For Netflix, 2025 has already been filled with wins, but one of its most surprising success stories isKPop Demon Hunters. The animated adventure about a fictional idol group who slays demons between sold-out concerts has taken both critics and fans by storm. Its breakout success even shattered music records, proving its crossover appeal beyond just animation.
Yet, despite Netflix benefiting from the film’s meteoric rise, Sony Pictures Animation may not return to the streamer for the sequel, according toPuck.Negotiations are underway forKPop Demon Hunters 2, and according to reports, Sony retains the right to shop the film around.That opens the door for theatrical releases or even rival platforms to bid for distribution.
Why Sony Might Ditch Netflix for KPop Demon Hunters 2
When Sony struck its deal with Netflix in 2021, the landscape was very different. The pandemic had gutted box office prospects, making guaranteed payouts from streamers look like the safest option. At the time, a $20 million return per project seemed like stability during uncertainty. For a studio balancing costs, the move looked smart in hindsight.
But now, withKPop Demon Huntersbreaking viewing recordsand generating massive fan engagement, Sony is beginning to feel shortchanged. The runaway success has not translated into box office revenue, because Netflix controls distribution. Even the film’s upcoming limited theater run, including sold-out sing-along screenings, won’t put money into Sony’s pockets.
This financial disconnect creates a compelling reason for Sony to consider alternatives. The sequel could thrive in a hybrid model, premiering in theaters for global audiences before eventually arriving on streaming. By doing so, Sony would finally capitalize on the cultural juggernaut it helped create, instead of handing the profits over to a flat-rate agreement.
What the Future Could Hold for KPop Demon Hunters
The fan response toKPop Demon Huntershas been nothing short of phenomenal. Concert-style screenings are drawing demand in over 1,100 theaters worldwide, showing that audiences want more than just a streaming option. With young fans eager for a communal experience, the theatrical path may be too lucrative for Sony to ignore moving forward.
At the same time, Netflix has every reason to fight for the sequel. The film could potentially surpassRed Noticeas the platform’s most-watched original. Letting a follow-up land on a competitor’s service, or in cinemas first, would be a major setback for a streamer increasingly dependent on original franchises.
The likeliest scenario may be a compromise, where Sony pushes for theatrical releases, while Netflix negotiates for eventual exclusivity on streaming. Whether or not that happens, one thing is clear, and that is thatKPop Demon Hunters 2won’t be just another safe Netflix drop. It could redefine how anime-inspired blockbusters are distributed in a post-pandemic world.
