“With today’s cabinet proposal, we are ensuring that the German film industry will become a global player in film production,” Germany’s Culture and Media Minister Wolfram Weimer said on Wednesday.
He described the coalition government’s draft bill, which is still to be voted on in Parliament, as a “film booster”.
According to Weimer, never before had so much money been allocated to the domestic film industry. In fact, it will be almost double the amount previously allocated, totaling €250 million ($291 million). Along with other funding programs, the government is reportedly committing more than €300 million to film production. Additional funding from Germany’s federal states is expected to add to this total.
It is being said that government funding alone will not bring about major changes. That’s why the bill would require streaming services like Netflix, Amazon and Disney to make equal investments as private and public German broadcasters. With approximately 84 million inhabitants, the German market is the largest in Europe, and has proven attractive for all of these companies.
Streaming services and private broadcasters
Under this bill, media companies will have to invest at least 8% of the revenue earned from subscription and advertising in the German film industry. The German Association of Private Media (VAUNET) expects revenues of €6.5 billion in 2026. Based on this forecast, streaming services and pay TV broadcasters will have to invest €520 million – whether they want to or not.
Finance Minister Lars Klingbeil said, “Our goal is to bring more film projects to Germany and Europe.”
“We want European content to be streamed. And we support the work of independent producers,” the politician from the centre-left Social Democratic Party (SPD) said.
Weimer: ‘The film industry must take advantage of the opportunity’
The German government also hopes that streaming services and broadcasters will willingly invest even more, and is willing to provide incentives to encourage them. It would waive certain specific legal requirements for film investments of 12% or more.
There is no consensus yet on what exactly these requirements are. The purpose of this exemption clause is to secure contracts for the German film industry while avoiding undue interference in the companies’ business models.
Weimer believes the entire package is “fair and realistic” and should make it possible for the entire film industry to be able to plan for the years ahead for the first time.
“It is now up to the industry to seize this opportunity to produce a series of ‘made in Germany’ blockbuster films,” he said.
If the plan is passed, traditional studios are likely to benefit the most, such as Studio Babelsberg in Potsdam and Bavaria Film, south of Munich.
Sven Lehmann, chairman of the culture and media committee in the German Bundestag, hopes this will reverse recent trends.
“Finally, we are making progress in film policy,” said the environmentalist Green Party politician.
He said that, given the high revenues of Netflix, Amazon and other media companies in Germany, one thing is clear: “Those who do good business here should also contribute appropriately to the financing of Germany as a film production center.”
Have cinemas been forgotten?
However, Lehmann fears that movie theaters could be left empty-handed: “They are an essential part of German film culture.”
That’s why he believes a mandatory quota is needed to ensure that a fair share of investment benefits silver screen productions as well.
Whether his wish will be fulfilled or not will depend on the German Parliament. Its members have the final say and can still influence the government’s draft bill.
According to the proposed schedule, the new film subsidy program will take effect in early 2027. The German Association for Information Technology, Telecommunications and New Media (Bitkom) has expressed concern about this new action.
CEO Bernhard Rohleder stressed, “We share the goal of strengthening Germany as a center of film and television production.”
However, he argued that the proposed bill in its current form would not achieve this goal.
Rohleder believes that imposing requirements on new productions would significantly interfere with editorial and commercial autonomy. As a result, content will be created based not only on quality and audience interest, but also on regulatory mandates.
Rohleder said, “Germany needs more compelling stories, more creative excellence and better conditions for the industry – not more coercion and micromanagement.”
This article was originally written in German.