The deal will bring movies, like Iron Man 2 from EPIX's owners -- Paramount Pictures Corp. , Lions Gate Entertainment Corp. (NYSE/Toronto: LGF), and Metro-Goldwyn-Mayer Inc. (MGM) -- to Netflix, broadening its content offerings and better positioning it to compete with cable.
But of course there are some catches:
- The movies won't make it to Netflix until 90 days after they debut on EPIX.
- Netflix doesn't necessarily get all of EPIX's movies. The companies' press release says only that Netflix will offer "an array of" EPIX's titles.
- And finally, Netflix is coughing up $1 billion for the five-year deal, according to a report from the LA Times.
Netflix already has a similar deal with another premium cable channel, Starz Entertainment LLC , which brought it movies from Walt Disney Studios and Sony Pictures.
— Erin Barker, Digital Content Reporter, Light Reading Cable