HBO Says No to Netflix

Recently, Netflix struck a $1 billion deal with Epix to add films from Paramount Pictures, Lions Gate, and MGM to its streaming service. The video rental company was hoping to reach a similar agreement with HBO to acquire the rights to films from Warner Bros., Twentieth Century Fox and Universal Pictures. HBO respectfully declined, choosing instead to focus its efforts on its own streaming service, HBO Go.

"There is value in exclusivity," HBO co-president Eric Kessler said. “Consumers are willing to pay a premium for high quality, exclusive content.”

After having already reached deals with almost everybody else, Netflix CEO Reed Hastings has said he wants HBO as a supplier too.

"We would love to do a deal as well with HBO," said a Netflix spokesman. "Compete with us or collaborate with us, but we would much rather work with them."

As it turns out, that might not happen anytime soon. HBO Go ties the online viewership of recently aired content to a cable subscription, as opposed to Netflix's Watch Instantly plans. However, Netflix subscribers can still get HBO content once it’s released in DVD format.

Sources:
The Hollywood Reporter
CNET