// strategy

Source: NYT > Business

Netflix's shift toward theatrical distribution for "Narnia" responds to subscriber growth plateauing and pressure to justify price increases to skeptical shareholders. By licensing tentpole films to theaters first, Netflix gains cultural momentum and media coverage that a platform release alone can't match, while the theatrical window creates scarcity that makes the eventual streaming arrival feel like an event. Exclusive streaming windows are now a liability rather than a moat, forcing Netflix to compete for attention in the same theatrical marketplace it once threatened to disintermediate.