Disney expands deals with Netflix, Amazon

Realizing that online streaming video is the future, Disney-ABC has signed freshly minted deals to bring new content to Netflix and Amazon.

Under the new deal, Netflix will get episodes of Switched at Birth and Alias, as well as back episodes of Grey’s Anatomy, Desperate Housewives, Private Practice, Lost, Brothers & Sisters and Ugly Betty.

Several shows from ABC Family and The Disney Channel are also included in the new deal. The partnership with Amazon brings similar content to its Prime streaming service as well.

For such a giant entertainment company, Disney has actually been a leader in the advancement of formats and digital distribution. It is what helped make Blu-ray the winner in the HD format war, and has been offering downloadable versions of movies and TV shows for longer than many other companies, though some options like digital rentals have been less easily embraced.

Nevertheless, more content for Netflix and Amazon can be nothing but positive for all three companies as well as the end user.

No matter how big these companies get, though, they need to remember that they are bound by their subscribers. Netflix made a huge mistake in increasing monthly fees and trying to spin off its DVD-by-mail platform as a new service, causing it to lose 800,000 members in the most recent quarter.