Netflix Co-CEO Ted Sarandos spent time this week making his case that his company is not the rapacious villain that many in exhibition consider it to be. Sarandos gave a lengthy interview with the New York Times that addressed some of the hot-button issues surrounding Netflix’s $83 million acquisition of Warner Bros.
One particularly divisive issue was a concern that Netflix would no longer release Warner Bros.’ movies to theatres, including a reasonably long exclusive window before making them available on streaming. Another concern was that Netflix would follow the acquisition with deep cuts in Warner Bros. staff. Sarandos stated both of these concerns were overblown and that his plans to make these fundamental changes were “misunderstood.”
In the interview, Sarandos offered his most expansive commitment towards a theatrical release window, saying, “If we’re going to be in the theatrical business, and we are, we’re competitive people — we want to win. I want to win opening weekend. I want to win at the box office.” Sarandos also emphasized that a Netflix acquisition of Warner Bros. would be better for Hollywood, resulting in fewer layoffs than a combination of Paramount/Warner Bros. Exhibitors are unlikely to be swayed, and are still lobbying the governments of both the U.S. and Europe to block Netflix’s acquisition, claiming that it represents an unacceptable risk to the vitality of cinemas.
