It seems that Netflix is starting to see the future is not distribution by mail but digital downloads of major movies. In a move to acquire  streaming rights from Paramount Pictures, Lions Gate and MGM Studios Netflix will pay close to a Billion Dollars over the next 5 years.

This is great news for the studios as Epix which is known for movies like IronMan are now facing bankruptcy.

On the other hand Ted Sarandos, the chief content officer for Netflix says he is taking money from his Mail Delivery system to accomplish the deal.

This could mean if you like to get your movies in the mail because you don’t have a direct connection to your TV or for other reasons your basic $9 a month or even higher plan will see more shortages and longer delays in processing. It seems more then reasonable to believe this when they are cutting so much from their distribution network and mail delivery system.

So, are they attempting to ready themselves for the future or will this be a drastic mistake to pay so much for only a small amount of content.

We will see.