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Starbucks: Salman, Devgn set new tone

Anita Sharan, Hindustan Times  Mumbai, March 25, 2013
First Published: 23:07 IST(25/3/2013) | Last Updated: 03:41 IST(26/3/2013)

Star India's recent deals with Salman Khan and Ajay Devgn, estimated at Rs. 500 crore and Rs. 400 crore respectively, can completely change the rules of the game in Bollywood.


The contract binds the two actors to commit the television rights of all their films of the next five years to Star Network.

Hemal Jhavery, executive vice president and general manager, Star Gold and Movies OK, said, "The deals with the two actors are a first in the world."

Jehil Thakkar, head, media and entertainment sector, KPMG India, added, "With these two deals, Star has changed the business model for the telecast of films on television."

This model completely eliminates black money from the equation and marks a giant step forward for the corporatisation of the film industry.

Actors, even big names such as Salman Khan and Ajay Devgn, don't own the films they star in. So, how can they sell the television rights, which belong to the producer?

"An actor could ask the producer for the telecast rights to a film in lieu of fees, which he then sells to a broadcaster. Or he might have a deal with a producer on sharing the telecast rights earnings. Producers would mostly agree - with big actors, they can't lose," said Garg.

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