It looks like there is a little bit of much-needed good press for Netflix this morning.
The New York Times reported late Sunday that Netflix has reached a deal with DreamWorks Animation to stream its content through their Netflix Instant subscription service (now simply called Netflix).
This new deal comes after DreamWorks ended its contract with HBO, who let the animation studio out 2 years early. The new deal with Netflix should prove to be more lucrative for DreamWorks, according to the Times –
The Netflix accord, which analysts estimate is worth $30 million per picture to DreamWorks over an unspecified period of years, is billed by the companies as the first time a major Hollywood supplier has chosen Web streaming over pay television.
FYI, DreamWorks is the company behind films like Madagascar, Shrek and How To Train Your Dragon.
If you think this sounds like good news for Netflix and Netflix subscribers, you would be right. DreamWorks is a good content source, and its films should add legitimacy to the Netflix streaming catalog. But there’s one little problem:
Netflix won’t start streaming DreamWorks content until 2013. Depending on when exactly in 2013, that’s at least a year to a year and a half away.
Netflix will begin streaming DreamWorks films starting in 2013. The studio plans three releases that year: “The Croods,” a prehistoric comedy; “Turbo,” about a garden snail; and “Peabody & Sherman,” an adaptation of “Rocky and Bullwinkle” characters. Titles from the DreamWorks library, including “Kung Fu Panda” and “Antz,” will become available over time, the companies said.
It’s been a rough little stretch for Netflix, and it seems like they need to start adding to that streaming catalog as soon as possible. Last week they announced a new deal with Discovery Communications to bring Discovery Channel and TLC content like “Man vs Wild” and “Say Yes To The Dress.”
This, just days after they announced that negotiations fell through with Starz – meaning Netflix will lose much of its Disney and Sony content by February 2012.
Between the price hike, the Starz content loss and the recent Qwikster split, Netflix is now playing from behind. People are upset and some are losing faith in the company. Adding new content to the streaming service is what Netflix has to do, no doubt, but 2013? If anyone should know, Netflix should know how much can change in just a matter of months.