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Netflix Signs Multi-Year Deal With FilmDistrict For Streaming Rights

by Sean P. Aune | December 5, 2010December 5, 2010 8:00 am PST

Netflix is on a tear as of late trying to beef up its Watch Instantly service.  Already this year the company has struck deals with Nu Image/Millennium Films, Epix and Relativity Media for the rights to stream films at the same time they would hit cable, but you can now add FilmDistrict Pictures to that list.

In a deal struck last week, Netflix will now be able to stream films from FilmDistrict Pictures during what is known as “the pay TV window”.  This is the time period in the lifecycle of a film that comes after the DVD release and it moves on to premium cable channels such as HBO and Showtime, which is approximately one year after the theatrical release.

Netflix & FilmDistrictWhen you factor in the rumors that Netflix is talking to the networks about purchasing in-season streaming rights to numerous television shows, and that the company launched a new pricing plan that does not involve DVD rentals, it’s obvious that NEtflix CEO Reed Hastings isn’t joking when he has said streaming is the future of the company.  While no pricing on the FilmDistrict Pictures deal has been mentioned, previous deals have shown that these rights don’t go for small amounts.

The only thing that concerns me is that there has to be a stop point to just how much money Netflix has to spend.  While it is important to invest in their future, the rate with which the company is spending money should be enough to give anyone even at least a temporary pause and wonder just how much money there truly is to spend on all of these rights.  The other concern is that none of these deals have even kicked in yet, so while they continue to go out and acquire more, they haven’t even seen if one of them is successful enough to drive more subscription members.

Don’t get me wrong, as a Watch Instantly subscriber I’m thrilled so much content is coming, but I’m also concerned if the company is healthy enough for all of this.

What say you?  Are you excited for all this new Netflix content?


Sean P. Aune

Sean P. Aune has been a professional technology blogger since July 2007, but his love of tech dates back to at least 1976 when his parents bought...

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