Technicolor India, the VFX and animation studio owned by Technicolor Group (France), has announced the closure of its operations in Bengaluru and Mumbai. This decision comes as part of the parent company’s global shutdown, impacting 3,200 employees in India, with nearly 3,000 based in Bengaluru.
Financial Collapse & Court Recovery
- Technicolor Group, the Paris-based parent company, filed for court recovery in France after failing to secure new investors.
- India’s management was unaware of the decision until receiving an email from Technicolor Group CEO Caroline Parot, confirming the shutdown.
- The company’s financial struggles have left it unable to continue operations globally.
Impact on Hollywood Productions
Technicolor India has been a key player in Hollywood’s VFX industry, contributing to major projects:
- 70% of the VFX work for “Mufasa” was developed by the Bengaluru team.
- The film has grossed over $700 million globally.
Indian AVGC-XR Industry Faces Shakeup
- Ashish S. Kulkarni, chairman of FICCI AVGC-XR and MCCIA animation & gaming panel, predicts that Technicolor’s exit will trigger consolidation in India’s animation, visual effects, gaming, and extended reality (AVGC-XR) industry.
- Many VFX professionals may be absorbed by other studios, while some might relocate overseas.
The closure marks a major shift in India’s VFX industry, raising concerns about job losses and future investments in the sector.
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