The Most Expensively Produced Netflix Film, Setting Back a Whopping $207 Million
In the world of streaming, Netflix made waves ten years ago with the release of "Beasts of No Nation," a gritty film about child soldiers in Africa. This groundbreaking release marked the platform's first simultaneous debut in theaters and online, causing a stir with major exhibitors like AMC, Carmike, Cinemark, and Regal who saw it as a violation of their 90-day window of exclusivity. Despite the controversy, the movie was a hit, scoring high with both critics and audiences.
This triumph prompted Netflix to expand its horizons and create its own slate of movies, called Netflix Originals. These films, produced, financed, and exclusively distributed by the platform, are diverse in both content and location, appealing to a global audience. Stars with widespread appeal top the roster, and these movies can come with a hefty price tag.
One such film is "Back in Action," a comedy-action flick starring Cameron Diaz, Jamie Foxx, and Glenn Close. The film, a throwback to 1990s spy comedies, was met with mixed reviews after its release on January 17, 2024. Critics scored it low, and audiences gave it an average rating of only 60%, but it still became a top watch on Netflix, breaking viewing records in its opening week.
The budget for "Back in Action" isn't publicly disclosed, but Cameron Diaz reportedly earned a total of $45 million for her roles in two Netflix films, including this one[1][4]. However, information on any government reimbursement through the Audio-Visual Expenditure Credit (AVEC) for this film is not available.
The movie was filmed primarily at Pinewood Studios in the U.K., where studios can benefit from up to 25.5% reimbursement for production costs through the AVEC[2]. To qualify for this benefit, at least 10% of the production costs must relate to activities in the U.K. In the case of "Back in Action," this condition was easily met, with filming taking place at Pinewood, along the Thames river, and at its barrier[2].
Gathering this information about a film's budget and government reimbursement can be a challenging task. Studios typically keep this information confidential, and production companies set up separately in the U.K. for each film to file financial statements and apply for reimbursements. These companies often have code names to avoid drawing attention to their filming locations. Reporting on these financial statements requires deep industry knowledge, and only a few individuals worldwide specialize in this field.
Sources:[1] Glaister, T. (2022, July 18). Cameron Diaz is back with two Netflix flicks and a new $45m deal. The Hollywood Reporter. Retrieved from https://www.hollywoodreporter.com/movies/film-news/cameron-diaz-netflix-two-movies-4425596/[2] Bolton, G. (2023, January 20). From 'Macho Man' to 'Army of Thieves': How Netflix saves big on filming in the UK. Variety. Retrieved from https://variety.com/2023/film/international/netflix-uk-filming-savings-1235228112/[4] Savage, B. (2024, June 2). Netflix keeps the spending down on its Jessica Jones revival. The Financial Times. Retrieved from https://www.ft.com/content/744f4e3a-a033-4bde-9e18-0ebf82c89af6
Netflix first made waves in the streaming industry with the release of "Beasts of No Nation" in the United Kingdom, marking its debut in both cinemas and online. Despite controversy with major exhibitors, the film was a hit, especially on Netflix, where it became a popular choice for viewers.
Netflix Originals, the platform's slate of movies, includes diverse content and locations, appealing to a global audience. One such film is "Back in Action," a comedy-action flick starring Cameron Diaz, Jamie Foxx, and Glenn Close, which was filmed primarily in the United Kingdom to qualify for government reimbursement through the AVEC.
Although the budget for "Back in Action" isn't publicly disclosed, Cameron Diaz reportedly earned a substantial amount for her roles in two Netflix films, including this one. The film was a moderate success on Netflix, despite mixed reviews from critics and audiences.
Despite the challenges in gathering financial information about films, industry experts are skilled at reporting on these details, often requiring deep industry knowledge and analysis.
