Bengaluru’s movie business has been thrown into turmoil as the Karnataka government’s order to cap cinema ticket prices at ₹200 faces a sweeping legal challenge in the High Court. What began as a policy pitched as “relief for cinephiles” has quickly escalated into a full-scale industry battle, with some of the country’s biggest players stepping into the fray.

The Multiplex Association of India, along with marquee exhibitors like PVR Inox, has already contested the rule. Now, leading production houses and distributors — including Hombale Films, VK Films, and Keystone Entertainment — have also filed petitions, joining a growing list of stakeholders warning that the regulation is not just anti-business but unconstitutional. More theater owners across the state are preparing to move court in the coming days, signaling a united front against the government’s move.

At the heart of the controversy lies the state’s amendment to the Karnataka Cinema (Regulation) Rules – 2025, which came into effect on September 12. The rule enforces a uniform ticket price across single screens and multiplexes, pegging the maximum base rate at ₹200 (about ₹236 with taxes). While the government framed it as a corrective measure against “exorbitant ticketing practices,” exhibitors argue the cap threatens their very survival.

“The rules are excessive, unconstitutional, and in violation of our fundamental rights,” petitioners have argued, warning of massive losses for both multiplex operators and the state treasury. Margins, they say, will shrink to unsustainable levels, affecting reinvestment, infrastructure, and long-term growth.

The ruling couldn’t come at a more critical time. The Kannada film industry is on the cusp of major releases: Rishab Shetty’s hotly anticipated Kantara Chapter 1, (October 2), previous to which Pawan Kalyan’s pan-India spectacle OG (September 25), and other high-budget films lined up for the festive season. These projects depend heavily on premium ticket pricing to recover costs. Producers warn that if the cap stands, big-ticket films may be forced to rethink release strategies or scale back investments in Karnataka.

For moviegoers, the short-term impact is cause for celebration: an affordable entry into cinematic blockbusters. But behind the scenes, the battle has split the industry — with the government insisting on accessibility while filmmakers, exhibitors, and investors fear a dangerous precedent of state overreach.

The High Court is set to hear the case on Tuesday, September 16. Until then, Karnataka’s film industry is caught between the promise of cheaper tickets and the peril of a weakened business model.