Get breaking news alerts via email

Click here to manage your alerts
Netflix strikes movie deal with Weinstein Co.
First Published Aug 20 2013 09:46 am • Last Updated Aug 20 2013 02:06 pm

BEVERLY HILLS, Calif. • In a drive to add subscribers, Netflix has expanded on a movie licensing deal with The Weinstein Co. that will add more films to its Internet video service beginning in 2016.

The multi-year agreement announced Tuesday builds upon a partnership that Netflix Inc. forged with Weinstein Co. last year. That deal gave it the streaming rights to the Oscar-winning film, "The Artist," as well other foreign films and documentaries from the 8-year-old studio.

Join the Discussion
Post a Comment

The new deal gives Netflix the rights to show all movies released by Weinstein Co. and its subsidiary, Dimension Films, before they appear on pay-TV channels. That makes it more competitive with channels like HBO and Showtime that have traditionally been the first place to see films after their theatrical runs.

Investors applauded Netflix’s latest coup as the company’s stock surged to a new two-year high of $272.47 before retreating slightly. The shares were up $12.48, or nearly 5 percent, to $272.26 in Tuesday’s afternoon trading.

Netflix’s exclusive arrangement with Weinstein Co. begins with films released in theaters during 2016. That’s around the same time Netflix will begin showing films for the first time outside a movie theater from The Walt Disney Co., part of an agreement announced last year.

Financial terms of the latest Weinstein deal weren’t disclosed.

Netflix has been spending heavily to gain exclusive content licensing rights and finance its own original programming. CEO Reed Hastings wants to attract 60 million to 90 million U.S. subscribers to the company’s $8-per-month service. Netflix ended June with nearly 30 million subscribers in the U.S. and 7.75 million international customers scattered through 39 other countries.

The company, which is based in Los Gatos, Calif., is spending about $2 billion annually to stock its Internet video library as it vies for viewers against premium cable channels such as Time Warner Inc.’s HBO and other online services, including rapidly expanding offering from Amazon.com Inc.

Weinstein Co. was launched in 2005 by Bob and Harvey Weinstein, the brothers who founded Miramax Films in 1979. Since then, Weinstein Co. has released two films that have won an Academy Award for Best Picture, "The Artist" and "The King’s Speech."

"We look forward to reinventing the pay TV window with the Weinsteins," said Ted Sarandos, Netflix’s chief content officer.

story continues below
story continues below

Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment

About Reader Comments

Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Access your e-Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.