As Gregg Kilday writes in The Hollywood Reporter, “Netflix chief content officer Ted Sarandos shook up the Hollywood status quo twice this week with a couple of announcements signaling that the streaming video service is out to up-end the existing movie business just as it’s challenged the television industry. On Sept. 29, he announced a deal with the Weinstein Co. to finance the sequel Crouching Tiger, Hidden Dragon: The Green Legend, which will premiere on Netflix and in Imax theaters on Aug. 28. In a backlash from theater owners, exhibition giants Regal, AMC Theatres and Cinemark said they wouldn’t show the film on their own Imax screens.
Then, the following day, Sarandos announced an even more ambitious pact: a deal to make four movies starring and produced by Adam Sandler (who also retains a non-exclusive, first-look deal at Sony). All four movies will debut exclusively on Netflix. Having dropped those two bombshells, Sarandos explains how Netflix’s growing global imprint has influenced the decision to begin producing original movies, why Sandler was willing to forego theatrical releases for the films and how exhibitors, resisting change, have all reacted ‘in lockstep.’”