Vue Cinemas CEO Criticizes IMAX for Netflix’s Exclusive Narnia Agreement

The CEO of Vue Entertainment, Tim Richards, publicly criticized IMAX for its controversial agreement with Netflix regarding the upcoming film, “Narnia.” This deal grants “Narnia” an exclusive theatrical run in IMAX cinemas for two weeks, stirring considerable unrest within the movie exhibition industry. Richards’ letter marks the first formal opposition to this arrangement, highlighting its potential impact on audiences and theaters alike.

Concerns Over Exclusive Theatrical Rights

The letter, shared with El-Balad, emphasizes that both viewers and the industry may suffer due to IMAX’s agreement. Richards warns that IMAX CEO Richard Gelfond’s ambition for more exclusive deals could further damage theatrical distribution. He states, “It risks undermining the very ecosystem that makes theatrical success possible.”

A Focus on Audience Access

Richards pointed out that successful films like Greta Gerwig’s “Barbie” achieved remarkable box office performance without a release in IMAX. He noted that IMAX currently accounts for less than one percent of cinema screens worldwide, which does not make it essential for any film’s success.

• “Narnia” will only be shown on select IMAX screens, limiting its viewership.
• The deal enforces a “2 + 2” model, wherein the film runs exclusively in IMAX for two weeks before a home release on Netflix.
• Richards argues that many families will miss the opportunity to enjoy “Narnia” theatrically.

The Threat of the ‘Nuclear Option’

Richards also referred to Gelfond’s “nuclear option,” which is believed to involve legally compelling theatres to play “Narnia.” This tactic poses a risk to theaters that respect traditional release windows, creating a divide in the industry.

Technological Landscape in Cinema

Richards commented on IMAX’s diminishing status in Technological leadership among premium large format (PLF) options. Other platforms, such as Dolby Cinemas and Cinemark’s XD screens, are reported to perform better at the box office.

• IMAX has not led the industry in technological advancements recently.
• New HDR projectors from Dolby, Christie, and Barco are setting high standards in visual quality.
• Dolby Atmos remains the preferred audio choice for filmmakers.

Richards concluded that the industry should collaborate with studios to enhance viewer experience rather than create barriers that limit access to films. He advocates for a cinema landscape where multiple viewing experiences can thrive.