Starz slammed the brakes on negotiations to renew their contract with Netflix's streaming service on Thursday afternoon. Why? Starz wanted more money. The company explained in a statement, "This decision is a result of our strategy to protect the premium nature of our brand by preserving the appropriate pricing and packaging of our exclusive and highly valuable content." This means that thousands of movies from big studios like Disney and Sony, with whom Starz has contracts, will no longer be available when the contract expires on February 28, 2012. Netflix stock plummeted nearly ten percent in after hours trading after the news broke. As it were, Thursday is also the day that Netflix's price hike takes effect.
This article is from the archive of our partner The Wire.