Disney signs contract with Netflix and Amazon (image via Creative Commons)

Both Netflix and Amazon announced today that they have arranged separate deals with Walt Disney Co. in order to stream content from Disney owned channels ABC and The Disney Channel. 

Disney and Netflix extended an existing contract, while Amazon had never offered Disney content before today. Netflix will be allowed to stream all of the shows that had been previously had the rights to, as well as adding ABC shows “Switched at Birth” and “Alias,” and the Disney Channel’s “Kick Buttowski.” Amazon was not only given access to this content, but also to Marvel shows “Spider-Man” and “X-Man Evolution.” Financial details of both deals were not disclosed

The deals are beneficial for all companies involved. Netflix and Amazon will both gain access to extremely popular content, while Disney will profit heavily on old content. 

Online streaming provides a solution for many content providers such as Disney in an era that has seen an extreme plummet in DVD rentals and sales. Both the Amazon and the Netflix contracts allow the sites to stream only previously aired content, meaning that Disney will be making money on content that they otherwise would be doing nothing with. 

The deal is also a tangible reminder of the competition between Netflix and Amazon’s online streaming service, Amazon Prime. Netflix previously had carved a niche for itself in the paid online streaming service, but a recent series of unpopular administrative choices has caused many unhappy customers to leave the company. Amazon has been trying to capitalize on these losses, claiming that they plan to offer 13,000 titles through Amazon Prime by the holiday season. 

Reach writer Henry Stroud here