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Disney Awarded $128.8M in Record California Production Deal
California has greenlit a massive $128.8 million tax credit package for Disney, aimed at keeping major film and television productions within the state and boosting local industry jobs.
Related – California Department of Justice Settles with Walt Disney Company for Privacy Violations
On March 18, Governor Gavin Newsom and the California Film Commission unveiled the inaugural round of television subsidies under the state’s newly expanded tax credit initiative. Disney emerged as the primary beneficiary, with affiliates like ABC and 20th Century Studios securing $128.8 million—just edging out the $127.9 million allocated to Warner Bros. Discovery. A significant portion of this funding, nearly $94 million, is earmarked for four 20th Century Studios projects, including a major series relocating to California from out of state.
Disney is no stranger to California’s incentive programs. In 2024, the studio set a record when The Mandalorian & Grogu secured over $21.7 million in credits—the largest single-project reward in the program’s history. This success paved the way for the current expansion, which now includes game shows and animated content for the first time.
A prime example is the new Family Guy spinoff, Stewie, which was recently selected for credits. Governor Gavin Newsom emphasized that these updates are designed to protect California’s diverse entertainment workforce by supporting all formats, from live-action to animation.
“California’s creative economy isn’t just part of who we are — it helps power this state forward. From the folks on the soundstage to the people designing the sets, these are jobs that anchor communities. I’m pleased to expand this award to animated and competition shows, helping advance the strongest entertainment economy in the nation and bringing even more good-paying jobs to California.”
The 16 television projects spearheaded by Disney and Warner Bros. Discovery are projected to be a major economic engine for the state. According to the California Film Commission, these productions will drive approximately $871 million in qualified in-state spending. Crucially, this includes $489 million in wages paid directly to thousands of local entertainment professionals.
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