Roh-oh...Starz Won’t Renew Content Deal With Netflix

[dixiegrrrrl]

Is this going to be a problem for Netflix in the long run? Are they over extended?



From yesterday, Sept 1:
Netflix shares tumbled in after-hours trading after Starz announced it had ended contract renewal discussions. The stock was quoted at $213.03, down 8.7%, on volume of around 520,000, according to Nasdaq.com. Netflix spokesman Steve Swasey said in an email that the company was “confident we can take the money we had earmarked for Starz renewal next year and spend it with other content providers to maintain or even improve the Netflix experience.” Starz movies and shows account for just 8% of U.S. subscribers’ viewing, Netflix said, and the company had projected that to fall to 5%-6% percent by the first quarter of 2012, when the deal dies.

http://www.deadline.com/2011/09/starz-wont-renew-content-deal-with-netflix/

[Lydia Leftcoast]

1. Most of what's on Starz Play is old TV Westerns and straight-to-video B movies

There's some good stuff, but it's the exception.

[supernova]

2. Starz doesn't have a lot

of original programming itself. Spartacus being the exception rather than the rule.

I remember having it when I first had DirecTV, but honestly, past the first six months, I gave Starz a pass. So I think no big loss to Netflix here.

[bif]

3. A lot of the movies I watch are Starz movies.

I'd like to know what they're planning on replacing it with. I may have to consider dropping Netflix. Crappier offering and higher price. Not good.