Netflix's 45-Day Theatrical Window: A Strategic Shift

Netflix co-CEO Ted Sarandos has spent years arguing that the future of movies is at home, not in theaters. Now, as the company prepares to acquire Warner Bros. Discovery, he is changing his tune.

The proposed deal has prompted a strategic pivot, with Sarandos now publicly championing the theatrical experience. In a recent interview, he committed to keeping all future Warner Bros. films in theaters for at least 45 days before they move to streaming.

The core of Sarandos's new messaging is a specific, numerical promise. In a discussion with The New York Times, he outlined a clear plan for the theatrical distribution of Warner Bros. films post-acquisition.

When this deal closes, we will own a theatrical distribution engine that is phenomenal and produces billions of dollars of theatrical revenue that we don't want to put at risk. We will run that business largely like it is today, with 45-day windows. I'm giving you a hard number.

This 45-day window represents a concrete commitment from a company that has historically fought against long theatrical exclusivity periods. Sarandos emphasized that Netflix intends to compete aggressively in the theatrical space, stating, "If we're going to be in the theatrical business, and we are, we're competitive people — we want to win. I want to win opening weekend. I want to win box office."

This new stance is a dramatic departure from Netflix's established philosophy. For years, Sarandos has been a vocal proponent of the idea that the future of cinema is in the living room, a position that aligned with the broader decline in moviegoing attendance.

The company's general argument was that if people want to watch movies at home, they should be able to do so on Netflix. This philosophy led to a long-running battle over the traditional theatrical window—the period of exclusive theatrical availability before a film is released on other platforms.

Despite this public stance, Netflix has occasionally softened its position for high-profile projects. This is why Martin Scorsese's The Irishman had a limited theatrical run in 2019, and why Greta Gerwig's upcoming Narnia is scheduled for an IMAX release before streaming on Netflix.

Despite Sarandos's assurances, many in Hollywood remain unconvinced that a company built on streaming will truly prioritize the theatrical business. This skepticism is fueled by other statements Sarandos has made regarding the acquisition.

When announcing the deal, he noted that the company's "primary goal is to bring first-run movies to our members because that's what they're looking for." He also expressed a hope that "windows will evolve to be much more consumer-friendly to be able to meet the audience where they are quicker," a sentiment many interpret as a desire to shorten theatrical exclusivity.

This has created a contrast with competitors. Paramount, which has also expressed interest in acquiring Warner Bros. Discovery, has made "honoring healthy traditional windows" a key part of its public messaging, positioning itself as a defender of the established theatrical model.

The 45-day commitment is Sarandos's attempt to bridge the gap between Netflix's streaming-first identity and the theatrical business it is poised to enter. The logic is straightforward: Netflix wasn't in the business of putting movies in theaters, but if it buys Warner Bros. Discovery, it will be, so it must adapt.

This move is designed to reassure talent, exhibitors, and investors that Netflix will not dismantle a business that generates billions in revenue. By planting a "45-day flag," Sarandos is trying to demonstrate that Netflix can be a steward of the theatrical ecosystem.

However, the ultimate success of this strategy remains an open question. The industry will be watching closely to see if this commitment holds and how it might influence the future of film distribution.

The proposed acquisition of Warner Bros. Discovery by Netflix represents one of the most significant potential shifts in the entertainment landscape in years. Ted Sarandos's 45-day theatrical window is more than just a number; it is a symbol of a potential new era where streaming giants and traditional studios operate under a unified model.

The success of this strategy will depend on execution and the ability to convince a skeptical industry that Netflix's commitment to theaters is genuine. As the deal progresses, all eyes will be on how Netflix balances its streaming-first mandate with its new role as a major theatrical player.