Netflix, Inc. (NFLX) Disrupts the Television World

Page 2 of 2

Netflix continues to build its licensing archive of popular entertainment as well. In December 2012, Netflix beat out Starz (NASDAQ:STRZA) for the first-time distribution rights of Disney films fresh out of the theaters in the United States, starting in 2016. The Walt Disney Company (NYSE:DIS), is a household staple for children (and kids at heart). All of Disney’s live action and animation productions are included in this exclusive Netflix distribution, including Pixar, Marvel Comics and recently acquired Lucasfilms. Such a feat places Netflix in a position traditionally reserved for cable broadcast networks.

Creating original content based on existing customer habits and expanding distribution from content beasts such as Disney provides a strong growth platform for the company. And if their hunch is right on “House of Cards,” investing in stellar original content with little creative constraints will keep Netflix in this sweet spot of disruption.

The article Netflix Disrupts the Television World originally appeared on Fool.com and is written by Crystal Street.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2