Netflix wins 'first run' Disney film rights Walt Disney Studios is the first time a major Hollywood studio to sell its most expensive television distribution rights to an internet firm and means Netflix subscribers will get to watch the latest releases immediately after their DVD release. The agreement, likely to be worth hundreds of millions of dollars to Walt Disney Studios, will run for several years and cover films released in cinemas from 2016 onwards. Classic titles such as Dumbo and Pocahontas will be available immediately. Ted Sarandos, Netflix's chief content officer, called the deal "a bold leap forward for internet television." Only American Netflix subscribers will benefit from the deal, however, as film distribution licenses are negotiated on a country-by-country basis. The streaming firm has said it aims to win similar premium movie rights in Britain however, to make it a stronger competitor to Sky Movies. Entertainment industry observers have questioned whether Netflix, which charges only £6 per month, can afford to bid against satellite and cable providers who typically charge more than £30. Now TV, an internet-only movies service with first run rights, introduce by BSkyB in response to Netflix's arrival in Britain, meanwhile costs £15 per month. Investors greeted nevertheless Netflix's first big movie deal with enthusiasm, and its shares rose 14 per cent. Netflix also competes with other streaming providers for film licences. In September it lost a major deal to Amazon.