Wednesday, December 05, 2012

Changing the Game?

Some high rollers think so.

Netflix's day-old deal to be the exclusive pay-TV home for new movies from Walt Disney Studios is a "game changer" for the streaming video company and was "the highest value deal" possible for the entertainment giant, executives from the two companies said Wednesday.

Speaking at the UBS Global Media and Communications Conference in New York, Netflix Chief Content Officer Ted Sarandos said bidding away those rights from premium cable channel Starz beginning in 2016 was particularly valuable to his company because of its large family audience.

"The movies that constantly performed well for us are those big, animated features," Sarandos said. "There's lots of repeat viewing. It’s a safe brand halo."

... Indeed, family fare plays well around the world -- including in emerging markets such as Latin America, where children's programs are less available.

For many, the idea of an Internet company outbidding established cable channels for the rights to movies from giant brands like Disney's Pixar, Marvel, and Lucasfilm marks an inflection point in the media landscape. ...

Trying to predict what constitutes a "new ballgame" and what doesn't is a risky business. Technology moves quickly. I remember when VHS tapes were the big drivers/saviors of the movie industry.


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