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Disney To Pull Its Movies From Netflix and Start Its Own Streaming Service (theverge.com)
Disney announced today that it will end its distribution deal with Netflix and launch its own streaming service in 2019. "The move is a real blow to Netflix, which secured a valuable streaming deal with Disney back in 2012 -- before streaming had really taken off," reports The Verge. "The deal only kicked into effect last year, so Netflix is barely seeing any benefit here." From the report: Netflix won't lose its Disney movies right away. Disney says it plans to cut Netflix off starting with the studio's 2019 films, and Netflix says it'll be able to keep all the Disney movies it gets through the end of that year. That means Netflix should be able to stream the next two Star Wars movies, but it'll miss out on the new trilogy's final installment. "We continue to do business with the Walt Disney Company on many fronts, including our ongoing deal with Marvel TV," said a spokesperson for Netflix. Disney's streaming service will be built off technology from BAMTech, the MLB-founded video streaming platform. Disney was already a major investor in BAMTech, and today it's making an even bigger investment -- of $1.58 billion -- giving it a 75 percent stake in the company. The acquisition still requires regulatory approval. The Disney-branded streaming service will be the "exclusive home in the U.S. for subscription-video-on-demand viewing," and will kick off with films including Toy Story 4 and the sequel to Frozen. "Original movies, TV shows, [and] short-form content" will be added to the service, and it'll be filled out with older movies from Disney and Pixar's catalog and shows from Disney's TV channels. The report also notes Disney plans to launch a streaming service exclusively for ESPN, targeted for launch early next year. "Disney is promising about '10,000 live regional, national, and international games and events a year,' with individual sports packages available as well," reports The Verge.
This all resembles when the studios vertically "integrated" the movie houses... And were eventually forced to divest.
Let's see... What all does Comcast own/control.
No, we don't need network neutrality
I wonder if this has to do with the Vid Angel/Disney lawsuit and the recent workaround that allows Vid Angel to filter Disney movies on Netflix. By moving their movies off of Netflix, they effectively block Vid Angel again.
Disney already tried this with licensing out their characters to other companies to produce video games. They decided to stop that practice entirely and use an in-house game studio instead. Their games went to shit. Then a couple years later, they started licensing out again.
I have a feeling that history will repeat itself with this news of licensing streaming content.
One, of all the networks, Disney is perhaps the only one with a catalog full enough to actually present a good competitor to Netflix.
Two, I think this is a reaction to Netflix buying up Millarworld.
Overnight Netflix went from being a popular platform for delivering Disney product to a direct competitor to Disney's very profitable Marvel IP. It was inevitable, really, Netflix is tired of being Hollywood's bitch over licensing properties and they've been very proactive about fixing that, I wouldn't be surprised if at some point they don't buy out an actual studio. Regardless, Disney probably felt distinctly uncomfortable with the move, and knowing they do have a very large catalog of desirable properties felt safe launching their own service.
Disney owns a lot more than cartoons about princesses. As others have noted already, Star Wars and the Marvel movies come to mind. I'm sure your late teens are kind of interested in those (especially if they're boys, though there's no shortage of girls who like action movies either.) They own the distribution rights to many (maybe all?) of the Studio Ghibli movies in the US. And thousands upon thousands of other titles you probably wouldn't even think of as being Disney properties (R-rated movies and the like.)
Disney is huge. If you're wanting to stay legitimate, you'd be losing a large chunk of culture if you avoided them.
Of course what they'll find is that few people are capable of paying for every single distributor's own walled-garden crappy site and all the piracy reduction that trended with the rise of Netflix' online service will start spiking upward again. Not that the media companies will acknowledge the correlation of course (at least not publicly) because why would you need more than just their service and their service is (individually) reasonably priced right?
My suspicion is that they do realize Netflix solved a problem, but they're not looking at the right problem because Netflix solved at least two:
1) A good amount of content that people wanted.
2) Lots of content that people didn't care about (or didn't know they cared about until they tried it,) but gave them something to put on when they were bored.
All of these companies think we'll happily pony up $10, $15, maybe $20 per month to each of them in order to continue solving problem #1. But that's not the real problem that Netflix solved. Problem #1 is already solved sufficiently well by piracy. Netflix addressing it as well makes for good press, but doesn't really sway subscribers to any large extent.
Netflix' big selling point is that they solved #2. None of the walled garden approaches will fix that since almost by definition, they will have small content libraries. To some extent cable solves #2 as well, but since 90% of the cable channels are useless filler, there's many times where there's plenty on but absolutely none of it is worth watching -- that is, the minute-by-minute "library" on cable is also extremely limited. (And of course with Netflix, you aren't getting blasted with commercials on top of your monthly payment, though that's a smaller issue in the grand scheme of things as most people are well adjusted to ignoring commercials by now.)
How is that not kid friendly? It's wrong to coddle children and keep them away from the good things in life (blood, boobies, giant fighting robots, etc).