Netflix is making moves to become a much bigger player in the world of movie and TV distribution. But does its deal with Relativity Media represent a sea change or is this just one small, and fairly insignificant, partnership between two small-time outfits?
From Broadcast To Online TV
The tide is ever so slowly turning away from broadcast TV and towards online TV.
YouTube is insanely popular, as is Apple‘s iTunes service. Tie that in with the iPad and a new range of similar tablet computers on their way which are able to stream all types of media and you have one vision of the future.
Another vision of the future is connected TV platforms, of which Google TV and the BBC’s YouView are the biggest hopes on either side of the Atlantic. And then there’s Netflix’ Watch Instantly service, streaming to a huge range of devices both in the home and mobile.
Netflix/Relativity Deal
Netflix today announced a deal with Relativity Media that will see some of the films this small distributor works on be available exclusively on Netflix’ Watch Instantly.
The deal sees 14 of the company’s offering from this year heading for Netflix rather than cable TV.
Ted Sarandos, chief content officer for Netflix, said:
“Our continued goal is to expand the breadth and timeliness of films and TV shows available to stream on Netflix. Historically, the rights to distribute these films are pre-sold to pay TV for as long as nine years after their theatrical release. Through our partnership with Relativity, these films will start to become available to our members just months after their DVD release.
currently has around 14 million subscribers, and is clearly hoping to add to this number by upping the range of content it offers through Watch Instantly.
Conclusions
As great as Netflix Watch Instantly is, its selection of movies has always been lacking new releases. This deal means new releases will appear on Netflix instead of cable TV stations such as HBO, Showtime, and Starz, which traditionally snap up content from movie studios.
If Netflix can make similar deals over the next few months then it may start becoming the true player it has ambition of doing so.
[Via The Wrap]
