The eight-episode series “Willow” was one of last year’s Disney+ premieres. The main character is a small farmer, played by Warwick Davis, just like in the original. However, the cost of production is horrendous – Disney+ spent as much as USD 105.9 million (PLN 438.8 million) on it, and the viewership was very low. Now the platform has decided to remove it completely from the offer.
It was one of the platform’s most expensive series. Why was it removed?
Such a decision may surprise, but when we look at the company’s financial statements, it turns out that this step was financially profitable. The case decided to x-ray “”, which reached specific data. At the beginning, we read that usually information on the budgets of streaming services series is secret, because studios combine their costs with total expenses and do not provide detailed costs. However, “Willow” is a production created somewhat in Great Britain, and then such data are provided.
The creators of the series decided to take advantage of the TV tax credit scheme in the UK, thanks to which studios can claim a cash refund of up to 25% of expenses incurred in the country. However, the road to qualifying for this plan is not that simple. Submitted productions must pass a points test that takes into account things such as the number of scenes shot in the UK, the amount of UK-related content and the extent to which the country’s cultural heritage is promoted.
In addition, at least 10% of the costs of such production must be related to operations in Great Britain. In order to prove this to the national authorities, studios must establish a separate Television Production Company (TPC) there for each production – which imposes the obligation to submit publicly available financial statements, which present all data, including production costs and the amount of reimbursement received.
According to Forbes, total spending on Willow has been reduced from $105.9 million to $80.4 million. All because of a cash return of $20.4m (£16.1m) for filming the series in the UK. In addition, Disney-owned Lucasfilm filmed the series in Wales, which offers additional funding for studios. The local government awarded the company an additional subsidy of $5.1 million.
Disney+ knows what it’s doing removing “Willow” from the library
Despite the numerous returns that have been achieved, it is still a very large amount for an eight-episode series. And the viewership, according to the American analytics company Samba TV, was one of the weakest in the history of Disney+. Only 481 thousand. households watched the two-episode premiere of the series during the first five days of broadcast.
Therefore, the end of production of the series should not be surprising. However, the decision to remove “Willow” from the site’s library was a shock to many. However, this decision makes a lot of sense. In this way, Disney can make a tax write-off for the series for the impairment related to the expenditure of money on the production, which turned out to be unprofitable.
In addition, Disney+ announced late last year the start of cost-cutting measures. In November 2022, Bob Iger was reappointed as CEO of The Walt Disney Company, and three months later, he stated that we need to “cut the cost of everything we create because, while we are extremely proud of what is shown on screen, we have come to point where it is extremely costly.”
Source: Gazeta
Bruce is a talented author and journalist with a passion for entertainment . He currently works as a writer at the 247 News Agency, where he has established himself as a respected voice in the industry.
