Netflix and Comcast agree streaming deal

VOD provider Netflix has agreed to team up with broadband provider Comcast, with Comcast providing a direct connection from the cable and internet service provider’s network, a so-called “interconnect agreement”, to Netflix.

The joint announcement made states that both companies have entered into a “mutually beneficial interconnection agreement that will provide Comcast’s U.S. broadband customers with a high-quality Netflix video experience for years to come.”

“Working collaboratively over many months, the companies have established a more direct connection between Netflix and Comcast, similar to other networks, that’s already delivering an even better user experience to consumers, while also allowing for future growth in Netflix traffic”, said Comcast.

“Netflix receives no preferential network treatment under the multi-year agreement,” said Netflix in their official press release.

The terms of the deal, including the question whether or not Netflix is paying Comcast, were not disclosed by either of the companies.

The announcement comes as US federal regulators are examining the issue of “Net neutrality”, which concerns broadband providers and the issue of whether or not they can decrease bandwidth for particular websites and thus potentially forcing content and VOD providers to pay for faster web services in the US.

Netflix has struck similar deals to the one with Comcast with Cablevision and Cox in the past.

The arrangement between Netflix and Comcast comes on the heels of Comcast’s announcement that they are to buy Time Warner Cable for $45bn (£27bn) earlier this year.

DTG Staff  |  24.02.2014

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