Weekly Article 12.06.2012
Netflix inks Disney deal, but no new films 'til 2016 :
- Starting with Disney's 2016 feature films, Netflix customers will be able to stream a catalog of titles from Disney and four of its subsidiaries: Walt Disney Animation Studios, Pixar Animation Studios, Marvel Studios and Disney nature.
- Starz currently licenses many Disney films, in addition to titles from several other studios.
- Financial terms of the deal weren't disclosed, but Wedbush Securities analyst Michael Pachter estimates it will set Netflix back about $300 million per year.
- If true, that would be about 38% of the $798.4 million in cash Netflix had on hand at the end of September. On the other hand, its got four years to save up.
- Carl Icahn bought a nearly 10% stake in Netflix and said the company is a prime takeover target for tech giants.
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