There has been a turning point since 2021. Increasingly ambitious projects are now entrusted to French VFX organizations. This year, the trend is particularly pronounced, and we can only rejoice in it.
Regarding the localization rate, the professional syndicate FICAM observed a figure of around 16% last year, slightly higher than in 2021-2022, mainly due to more Belgian co-productions. This increase remains contained compared to 2017-2019, where the rate was 17%. French companies demonstrate their capacity to retain VFX projects within the country.
Industry Perspectives for 2024
Syndicate France VFX noted that although the Hollywood strike impacted the last quarter of 2023 and will continue to affect the first quarter of 2024, international activity for companies working abroad has significantly developed.
However, the international market is entering a phase of noticeable deceleration after the post-COVID production surge as commented Laurens Ehrmann, CEO of The Yard :
Based on my recent discussions with studios and platforms in Los Angeles, it appears that content creators are striving to improve the financial planning and calibration of their projects. Some have even declared intentions to decrease production volume in favor of enhancing overall quality. While this shift undoubtedly presents opportunities for many VFX studios, particularly established ones, it could pose significant challenges for new entrants who may not have the opportunity to rapidly expand as was the case a couple of years ago.