The federal cabinet has approved a mandatory investment requirement for streaming services and broadcasters. Going forward, these entities must allocate a minimum of eight percent of their annual revenue to invest in the German film industry. Additionally, the regulations incorporate subquotas dedicated to promoting German-language content, independent producers, and the creation of new productions.
Building upon this decision, the federal government has made available 250 million euros annually in film funding-an increase from the previous year. When combined with funds from the cultural film funding institutions and the Film Förderungsinstitut, the government provides over 300 million euros each year for film productions, with state-level aid supplementing these totals.
Cultural State Minister Wolfram Weimer stated that the cabinet decision marks a new stage in the international competition for German film. He emphasized that by moving across party lines, “we have decided to inject into the domestic film industry with this film booster more money than ever before”. While holding streaming providers and broadcasters accountable, the decision also provides them with flexibility through an opt-out clause. Weimer added that this framework now allows the entire film industry to plan reliably over multiple years.
Federal Finance Minister Lars Klingbeil (SPD) reinforced that Germany possesses a high-quality film scene that will continue to be strengthened. The objective is to attract more orders to Germany and Europe while also supporting European content creation, with the goal that European content is streamed. Furthermore, the policy aims to bolster the work of independent producers.
Beyond the minimum eight percent investment requirement, the law also encourages voluntary commitments through incentives. Media companies that commit to an investment quota of twelve percent or more are permitted to deviate from certain specific requirements of the law. According to the federal government, the purpose of this flexible clause is to ensure “significant orders” for the German film industry without unduly interfering with the business models of streamers and broadcasters.
