Disney has announced that they will stop producing Bollywood films in India following a string of critical and commercial disappointments. Instead, they will focus on releasing their standard slate in India as Hollywood produced films grow in market share.
Disney had the following to say regarding the business transition:
“We periodically review and realign our business priorities in response to evolving market dynamics. Given the challenges with the current economic model for investing in the local film industry, we intend to shift the focus of our film strategy to driving out Hollywood movie slate in India. These movies enjoyed considerable success including ‘The Jungle Book’ which is the highest grossing Hollywood movie of all time in India. We remain optimistic about the incredible potential of the Indian market and will continue to invest in growing the Disney brand in India with our movies, television networks, consumer and interactive products and live experiences.”
Disney purchased UTV Software Communications in 2011, which included UTV Motion Pictures among other media outlets. It now appears that the films currently in production will be the unit’s last.