Washington, D.C. (April 9, 2010) -- Netflix has agreed to wait 28 days after the release of Universal Studios DVD and Blu-ray releases before renting them to their subscribers.
In return, Universal will give Netflix a wider selection of movies that can be streamed instantly from Netflix to subscriber TVs and computers.
The two companies made the announcement today. Netflix earlier this year made a similar deal with Warner Bros. While the agreements bolster Netflix's video streaming service, it gives rivals such as Blockbuster an advantage in the hard media business.
Blu-ray owners who want to watch Universal and Warner movies immediately upon their release on high-def and SD disc will have to rent them from Blockbuster or another video rental service.
Netflix and Universal say the first release covered under the new agreement is It's Complicated, which will be available to Netflix subscribers 28 days after its April 27 release. The movie stars Meryl Streep, Alec Baldwin and Steve Martin.
The new agreement will allow Netflix to offer such Universal films as The Pianist and Do the Right Thing on its 'Watch Instantly' streaming service.