SS Rajamouli is currently busy with his most ambitious project to date, "Varanasi", a globe-trotting action adventure featuring Mahesh Babu in the lead role.
On Wednesday, social media was flooded with interviews featuring Rajamouli and the film’s core cast, including Mahesh Babu, Priyanka Chopra, and Prithviraj Sukumaran, given to select Hollywood media outlets.
While the promotional buzz is strong, the OTT deal for "Varanasi" is yet to be finalized.
According to industry sources, the director and his team are currently in discussions with Netflix and another major streaming platform. However, the negotiations have not gone as smoothly as initially expected.
With the OTT market witnessing a noticeable slowdown in recent years, platforms are no longer offering the massive figures that were common earlier.
While Allu Arjun’s "Pushpa 2" reportedly secured a record Rs 270 crore OTT deal in 2024, the market has cooled significantly since then.
More recently, only "Dhurandhar" managed to cross the Rs 200 crore mark, while several other big pan-Indian projects have struggled to touch even Rs 175 crore.
Sources suggest that this shift in market dynamics prompted Rajamouli to reassess expectations for "Varanasi".
Contrary to rumors of rejecting a Rs 500 crore OTT offer, insiders indicate that the director is now exploring a bundled approach to enhance the film’s overall value.
As part of this strategy, the makers are said to be offering a complete package to OTT platforms.
This includes streaming rights for the film along with exclusive content such as promotional events, behind-the-scenes footage, and other special material. With this bouquet of content, the team is reportedly aiming for a record OTT deal.
It remains to be seen where the deal eventually lands, especially in a market that has become increasingly cautious with big-ticket acquisitions.