Starz Entertainment has ended contract negotiations with Netflix and will pull its content from the Watch Instantly platform effective February 28, the company announced Thursday.
"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," Starz said in a statement. "With our current studio rights and growing original programming presence, the network is in an excellent position to evaluate new opportunities and expand its overall business."
In a statement, Netflix downplayed the current impact of the Starz partnership and said its content accounts for 8 percent of domestic viewing. As Netflix adds more movies and TV shows in the first quarter, it expects Starz viewing to drop to about 5-6 percent next year before the content is pulled.