Streaming video service Netflix and DreamWorks Animation have reached a massive agreement on original content and the latter company has taken even greater measures to become a big television player, according to Deadline.
DreamWorks CEO Jefrey Katzenberg told analysts on Tuesday that the company would create 1,200 television episodes in the next five years.
"[This] will give us a significant footprint across the global TV landscape," Katzenberg said.
DreamWorks Animation is "now on a path to become one of the biggest producers and distributors" of television, according to Katzenberg. The company announced Monday that it would make 300 hours of original programming for Netflix.
The company will also make up to 1,100 half-hours of Germany's Super RTL, a show that Katzenberg called "transformative."
"It's a big opportunity and a big undertaking," Katzenberg said.
The CEO expects the company to pull in $100 million in revenue from television in 2013 and approximately half of that would come from the Classic Media catalog that DreamWorks bought last year.
DreamWorks expects to see $200 million in revenue each year starting in 2015 with gross profits of approximately 30 percent, which would align with the amount generated from it films.
According to Deadline, "Revenue from the Netflix and Super RTL deals won't vary depending on the performance of different titles. The numbers don't include benefits from sales of licensed merchandise, the library value of shows, or progress from its recently acquired online video service AwesomenessTV."
DreamWorks is also not yet ready to start a dedicated television business line but would reportedly consider it. Deadline also reports that shares in the company were up 1.8 percent in after market trading.© 2017 Mstars News, All rights reserved. Do not reproduce without permission.