Film director Ryan Johnson (L), Greta Gervig (C), and Gilromo del Toro (R)
Getty images
Netflix There is no interest in bringing films in theaters.
Company leaders have said that they see Dramatic film release As a “old” model. Nevertheless, for more than a decade, Streammer has lured to create special materials for its platforms in some Hollywood’s biggest directors.
Recently, Netflix has taken Greta Gervig to the director’s seat after receiving CS Lewis’ rights of “The Chronicle of Narnia” book series, signed Ryan Johnson to make two sequels of 2019, “to make two sequels of 2019”knives out” And made himself the first film of Catherine Biglo’s first film release in the decade.
Many of these creatives have postponed the importance of dramatic experience, but some Netflix projects are expected to have a broad release or long run in theaters. Most of the time, Netflix films are launched in a limited number of theaters for a week, which is sufficient to be eligible for the Academy Award.
In fact, Gervig’s “Narnia” film is getting a special two -week global start in starting Thanksgiving Day 2026 in IMAX, something that was never done before.
Daniel Craig returns as Benoite Blanc in “Glass Onion: A knife out story”.
Netflix
Netflix has been able to bring away Hollywood talents from traditional dramatic models by offering an audience pool of attractive contract, creative freedom and more and more 300 million customersHollywood internal sources, who requested oblivion to discuss the move of the industry, told CNBC. It has also become a shelter site for the utters whose films cannot be made otherwise, either due to the budget budget or risky styles.
“Netflix provides filmmakers an unpredictable combination of deep financial pockets and broad creative latitudes,” said Paul Dergrabedian, senior media analyst from Comskor. “This film is enough to attract both the biggest names in the production and the camera today, and it is striking because most of these notable names have manufactured their careers on the canvas of big screen in the film theater.”
Why not dramatic?
As long as Netflix is interrupting the traditional Hollywood model, analysts and box-office supporters have argued why streammer should embrace a more traditional dramatic approach. Every year either, a study appears from a box-office analytics company or from one of the Hollywood dramatic trade groups, concluding that the audience is more A film is likely to stream he is Was released in theaters.
Mofetanathansan analyst Robert Fishman said, “It seems that pendulum for most traditional media companies has blown back the idea that, yes, dramatic increases the value of a film.”
Hollywood internal sources told CNBC that Netflix leaders have long admitted that the money is being left on the table by not employing a specific dramatic model. But Netflix co-CEO, Ted Sarandos, has said that he has no plans to change the company’s box-office strategy.
Industry analyst David Poland said, “It will be complicated for Netflix, a distraction from what they are trying to do.” “And it will potentially lose money.”
Sarandos repeatedly stated that Netflix is aimed at providing materials for its streaming customers, given that the audience paying for his service should receive it as soon as possible, not waiting for an expanded dramatic window.
Netflix has benefited from its partnership with Sony, which gives streammer exclusive American streaming rights for the dramatic release of the studio after wrapping the theaters. With the deal, Netflix gets fresh material without box-office risk.
Of course, keeping customers happy is only part of the strategy. Netflix saved millions in marketing costs, leaving theaters, said by industry experts. Typically, a film marketing is half of spending on budget production.
Therefore, a film like Russo Brothers’s “The Electric State”, which cost $ 320 million to allegedly produce, could have been a $ 160 million marketing budget if it went to theaters. It is an investment of approximately $ 500 million before a dramatic opening, and a studio will then divide ticket sales with theaters.
Milli Bobby Brown and Chris Prat Star in Netflix’s “The Electric State”.
Netflix
In particular, the film was slated to produce originally Universal Studio but Netflix was shifted to Netflix after Universal Balkade officials in their standing budget, telling the CNBC by the people familiar with the matter.
The success of the Netflix film is based on the number of viewers, a metric that is not compared to the box-office dollars. According to Netflix’s Tudam Site, “The Electric State” was streamful by 25.2 million customers in its first three days. During its three-day launch in 2021, there is a third of Netflix’s “red notice”. “Red notice” is Netflix Aaj Tak Best Performing Film With over 230.9 million views.
What Netflix provides
Hollywood internal sources told CNBC that it is difficult for directors and other creatives to dismiss the number of spectators. This is one of the reasons that Netflix is capable of attracting big name directors, writers and producers in the last decade.
Netflix has also been more flexible with its purse strings. “The Electric State” is just an example. “The Irishman” of the Scorses also saw a studio pass on the film due to the budget of his balloon, but Netflix acquired and acquired rights. The film went for 10 Oscar enrollment, although it finally went empty handed during the 2020 ceremony.
Al Patchino, Martin Scorses and Robert de Nero participate in “The Irishman” International Premier and Closing Gala during the 63rd BFI London Film Festival
Mike marrsland/wirimage
Poland said, “Netflix, as they are interested in receiving awards and nominations and have all the goods, funded and bought and are involved with directors who are actually high -quality filmmakers worldwide.” “It is a tribute to Netflix that they exist.”
Streammer has contested at least one best picture at the Academy Awards since 2019.
The company is not shy to spend money to secure top talent. It is signed with dozens of attractive first-Nazar deals with manufacturers, giving it special rights to review and potentially buy or distribute a new project before it is introduced to other buyers. The previous deals have launched a sargam between television and the film and include creators such as Tyler Perry, Antony Fukewa, Shonda Rims and Jennifer Lopez.
Netflix is even more targeted in its contracts, as seen when he signed a two-picture deal with Johnson for his 2019 film “knife out”, allegedly for over $ 400 million.
“It will be difficult for any creative to close the offer of financial resources to realize its creative vision. And their films want to be seen on the biggest screen, [they] Calculus has stated that his actions on the film are presented and presented on a major streaming platform, worth a bargain, “said Dergarabedian.
Wall Street does not take into account Netflix’s film strategy. The company’s stock costs around $ 1,300 per share and more than 90% in the previous year since January.
According to the company, Netflix is expected to spend around $ 18 billion on content this year. It does not disclose what percentage of that funding goes to his television presentations. The company currently states that its entire year will be between $ 43.5 billion and $ 44.5 billion.
Internal sources said that with those types of investments, consumers may need to look out for higher price hikes. The fisherman of Moffettnathanson said that Netflix will continue to weigh its value proposal to determine whether it needs to increase the cost of its services.
If Netflix keeps forming materials from top level creators, the analyst firm is expected to increase prices.
Disclosure: Comcast is the native company of NBCUNIVERSAL and CNBC.
