This does not directly benefit me - my kids are out of the Disney demo and I
don't care for most of the network shows (unless they start streaming Modern
Family). But if it strengthens Netflix' chances of getting more content, I
am all for it.

****************

http://news.cnet.com/8301-31001_3-20024968-261.html?part=rss&subj=news&tag=2547-1_3-0-20

Netflix has signed a new licensing agreement with one of the biggest
Hollywood studios, allowing the Web's top video rental store to begin
streaming TV shows from the Disney Channel and ABC TV, the company announced
today<http://www.prnewswire.com/news-releases/netflix-and-disney-abc-television-group-announce-deal-to-stream-array-of-abc-network-disney-channel-and-abc-family-shows-to-netflix-members-111517649.html>.


Talk about good timing. News of the deal comes a day after the din of
Netflix bashing in the entertainment sector reached a crescendo and after
Netflix announced the departure of Barry McCarthy, the company's chief
financial officer.

As execs from cable and Hollywood at the UBS Investor conference in New York
this week were predicting that the flow of content to Netflix would begin to
slow soon, CEO Reed Hastings pulled this deal out.

All the bad news even had some on Wall Street wringing their
hands<http://blogs.forbes.com/ericsavitz/2010/12/08/netflix-after-270-run-and-cfo-departure-time-to-back-away/?boxes=Homepagechannels>.
In morning trading, Netflix's stock was at $184.43, down $5, or 2 percent.

Netflix will soon get prior-season episodes from ABC's most successful
serials such as "Grey's Anatomy," "Desperate Housewives," and "Brothers &
Sisters." From the Disney Channel will come past episodes from "Phineas and
Ferb" and "Good Luck Charlie."

The real loser in this Netflix-Disney relationship may be Hulu, which is
backed by News Corp., NBC Universal, and Disney. It would seem that the
company's own backers are willing to arm its main adversary with content and
thereby stripping it of some the service's competitive advantage. NBC
Universal also licenses older episodes from hit shows to Netflix, including
"30 Rock" and "The Office."



<http://news.cnet.com/8301-31001_3-20024968-261.html#ixzz17XPQQSUx>

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