financial obligations regarding cinema, despite the number of local films supported by global platforms rising steadily from 17 in 2020, to 42 in 2021, 58 in 2022, and 58 in 2020. 2022. 71 in 2023.
“There were shortfalls in all three services, particularly in relation to advance financing commitments,” the report said, adding that ongoing negotiations on the organization of future windows also hindered investments.
In other data, the study revealed that features supported by the platform had an average budget of $9.1 million (€8.7 million), compared to an average of $4.7 million (€4.5 million) for all French films, in addition to performing better than average in French films. Local box office.
Netflix came out on top in terms of movie budgets, with 24% of its pre-purchased features costing more than $15.7 million (€15 million).
Big-budget, broadcast-supported film productions have included two-part works by Antonin Baudry de Gaulle, With a budget of $39.9 million (€37.7 million) per film (Disney+); Gilles Lellouche's $37.5 million (€35.7 million) drama. Heartbeat (Netflix), Jean-Jacques Annaud drama, $34.2 million (€31.5 million) Notre Dame is on fire (Prime Video) and the biopic for $36.4 million (€34.6 million). Mr. Aznavour (Netflix).
She pointed out that three of these films witnessed the cooperation of the ships with local audio-visual groups such as: de Gaullewhich includes TF1, and Lamour AufWhich was led by Canal Plus.
Arcom president Roch-Olivier Maistre said the authority was generally satisfied with the results.
“The AMVS Decree of June 22, 2021, which conveyed the ambitions of the AMVS Directive, opened a new era for financing innovation,” he said. “In the face of changing habits, especially the move to on-demand consumption on international platforms, we had to evolve our model.”
He noted that France was one of the first countries to turn the AVMSD directive into national law, as well as being the most proactive about protecting the country's long-standing film and TV financing model, under which all actors publishing content are obligated to invest revenues back into local productions. Diverse and independent.
“The commitments of the major players in the field of live streaming underscore the strength of our cultural model, which knows how to adapt to changes in usage and the market; they also highlight the desire of these players to integrate harmoniously into this model, to enhance the dynamism of our production fabric.
He noted that streamers have become players in France's audiovisual ecosystem, which also regularly interacts with Arcom, although he hinted that the body would appreciate greater transparency regarding data.
“Live streamers are now daily interlocutors of the regulatory body and are fully integrated into our monitoring tasks, in a constructive working environment,” he said. “I take this opportunity to stress the importance of transparency in information transmitted regarding investment in order to accomplish our tasks.”
Maestre was also keen to highlight the ongoing ongoing contribution of local government and commercial broadcasters led by France Télévisions and Canal+, and said that a study on their investments will be published in 2023 in the new future.
