Exhibition Rights

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While it’s not yet certain what the future of movie exhibition is going to look like, what’s more than certain is that it’s not going to continue looking the way it has for decades for very much longer. There’s currently a battle being waged over how movie fans are going to be able to watch the newest products being produced by studios, and it’s a battle that’s being fought on multiple fronts—whether by theater screen, by phone, or by set top box, the war to acquire the loyalty of our eyes and our ears is on. The two parties who have been making the most noise lately are the theater owners who have ran the various venues where we’ve spent our whole lives to this point watching the latest that Hollywood has to offer, and Netflix, whose digitally delivered, all-you-can-eat subscription model of movie consumption has already destroyed the concept of the video store and is looking to set its sights on the movie theaters next. Recently, Netflix CCO Ted Sarandos has been making a lot of noise about exhibition windows, which are the agreements that let theater chains exclusively exhibit all of the new studio releases for a certain amount of months before they can hit the various home video platforms. These exclusive deals are in large part what keeps the theater system financially viable, they’re a big way that studios are able to maximize profits on each of their releases, and Sarandos believes that they’re the biggest obstacle […]

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