Still reeling from a disastrous Q1 earnings report, Netflix is considering making fundamental changes to its business model. “Initiatives” that the streamer is said to be pursuing include a crackdown on widespread password sharing, introducing an ad-supported tier of service, and live-streaming popular reality shows to boost interest in these original series.
Another intriguing development is the possibility of Netflix distributing some of its feature films to cinemas with a 45-day exclusive theatrical window. Netflix may test this new strategy later this year with a theatrical release for KNIVES OUT 2 and an untitled project from Alejandro González Iñárritu.
If these prove successful, Netflix may release as many as twelve films within a 45-day window next year. This is a shocking departure from Netflix’s previous approach to releasing its original films. There is some skepticism that Netflix will adopt the distribution strategy of a traditional movie studio. However, the current turmoil in financial markets has forced all players in media and entertainment to re-consider their long-held positions.