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Fox can determine when its content is made available to Netflix subscribers in both physical and streaming formats. Netflix can offer new Blu-ray and DVD film releases 28 days after their release, to allow a window for the studio to sell the DVDs.
Netflix Inc. will offer its subscribers more access to streaming versions of Fox TV shows under an expanded digital-content agreement with Twentieth Century Fox Film Corp.
The deal includes a streaming license for the TV shows, including complete prior seasons of such shows as “Lie to Me,” “24” and “King of the Hill.” Netflix, No. 18 in the Internet Retailer Top 500 Guide, will wait 28 days from the release of Blu-ray and DVD film releases to make that content available to its approximately 12 million subscribers.
Such delays, or “windows,” are designed to encourage sales of DVDs first and rental of DVDs later. Among the first DVD and Blu-ray releases under this arrangement will be the blockbuster film “Avatar,” which will be available to Netflix customers 28 days after its April 22 release date.
“In a rapidly changing world of windows and technology, this deal reflects a long-standing relationship between Netflix and Fox and is an example of how we can work together creatively,” says Ted Sarandos, chief content officer at Netflix. "We believe the Fox deal, which brings some of the studio’s great TV franchises and a library of both contemporary and classic movies to the growing percentage of Netflix members who are watching instantly, is a win all around.”