Warner Bros, one of the biggest suppliers of content to Netflix has reportedly put on hold the sale of its finished shows to the streamer. Whether the move is a one-time sign of displeasure towards Netflix or if it is a move that is an indication of a major move on Warner Bros part in the streaming wars is what has the industry intrigued.
Netflix besides producing its own content also enters into deals with big production companies to buy finished shows and also licenses some. And with Warner Bros, it does both. In fact, some of the most popular titles on Netflix like ‘The Sandman’, ‘Manifest’, ‘Sweet Tooth’, ‘Riverdale’,’ The Flash’ etc. are Warner Bros TV’s productions or are licensed from CW, a joint venture of Warner Bros. Long-time collaborators, what has Warner Bros CEO David Zaslav unexpectedly miffed with Netflix?
Netflix’s payment structure to the producers of its content.
The streamer’s usual practice is to pay the producers over 18 to 24 months. While the practice has been followed for some years now, the issue with it was raised again upon Netflix’s renewal of the Warner Bros-produced series ‘The Sandman’ for a second season.
And the biggest consequence of this discontent? Zaslov reportedly instructing his teams to pause selling finished shows to Netflix for a few weeks.
If the issue and discontent grow and go out of hand, it would mean big changes in the streaming landscape. Warner Bros stopping the sale and licensing of its shows to Netflix and directly releasing them on its own streaming platform HBO Max will be a huge blow to Netflix.
Luckily, as of now, it is expected that normality will return after some time since both giants are benefitting from their current association. It is to be seen in the coming days whether the move is exactly what it looks to be or if it is an indication of more prominent things to come.