Netflix co-CEO Ted Sarandos has reaffirmed the company’s dedication to maintaining traditional theatrical release windows for films from Warner Bros. Discovery if their proposed $82.7 billion acquisition is finalized. Speaking at an event in Paris hosted by Canal+ Group, Sarandos addressed concerns within the film industry regarding the potential impact of the deal on theatrical distribution.
During his surprise appearance on a Tuesday night, Sarandos stated, “Our intentions when we buy Warner Bros. will be to continue to release Warner Bros. studio movies in theaters with the traditional windows.” His remarks come as the streaming giant seeks to integrate Warner Bros.’ extensive film library and distribution capabilities into its business model.
The co-CEO explained that Netflix has not previously engaged in theatrical distribution due to lacking ownership of the necessary infrastructure. “We were monetizing movies through our own subscription because that’s how we were growing the business the fastest,” he noted. Sarandos emphasized the significance of Warner Bros.’ storied history, which spans a century, compared to Netflix’s own decade-long library of original programming.
Industry Perspectives on Theatrical Releases
Concerns have surfaced among exhibitors and other industry stakeholders regarding how a potential acquisition might affect the traditional moviegoing experience. Sarandos reassured the audience that Netflix plans to respect established theatrical practices. He acknowledged, “We’ve only been doing original programming for 12 years,” highlighting the need to learn from Warner Bros.’ experience in theatrical distribution.
During the event, Maxime Saada, chairman and CEO of Canal+ Group, inquired about the future of Netflix’s relationship with Canal+ post-acquisition. Sarandos responded that Netflix would remain competitive in securing event programming and specialized sports content, including major boxing matches. “Our primary mission is film and television,” he asserted.
Saada also expressed gratitude to Netflix for changing the landscape of paid television in France. He observed, “Before you showed up, we had approximately 30 percent of French people willing to pay [for] TV. Netflix showed up in France with your proposition and user experience, and you convinced the French to pay, and now the penetration of paid television is 75 percent.”
New Projects and Future Plans
The event also spotlighted StudioCanal CEO Anna Marsh, who reiterated the company’s commitment to theatrical windows while unveiling a new film project titled Elsinore. This project features notable actors Andrew Scott and Olivia Colman, indicating a continued investment in cinematic experiences.
As Netflix navigates its ambitious plans for expansion through the proposed Warner Bros. acquisition, the company appears poised to blend its streaming prowess with traditional theatrical practices, ensuring a multifaceted approach to film distribution.
