Netflix is in a showdown with the Cannes Film Festival, and the future of the film industry is in the crosshairs, according to an exclusive in The Hollywood Reporter.

“Sources tell The Hollywood Reporter that Netflix has threatened not to bring any titles to the world’s largest movie event after festival director Thierry Fremaux said last month that he won’t screen any Netflix films in competition,” THR reports. “The situation is said to be fluid, and a final decision won’t be made until Cannes announces its official lineup April 12.”

The report notes that if Netflix makes good on its threat, it could prove damaging for some high-profile filmmakers.

“Netflix titles have figured in the speculation about films that could screen at the festival, although it is not clear which may have been formally submitted,” THR reports. “Among them are Paul Greengrass’ ‘Norway’; Jeremy Saulnier’s ‘Hold the Dark’; and Orson Welles’ ‘The Other Side of the Wind,’ the newly completed version of a project the late director filmed in the 1970s.”

Netflix wasn’t commenting, but THR notes that “such a move would be seen as retaliation for a new rule, first announced after last year’s fest, banning any films from competition that do not have a French theatrical release. Since Netflix titles don’t play French theaters and instead appear directly on the digital service, that rule effectively has barred them from the competition lineup.”