UNIVERSAL CITY, Calif. and BEVERLY HILLS, Calif., April 9 /PRNewswire-FirstCall/ -- Universal Studios Home Entertainment and Netflix, Inc. [Nasdaq: NFLX] 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.
About Universal Studios Home Entertainment
Universal Studios Home Entertainment is a unit of Universal Pictures, a division of Universal Studios (www.universalstudios.com). Universal Studios is a part of NBC Universal, one of the world's leading media and entertainment companies in the development, production, and marketing of entertainment, news, and information to a global audience. Formed in May 2004 through the combining of NBC and Vivendi Universal Entertainment, NBC Universal owns and operates a valuable portfolio of news and entertainment networks, a premier motion picture company, significant television production operations, a leading television stations group, and world-renowned theme parks. NBC Universal is 80%-owned by General Electric, with 20% owned by Vivendi.
With more than 12 million members, Netflix, Inc. [Nasdaq: NFLX] is the world's largest subscription service streaming movies and TV episodes over the Internet and sending DVDs by mail. For $8.99 a month, Netflix members can instantly watch unlimited TV episodes and movies streamed to their TVs and computers and can receive unlimited DVDs delivered quickly to their homes. With Netflix, there are never any due dates or late fees. Members can select from a growing library of titles that can be watched instantly and a vast array of titles on DVD. Among the large and expanding base of devices that can stream movies and TV episodes from Netflix right to members' TVs are Microsoft's Xbox 360 and Sony's PS3 game consoles and, this spring, Nintendo's Wii console; Blu-ray disc players from Samsung, LG and Insignia; Internet TVs from LG, Sony and VIZIO; the Roku digital video player and TiVo digital video recorders; and Apple's iPad tablet. For more information, visit http://www.netflix.com.
SOURCE Netflix, Inc.