Sony Pictures Entertainment CEO Ravi Ahuja recently said that Netflix was the “right home” for the animated film KPop Demon Hunters, even though the movie turned into an unexpected phenomenon. The film, produced by Sony Pictures Animation, quickly became the most-watched movie on Netflix, shattering previous records. Ahuja’s remarks come as some wonder if Sony missed out by not keeping the film for an exclusive theatrical release.
Key Takeaways:
Sony Pictures CEO Ravi Ahuja defends selling KPop Demon Hunters to Netflix as a direct-to-streaming title.
The deal was part of an existing output agreement between the two companies.
Netflix covered the full production budget and paid Sony a profit premium.
The film’s success on Netflix eventually sparked a limited theatrical sing-along run that drew strong crowds.
Sony still holds sequel rights and participates in music publishing profits through Sony Music.
At a recent media conference, Ahuja broke down the decision. The animated musical, which follows a K-pop girl group that doubles as demon hunters, was developed under Sony’s output deal with Netflix. As part of that arrangement, Netflix picked up the entire production cost and paid Sony an additional profit margin. For Sony, that meant zero financial risk from the start.
Of course, Ahuja admitted there’s always the question of what could have been. “Obviously, in hindsight, it’s such a big hit,” he said, before pointing out that its success largely hinged on the exposure Netflix gave it. He stressed how much harder it is these days for a completely original film to gain traction in theaters. In this case, the momentum began online. Buzz around the movie grew so strong on Netflix that it eventually fueled a sing-along theatrical release, which pulled in over $19 million during its opening weekend. That run, in his view, was the byproduct of Netflix-driven popularity, not the other way around.
Sony’s choice to sell the film also reflects its broader strategy. Unlike Disney or Warner Bros. Discovery, Sony doesn’t have a proprietary streaming service. Instead, the studio positions itself as a supplier to various platforms, earning money by licensing content rather than competing directly in streaming. From that perspective, Ahuja sees KPop Demon HuntersKPop Demon Hunters as a win. “Our mission is to make great content and find the right home,” he said. “And I think KPop Demon Hunters’ right home was Netflix.”
That doesn’t mean Sony is walking away empty-handed from its own creation. The studio still holds the rights to produce sequels, which puts it in a strong position for future talks with Netflix. And on the music side, Sony Music Publishing has benefitted from several of the film’s songs, some of which have become genuine chart hits. Even with the direct sale, Sony continues to share in the success.
What this story ultimately shows is how the industry itself is shifting. A movie doesn’t have to start in theaters to end up there successfully. In some cases, streaming may actually set the stage for box office wins. For Sony, the deal was a safe call, though Ahuja hinted the studio might rethink how it handles similar projects down the road. Perhaps next time, they’ll take on a little more risk themselves.
Frequently Asked Questions
Q1. What is KPop Demon Hunters about?
A1. KPop Demon Hunters is an animated musical movie about a popular K-pop girl group named Huntr/x, whose members secretly fight evil spirits.
Q2. Who directed KPop Demon Hunters?
A2. The film was directed by Maggie Kang and Chris Appelhans.
Q3. Did Sony Pictures make any money from KPop Demon Hunters?
A3. Yes. Sony sold the film to Netflix for its production cost plus a premium. The company also earns revenue from the film’s soundtrack through its Sony Music Publishing division.
Q4. Will there be a sequel to KPop Demon Hunters?
A4. While no official sequel has been announced, Sony retains the right to make sequels and is in talks with Netflix about the future of the franchise.
