Streaming for free, but at what price?


THINK about a restaurant you love. Now think about what happens if you dine there everyday without paying.

Without money to buy ingredients, or to pay the chefs, dishwashers, or waiters – your favourite spot is bound to close its doors in no time.

The creative industry works in a similar way. Producing TV shows, movies, and other content takes time, talent, and significant investment.

Sure, free content seems like a sweet deal. But the ugly truth? Digital piracy is slowly killing the creative industry we rely on for entertainment.

Crippling creatives

Feisal Azizuddin – a filmmaker, director and producer at Feisk Productions says it can take a year or more to make a film.

For everyone involved, this work serves as both their paycheck and their portfolio.

“When a film is pirated and doesn’t sell, it’s time and money wasted. This could make people hesitant to take on long-term projects, especially big-budget films,” he explains.

The result? A shrinking pool of ambitious projects and fewer opportunities for those in the creative industry to work on larger, more creative productions.

“Crews usually work on a project basis. If there are fewer big budget projects, this means they will earn less and have to take on more smaller scale projects,” says Feisal, adding that this hits actors and writers in the same way.

Streaming films or shows through illegal TV boxes devastates the livelihoods of everyone behind the scenes, from creators to crew. Image: Le Minh/PexelStreaming films or shows through illegal TV boxes devastates the livelihoods of everyone behind the scenes, from creators to crew. Image: Le Minh/Pexel

Fikir Jermadi, an award-winning Malaysian filmmaker and lecturer at Jakarta International College, echoes Feisal’s sentiments.

“There are plenty of stories of respected filmmakers who have had to resort to other forms of income, as what is an unstable profession to begin with is rendered even more volatile by this cycle,” he stresses.

Beyond the screen

Piracy impacts more than just creatives; it costs Malaysia’s entertainment industry RM3bil annually and drains RM500mil in taxes, threatening jobs and the industry’s sustainability.

Fikri highlights how piracy devalues content, deterring new investors. He points to the 2013 leak of KL Gangster 2, which, despite an expected RM15mil return, only made RM4.9mil after being streamed illegally.

Legal OTT platforms are essential for sustaining the entertainment industry by providing crucial revenue for local films long after its release.Legal OTT platforms are essential for sustaining the entertainment industry by providing crucial revenue for local films long after its release.

Feisal adds that leaks hurt ticket sales and kill the excitement of seeing the film in cinemas.

“Piracy also disrupts the marketing timeline, which can spell chaos for months of promotional efforts,” he stresses.

This is why legal over-the-top (OTT) platforms like Viu, Sooka, and Disney+Hotstar play a crucial role in sustaining the entertainment industry.

As Feisal explains, a majority of local films don’t break even at the box office, making OTT sales vital for recouping costs.

“A film’s value usually declines after about four years, but OTT platforms offer an ancillary market for older titles, providing ongoing income long after the film's theatrical release,” he adds.

Real cost of free content

In July this year, Malaysian hip-hop artist Altimet penned an open letter to the government, calling for stricter penalties for digital piracy.

His message was clear: “Every ringgit lost to piracy is a ringgit that could have been reinvested in new productions, marketing efforts, or technological advancements in the industry.”

Piracy doesn’t just affect the creative minds behind our favourite films and shows – it robs all of us of the future content we crave.

By continuing to stream content from illegal websites or illegal TV boxes, we’re pulling the plug on locally produced stories, news, entertainment and innovations of tomorrow.

So the next time you’re tempted by a free stream, remember the hidden cost.

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