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San Jose Mercury News

Netflix signs blockbuster deal to stream Disney movies

December 04, 2012

The deal with Disney will return to Netflix some of the content it lost when it failed to renew its agreement with Starz. Netflix reportedly offered Starz some $300 million but couldn't come to terms. Since then, the company has repeatedly emphasized that its subscribers watched relatively little content from Starz.

Netflix's streaming service has been criticized for not having a great enough diversity of content, and in recent quarters its subscriber growth has slowed. Clearly the company needs to add to its streaming offerings, said Brett Sappington, a research director at Parks Associates, a consulting company.

"We're going to see more of this in future," he said of Tuesday's deal with Disney.

From the article, "Netflix signs blockbuster deal to stream Disney movies" by Troy Wolverton.

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