Netflix coming to Comcast's X1 boxes later this year

(Reuters) - Comcast Corp's (NASDAQ: CMCSA) pay television subscribers will be able to stream movies and TV shows from Netflix Inc (NASDAQ: NFLX) through the cable operator's X1 set-top box later this year, the companies said on Tuesday.

The deal will make it easier for Comcast customers to access Netflix programming on their television sets because they won't have to switch to a streaming device like an Apple TV or Roku box.

Netflix shares rose 1.5 percent to $98.11 in afternoon trading on Nasdaq. Comcast shares dropped 0.5 percent to $64.97.

The world's largest subscription video service has been working for years to strike deals with pay TV operators to stream its service through set-top boxes. In 2014, it reached agreements with three smaller U.S. cable operators.

Comcast is the largest cable TV provider in the United States. The company reported 22.4 million video subscribers at the end of March.

About 35 percent of them have X1, an operating system with upgraded features such as voice control. Comcast has been adding capabilities in a bid to retain customers who have increasingly gravitated to online video offerings.

Netflix and Comcast previously sparred when Netflix Chief Executive Reed Hastings publicly criticized the cable company's 2014 bid for Time Warner Cable. Regulators blocked that deal.

In a joint statement on Tuesday, the companies said "Comcast and Netflix have reached an agreement to incorporate Netflix into X1, providing seamless access to the great content offered by both companies."

No further details were disclosed. Technology website Re/code first reported the deal.

Also on Tuesday, Netflix announced a multi-year deal to bring all CW network series to the streaming service eight days after each show's season finale. CW hits include "Crazy Ex-Girlfriend" and "Jane the Virgin."

The CW is a joint venture between CBS Corp (NYSE: CBS) and Time Warner Inc's (NYSE: TWX) Warner Bros. Entertainment.

(Reporting by Anya George Tharakan in Bengaluru and Lisa Richwine in Los Angeles; Editing by Ted Kerr and David Gregorio)

You May Also Be Interested In

• Buttigieg says Boeing must meet FAA quality plan before raising 737 MAX output
• Tesla shareholder seeks to bar Musk from dodging from Delaware pay ruling
• Short-term market moves must not spook Brazil central bank, director says