Netflix signed a deal with Disney to get exclusive pay TV rights for the movies on Tuesday. The multi-year agreement with Walt Disney Co. allows Netflix to have exclusive access to movies beginning in 2016. The pay television and movie service provider’s stock went up 8 percent on the Nasdaq after the announcement, according to Reuters.
Subscribers will now be able to pack to the joys of Disney movies with them anywhere. Netflix subscribers can watch both classic and newly released videos on their television sets, computers, cell phones, and tablets.
Disney and Netflix also inked an agreement to allow the service provider to have immediate access to a multi-year catalog of children’s classics. Little ones and their families can gather around a bowl of popcorn and watch the likes of Pocahontas, Dumbo, and Alice in Wonderland. The cost and constant flurry of movie releases for children can become very cost prohibitive. The low monthly Netflix live-streaming fee will likely make it far more economical for parents to offer age-appropriate viewing options to their children.
Once the new deal fully kicks in the video rental service will offer films from Walt Disney Animation Studios, Disneynature, and Pixar Animation marvel, according to CNET. The deal Netflix had with Starz to gain access to Disney movies expired earlier this year.
Netflix began struggling to license movies from some of the top Hollywood studios, causing some subscribers to become disenchanted with the number of new releases and available rental options offered. The Disney agreement is expected to place the video rental provider back on a competitive level with other pay-to-view services.