Warner Music nears deal with Netflix for artist films

Warner Music Group is nearing an agreement with Netflix to produce a slate of movies and documentaries featuring the label's artists and songs, according to sources familiar with the matterbusinesstimes+1.
The partnership marks a strategic shift for Warner Music, which closed its in-house film and TV production division earlier this year as part of a $300 million cost-cutting initiative and is now outsourcing content developmentbusinesstimes+1.
Warner Music CEO Robert Kyncl emphasized the company's "tremendous catalogue" of rights to legendary artists including Madonna, Fleetwood Mac, Prince, Ed Sheeran, Cardi B, and Bruno Mars, stating their stories "haven't been told" at the Bloomberg Screentime conference in Los Angelesbusinesstimes+1.
Music biopics and documentaries have become essential for labels seeking to keep catalogs relevant, with growing demand exemplified by productions like Walt Disney's upcoming Bruce Springsteen film and Taylor Swift's recent theatrical release that grossed over $50 million globally in three daysbusinesstimes+2.
In July, Warner Music announced job cuts and partnered with Bain Capital to invest up to $1.2 billion in iconic music catalogs, while Netflix continues focusing on building content through partnerships rather than acquisitionsmoneycontrol+1.

Warner Music Group is reportedly close to finalizing a deal with Netflix to create a slate of movies and documentaries based on the label's artists and songs, marking a significant strategic pivot for the music giant.

Strategic Shift After Cost-Cutting Measures

The partnership represents a major change in direction for Warner Music, which shuttered its in-house film and TV production division earlier this year as part of a $300 million cost-reduction initiative. The company is now looking to outsource content development, signaling a move toward collaborative partnerships rather than maintaining expensive internal operations.businesstimes+3

Speaking at the Bloomberg Screentime conference in Los Angeles on Wednesday, Warner Music CEO Robert Kyncl declined to comment on specific deal details but emphasized the storytelling potential within the label's catalog. "The stories we have are incredible, and they haven't been told," Kyncl said. "It makes a lot of sense for us to partner with a company that can bring it alive all around the world".moneycontrol+2

Warner Music boasts rights to songs from legendary artists including Madonna, Fleetwood Mac, Prince, Ed Sheeran, Cardi B, and Bruno Mars. The timing appears strategic, coming as music-centric programming experiences surging demand, with productions like Disney's upcoming "Springsteen: Deliver Me from Nowhere" exemplifying the trend.investing+3

Netflix Strengthens Content Strategy

For Netflix, the deal could provide lucrative additions to its content library as the streaming giant seeks new ways to grow its subscriber base. The partnership comes at a time when Netflix is focusing on building rather than buying, with co-CEO Greg Peters dismissing speculation about potential Warner Bros. Discovery acquisition during the same Bloomberg conference.tipranks+2

"We come from a deep heritage of being builders rather than buyers," Peters said, adding skepticism about large media mergers' track record. Instead, Netflix is investing in strategic partnerships and expanding its gaming offerings to TV sets.deadline+1

The music documentary market has shown strong commercial potential, with Taylor Swift's recent "The Official Release Party of a Showgirl" earning over $50 million globally in just three days. AMC Theatres distributed the film, which set records as the largest album debut theatrical event in history.cnbc+3

Sources (38)