Huayi Brothers Group, a domestic film producer, announced Wednesday that it will partner with Canada's IMAX Corp to release four films in the IMAX format later this year, a cooperation that could help Huayi boost box office revenues and IMAX strengthen its dominant position in China's giant screen market.
The four films, including Back to 1942 directed by Feng Xiaogang and Chinese Zodiac directed by Jackie Chan, will be shown in more than 100 IMAX theaters in China from September to December, said Huayi President Wang Zhonglei.
The two companies initiated their partnership with Feng's film Aftershock released in July 2010, which generated $102 million in ticket sales.
Richard Gelfond, CEO of IMAX Corp, said the company, which usually cooperates with Hollywood blockbusters like Avatar and the Batman, expanded partnership with Huayi based on the success of Aftershock and the optimism over China's booming film market.
"The deal could help Huayi boost box office revenues, as prices of IMAX films are high," Liu Cuiping, a consulting manager at EntGroup, told the Global Times Wednesday.
In big cities like Beijing, watching an IMAX film usually costs 160 yuan ($25), almost double that of a 2D film.
Gelfond noted that IMAX's biggest challenges in China are lack of enough domestic film content and increasing competition from homegrown giant screens.
Though China agreed in February to increase import quotas of US films by 14 every year, mostly IMAX or 3D titles, availability of films for IMAX theaters is still limited, according to Liu.
The dominant position of IMAX, which has 229 theaters open or planned throughout China, has been challenged after DMAX, a large screen developed by China Film Co, was put into commercial use earlier this year and is projected to be equipped in 100 theaters in three years.
Liu said DMAX has growth potential due to its relatively lower cost and cheaper ticket prices.
"Installing a DMAX screen is much cheaper for theater operators, and the screen can show more kinds of films than IMAX," she noted.