Cannes film market opens to record turnout as focus shifts to smaller films

The world's largest film market opened in Cannes on Tuesday (May 12), attracting a record number of attendees vying to buy the mostly smaller productions on offer as studios have become risk averse. 

Around 16,000 participants from across the film industry registered for the market, which takes place from May 12 to May 20 in parallel with Cannes Film Festival.

While the actors and filmmakers dazzle on the red carpet, their sales agents and potential buyers are haggling over distribution rights only yards away.

Those who spoke to Reuters said improved box office results had boosted the confidence of buyers and sellers heading into the market that last year achieved more than 15,000 registrations.

The increase was driven mainly by increasing numbers of Asian participants, particularly from Japan, who can choose from the roughly 4,000 films and projects on offer. 

While the global box office remains below pre-pandemic levels, younger audiences, particularly Gen Z, have driven growth in recent months.

"The trend in the past months has been very good and much better than last year," Elisha Karmitz, CEO of French sales agent, production and distribution firm MK2 Films, said.

Big Hollywood films have been largely absent at this year's festival as a shift in viewing habits has made studios focus on fewer films with wider appeal. Some filmmakers are particularly seeking to appeal to younger audiences.

Successful independent titles such as last year's second-place winner at Cannes, "Sentimental Value" - a film about family relationships and emotional trauma - have shown that artistically ambitious films can break through commercially at lower budget levels, said Scott Roxborough, European correspondent at The Hollywood Reporter.

The volume of projects at the market this year remains strong, Roxborough said, but the mix has shifted. The smaller films that are dominant are often financed through European models and have budgets in the $10 million to $15 million range.

Roxborough said he also expected discussions on the use of artificial intelligence to be dominant at this year's event.

"I think you'll see coming out of this market, really what the future could look like for the use of artificial intelligence in the independent film industry," he said.

-Christian Levaux, Hanna Rantala, Miranda Murray/Reuters