Netflix (NFLX) Swips DreamWorks Animation Content from HBO
Tweet
Share
E-mail
Get Alerts NFLX Hot Sheet
Join SI Premium – FREE
Showing it's still relevant in the content wars, Netflix (Nasdaq: NFLX) signed a deal with DreamWorks Animation (NYSE: DWA) for its slate of movies including "Madagascar" and "Shrek," the New York Times reported Monday.
Maybe more shocking is that Netflix stole the content deal from HBO by paying a higher price.
DreamWorks' CEO Jeffrey Katzenberg suggested the deal is quite telling for the future of streaming versus traditional paid TV. "We are really starting to see a long-term road map of where the industry is headed," Mr. Katzenberg said in an interview with the New York Times. "This is a game-changing deal."
Netflix's chief content officer Ted Sarandos said the deal shows the power is moving back into the hands of content creators. When a company like DreamWorks ends a long-running pay TV deal - when a new buyer in the space steps up - "that's a really interesting landscape shift," he said.
The DreamWorks Animation content βwinβ for Netflix follows the recent loss of a Starz content renewal. Starz was looking for a price Netflix was unwilling to pay - rumored to be north of $300 million.
Shares of Netflix are up 5 percent to $136 in pre-open trading Monday.
Maybe more shocking is that Netflix stole the content deal from HBO by paying a higher price.
DreamWorks' CEO Jeffrey Katzenberg suggested the deal is quite telling for the future of streaming versus traditional paid TV. "We are really starting to see a long-term road map of where the industry is headed," Mr. Katzenberg said in an interview with the New York Times. "This is a game-changing deal."
Netflix's chief content officer Ted Sarandos said the deal shows the power is moving back into the hands of content creators. When a company like DreamWorks ends a long-running pay TV deal - when a new buyer in the space steps up - "that's a really interesting landscape shift," he said.
The DreamWorks Animation content βwinβ for Netflix follows the recent loss of a Starz content renewal. Starz was looking for a price Netflix was unwilling to pay - rumored to be north of $300 million.
Shares of Netflix are up 5 percent to $136 in pre-open trading Monday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Netflix eyes Letterboxd acquisition, Variety reports, citing Puck
- Healthcare Triangle, Inc (HCTI) files for 28M share offering by selling stockholders
- Netflix Exploring Live TV, Bundles - WSJ
Create E-mail Alert Related Categories
Corporate News, Insiders' BlogSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
