What Disney's Licensing Deal with Sony Means for You

WHEN streaming has forced the hand of studios, Sony has made arguably one of the best possible decisions: MAKING A DEAL WITH DISNEY+ RATHER THAN ADDING TO AN ALREADY OVERSATURATED MARKET.

Disney finalized a massive deal with Sony Wednesday that not only ensured Spider-Man’s literal homecoming to Disney+, but also gave the company a slight edge in the ongoing streaming wars. While that’s great for Disney, this deal also has implications for audiences and consumers. First and foremost, the deal guarantees that all current and future Spider-Man films, including any related Marvel releases (“Venom”, for example), go to Disney+ starting in 2022. In the nine-month interim, these same movies will be calling Netflix their home. A deal made allows all of their films to stream there first, approximately nine months after each respective theatrical window closes. Once the licensing rights for a film expire at Netflix though, it will be immediately acquired by Disney.

This deal also gives Disney long term access for all of Sony’s other titles: most notably, the James Bond franchise, but also hit films such as Ghostbusters. While Disney+ is the company’s primary streaming platform, it won’t be the only one of its products bearing the benefits. Hulu, FX, ABC, Freeform, and other Disney cable networks will also have access to Sony’s library of content, and Variety reports Disney said Hulu specifically would gain access to “a significant number” of titles this June.

While this deal is sure to excite fans globally, and while Disney is still enjoying the success of its popular Star section on international Disney+ platforms, the only actual downside to it is that only US residents can fully enjoy it. The agreement doesn’t extend to those with Disney+ overseas. Sony doesn’t seem to be too concerned with any financial consequences though, as both its deals with Netflix and Disney are predicted to net them $3 billion dollars over the next few years.

Disney’s Chuck Saftler and Sony’s Keith Le Goy are the two masterminds behind the deal. Saftler, who is the head of business operations for ABC, Freeform, FX Networks and Acquisitions for Disney Media and Entertainment Distribution, said in a statement to shareholders Wednesday:

“This landmark multi-year, platform-agnostic agreement guarantees the team at Disney Media and Entertainment Distribution a tremendous amount of flexibility and breadth of programming possibilities to leverage Sony’s rich slate of award-winning action and family films across our direct-to-consumer services and linear channels…This is a win for fans, who will benefit from the ability to access the very best content from two of Hollywood’s most prolific studios across a multitude of viewing platforms and experiences.”

Le Goy, president of worldwide distribution and networks for Sony Pictures Entertainment, likewise praised the deal, saying that the way it “reconfirms the unique and enduring value of our movies to film lovers and the platforms and networks that serve them [will be] groundbreaking.” The deal is expected to last through 2026.