AAPL Stock: 118.3 ( + 0.49 )

Printed from

Netflix may pay studios $1.2 billion for streaming rights

updated 02:35 pm EDT, Wed October 27, 2010

Netflix paying $1.2 billion in streaming rights?

Netflix' recent moves to bring its content online only rather than its traditional method of mailing out DVDs is costing the company a minimum of $1.2 billion, according to an SEC filing from yesterday. Thfee would cover the streaming rights for the movies and TV shows to Hollywood studios. The price is a marked increase from the $229 million Netflix spent on rights three years ago.

A large portion of that number, estimated at between $900 million and a billion dollars, was spent on a five-year deal with pay channel Epix. The agreement would expire in 2011, though a renewal is likely, as Netflix receives its Sony and Disney content from the company. At least one analyst, Barclays' Douglas Ammuth, believes the company will have $2 billion in costs for streaming rights by the end of 2011. [via AllThingsDigital]

by MacNN Staff



Login Here

Not a member of the MacNN forums? Register now for free.


Network Headlines

Follow us on Facebook


Most Popular


Recent Reviews

Ultimate Ears Megaboom Bluetooth Speaker

Ultimate Ears (now owned by Logitech) has found great success in the marketplace with its "Boom" series of Bluetooth speakers, a mod ...

Kinivo URBN Premium Bluetooth Headphones

We love music, and we're willing to bet that you do, too. If you're like us, you probably spend a good portion of your time wearing ...

Jamstik+ MIDI Controller

For a long time the MIDI world has been dominated by keyboard-inspired controllers. Times are changing however, and we are slowly star ...


Most Commented