Netflix's Most Expensive Show Yet: "Three-Body Problem" Clocks in at an Estimated $233.1 Million
Netflix's award-winning science fiction series, 3 Body Problem, emerged as a significant investment for the streaming giant. With an impressive budget of $233.1 million, the eight-episode show cost an average of $29.1 million per episode, surpassing initial estimates by popular media outlets.
Despite the hefty price tag, 3 Body Problem managed to save Netflix some money, as the actual costs came in below the initial budget. Based on Liu Cixin's Hugo Award-winning novel, the series was brought to life by Game of Thrones showrunners David Benioff and D.B. Weiss.
Set against the backdrop of an impending alien invasion, 3 Body Problem presents a mix of ordinary scientists wrestling with philosophical questions and cutting-edge computer-generated imagery to illustrate a highly advanced virtual reality world. The show's A-list cast, including Liam Cunningham, Jonathan Pryce, and John Bradley, along with Ramin Djawadi's score, added to its epic feel.
The series, which was produced in the UK to benefit from its Audio-Visual Expenditure Credit (AVEC), revealed that the production's costs peaked at $164.4 million, with staff salaries accounting for a substantial portion of that amount. The UK government offered a $56.1 million reimbursement, bringing the net spending on the show to around $171.8 million.
Government incentives have a notable impact on film production, driving economic growth and job creation. For example, in the UK, every dollar of reimbursement handed to studios generated $10.88 in additional Gross Value Added (GVA) benefit for the economy in 2019. Netflix alone invested nearly $6 billion in the UK between 2020 and 2023, highlighting the potential financial benefits of these incentives.
However, critics argue that highly profitable studios should not be subsidized by taxpayers. They point out that simplifying the tax system and eliminating carve-outs would level the playing field. Yet, advocates for film incentives argue that the spend generates significant tax revenues and has positive impacts on industries like technology and research and development.
As Netflix continues to produce successful original content like 3 Body Problem, the debate around government incentives and studio subsidies persists. Whether or not these incentives are necessary to attract studios and generate economic growth remains an ongoing discussion in the film industry.
The United Kingdom served as the production location for Netflix's sci-fi series, 3 Body Problem, taking advantage of the country's Audio-Visual Expenditure Credit (AVEC). "3 Body Problem" is a prominent adaptation of Liu Cixin's Hugo Award-winning novel, now available for streaming on Netflix, offering viewers a blend of science fiction and philosophical themes.
