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Netflix Pulls Out of Cannes Following Rule Change (EXCLUSIVE)

Ted Sarandos says Netflix won’t be going to Cannes this year.

In an exclusive interview with Variety, Netflix’s chief content officer says that the festival sent a clear message with a new rule that bans any films without theatrical distribution in France from playing in competition. Netflix could screen some of its upcoming movies out of competition, but Sarandos says that doesn’t make sense for the streaming service.

“We want our films to be on fair ground with every other filmmaker,” Sarandos says. “There’s a risk in us going in this way and having our films and filmmakers treated disrespectfully at the festival. They’ve set the tone. I don’t think it would be good for us to be there.”

Netflix made a big splash at the prestigious film festival last year with two movies that showed in competition: Bong Joon-ho’s “Okja” and Noah Baumbach’s “The Meyerowitz Stories.” But after the 2017 announcement, French theaters owners and unions protested the inclusion of these films to Thierry Fremaux, the artistic director of Cannes. Netflix was amenable to having their movies play on big screens in France, but a law in the country requires movies to not appear in home platforms for 36 months after their theatrical release.

Netflix has had day-and-date theatrical releases for such titles as “Mudbound,” Angelina Jolie’s “First They Killed My Father,” “Okja” and “The Meyerowitz Stories.”

Sarandos will not personally be attending Cannes in May, but some of his executives will be there. “It is not a coincidence that Thierry also banned selfies this year,” Sarandos says, of another new rule that doesn’t allow guests to snap pictures on the red carpet. “I don’t know what other advances in media Thierry would like to address.”

Here, Sarandos spoke with Variety about the Netflix rule change.

Are you deciding not to participate in Cannes this year?
Well, it was not our decision to make. Thierry announced the change in their qualification rules [that] requires a film to have distribution in France to get in, which is completely contrary to the spirit of any film festival in the world. Film festivals are to help films get discovered so they can get distribution. Under those rules, we could not release our films day-and-date to the world like we’ve released nearly 100 films over the last couples of years. And if we did that, we’d have to hold back that film from French subscribers for three years under French law. Therefore, our films they are not qualified for the Cannes Film Festival competition.

And you aren’t taking movies to the festival out of competition?
No. I don’t think there would be any reason to go out of competition. The rule was implicitly about Netflix, and Thierry made it explicitly about Netflix when he announced the rule.

Were you surprised by the rule? Netflix had the two biggest English-language releases at last year’s Cannes.
I would say not just on the English-language side. I think they were the biggest films in the world last year with Bong Joon-ho and Noah Baumbach and the star power we were able to bring — Jake Gyllenhaal, Tilda Swinton, it goes on and on. We loved the festival. We love the experience for our filmmakers and for film lovers. It’s just that the festival has chosen to celebrate distribution rather than the art of cinema. We are 100% about the art of cinema. And by the way, every other festival in the world is too.

Did you talk to Thierry before he made the rule change?
I believe it was not just Thierry’s decision. I think it was the decision of his board, which is made up of several exhibitors. I know we didn’t have any conversation with Thierry. I read about it in the press.

In interviews, Thierry said that “the Netflix people loved the red carpet,” but your “model is now the opposite” of what Cannes does. Do you agree with that?
No, obviously not. Do we love the red carpet? I love our filmmakers being on those red carpets. Of course. It’s a very glamorous, very fun event for filmmakers. That is beside the point. That is true of every festival. Last year we were jointly celebrating the art of cinema at Cannes. The divergence is this decision to define art by the business model. In that way, yes, we have diverged.

Will you or other Netflix employees be attending Cannes?
I personally won’t be attending myself. But we will have people there who are in the business of acquiring films, because many films will be there without distribution.

So you could end up buying a movie that’s in competition?
Yes 100%. We don’t discriminate that way.

Netflix acquires movies from film festivals all the time. Ultimately, this rule seems to be about preventing a movie from entering Cannes as a Netflix release.
It was a puzzle to me. Keep in mind last year at Sundance, we produced the film that won the jury prize [“I Don’t Feel at Home In This World Anymore”], and we acquired “Mudbound” in the biggest acquisition of the festival.

Have you had conversations with your filmmakers about Cannes?
We’ve talked to a lot of our filmmakers after the rule change. When we went into making these films and acquiring these films, that rule wasn’t in place. That was a change in dynamics.

Do you think Cannes might change its mind in the future?
Yeah. I do have faith that Thierry shares my love for cinema and would be a champion of changing that when he realizes how punitive this rule is to filmmakers and film lovers.

What is your message for the international film community?
We hope that they do change the rules. We hope that they modernize. But we will continue to support all films and all filmmakers. We encourage Cannes to rejoin the world cinema community and welcome them back. Thierry had said in his comments when he announced his change that the history of the Internet and the history of Cannes are two different things. Of course they are two different things. But we are choosing to be about the future of cinema. If Cannes is choosing to be stuck in the history of cinema, that’s fine.

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