DreamWorks Animation, Netflix Finalizing Streaming Deal
The studio currently has an output deal with Time Warner's HBO.
DreamWorks Animation and Netflix have been putting the finishing touches on a streaming rights deal for DWA films that could be announced in the coming days.
According to a source familiar with the situation, the animation studio, which has a film output deal with Time Warner's HBO that expires in 2014, and the streaming video powerhouse have reached an agreement.
According to Bloomberg News, the deal would kick in after the pay TV agreement with HBO expires, but a source tells THR that HBO has offered to end DWA’s output deal two years early because HBO recently signed a pact with Summit Entertainment that gives the pay cabler 10-12 live action films a year versus the two animated films a year that DWA offers. Plus, animated fare is more common now that HBO content partners Warner Bros., Fox and Universal are all producing those films.
Netflix is scheduled to report its latest quarterly results after the market close on Monday, and DWA is set to report Tuesday afternoon, fueling expectations that a deal could be unveiled sooner rather than later.
It wasn't immediately clear how a streaming deal would affect future pay TV output deals for DWA.
DWA and Netflix spokespeople declined comment. HBO was not available for comment.
Analysts have predicted that Netflix would push for more streaming content deals, while they have said that DWA may look for new ways to make money off its content. DWA.
DWA and Netflix spokespeople declined to comment.
Analysts have predicted that Netflix would push for more streaming content deals, while they have said that DWA may look for new ways to make money off its content.