Monday 20 June 2011

Netflix pulls online Sony movies on Starz issue


Netflix Inc. has pulled Sony Pictures Entertainment films from its on-demand online services due to a contractual issue between Sony and Liberty Media Corp.’s Starz cable channel, according to a Netflix blog post.
The author of the post, dated Friday, identified herself as Pauline Fischer, vice president of content acquisition for Netflix NFLX -1.46% .
“You may have noticed that Sony movies through StarzPlay are not currently available to watch instantly,” the blog post said.

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Despite the torrent of dollars marketers are pouring online, big advertisers aren't expected to cut back their television budgets anytime soon.
“This is the result of a temporary contract issue between Sony and Starz,” the post said, “while these two valued partners work through their differences.”
Sony-produced movies could still be rented on DVDs through Netflix’s mail rental business.
The terms of an agreement between Sony and Starz stipulates that the studio’s movies can’t be shown on Netflix once that service reaches a certain number of subscribers, The Wall Street Journal reported, citing people familiar with the matter.

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