Universal Studios Home Entertainment and Netflix, Inc.
today announced agreements covering the distribution of Universal new
release DVD and Blu-ray titles at Netflix while providing an expanded
selection of the studio’s movies that can be streamed instantly from
Netflix to TVs and computers.
New release titles on DVD and Blu-ray will be made available
to Netflix members after a 28-day window, giving Universal a dedicated
time period for sales of its physical and digital offerings. Netflix
receives the benefits of reduced product costs, significantly more units
and better in-stock levels four weeks after street date. At the same
time, a license for Universal streaming content allows Netflix to
provide its more than 12 million members more movies they can watch
instantly.
"As the home entertainment market continues to evolve, we’re
exploring new and creative approaches to distribution with our key
studio partners," said Ted Sarandos, chief content officer for Netflix.
"Our intent is to forge agreements that make sense for the companies
involved and that, on the whole, improve the consumer experience and the
movie ecosystem. We believe the Universal deals accomplish that."
"We’re extremely pleased to have reached this mutually
beneficial arrangement that will allow Netflix subscribers to continue
enjoying Universal’s film content on DVD and Blu-ray," said Craig
Kornblau, president of Universal Studios Home Entertainment.
The first release covered under the new agreement is the
comedy "It’s Complicated," which will be available to Netflix
subscribers 28 days after its April 27 street date. New releases will
continue to represent an important component of the Netflix service, and
deals such as these with Universal will allow Netflix to be better in
stock on new releases after a brief window while continuing to enhance
the scope and attractiveness of the streaming content Netflix members
receive.
The film streaming agreement makes premium domestic films like
"Gosford Park" and "Billy Elliott" and library films including "The
Pianist," "Being John Malkovich" and "Do the Right Thing" available to
watch instantly.
