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Sunday, September 11, 2011

Netflix Loses Starz Content

Starz walked away from contractual negotiations with Netflix, leaving the online video-rental giant without one of its main streaming content providers. According to some, Starz wanted Netflix to add a tiered service for access to Starz content, which Netflix refused. Starz content will be removed from Netflix' online streaming services in February of 2012. This includes Sony and Walt Disney content, as Starz is the first-run US distributor for those titles.

While Netflix' stock dropped after the announcement, Netflix responded by noting that Starz content viewing accounted for less than 10% of the total and was expected to drop. Netflix also noted new contracts in-place, so that, with even more content providers headed their way, the loss of Starz content would not affect online viewers as much as Starz executives had apparently hoped.

In June of 2011, numerous Sony titles were pulled from queue after they had been viewed "too many times." Apparently, Starz' contract had capped the number of times movies can be seen.

Netlfix already offers a "Starz Only" limited plan for $6.99 a month, which allows online streaming access to all Starz channels and content.

© C Harris Lynn, 2011

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