Netflix co-CEO Ted Sarandos has reaffirmed the company’s commitment to maintaining traditional theatrical release windows for films produced by Warner Bros. Discovery if Netflix’s proposed acquisition of Warner Bros. studios and streaming businesses, valued at $82.7 billion, is finalized. Sarandos made these remarks during a surprise appearance at an event in Paris on Tuesday evening, organized by Canal+ Group.
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.” This declaration addresses growing concerns from exhibitors and other industry stakeholders about the potential impact of the acquisition on the theatrical landscape. He acknowledged that Netflix previously focused on monetizing films through its subscription model, as it lacked a theatrical distribution mechanism.
In his comments, Sarandos highlighted the relatively short history of Netflix’s original programming, stating, “We’ve only been doing original programming for 12 years.” He emphasized the importance of building a library quickly, noting that Netflix’s collection extends only a decade, whereas Warner Bros. boasts a rich legacy spanning a century. “They know a lot about things we haven’t ever done, like theatrical distribution,” he added.
During the event, Maxime Saada, chairman and CEO of Canal+ Group, inquired whether Netflix would continue its partnership with Canal+ following the potential acquisition. Sarandos indicated that Netflix would remain competitive in securing event programming and niche sports, including significant boxing matches. He reiterated, “Our primary mission is film and television.”
Saada expressed gratitude towards Netflix for influencing French audiences to embrace paid content. He remarked, “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.”
The event also featured Anna Marsh, CEO of StudioCanal, who underscored the company’s commitment to theatrical windows. She revealed a new film project, Elsinore, starring Andrew Scott and Olivia Colman, further emphasizing the importance of cinema in the evolving entertainment landscape.
As Netflix navigates this potential acquisition, the future of theatrical releases remains a critical aspect of its strategy, reflecting a broader trend in the industry toward balancing streaming with traditional cinema experiences.
