Disney Vs. Netflix: Content Is King As Big Media Seeks To Capture Cord-Cutting Consumers

Content is king, streaming rules, and heavyweight media companies acted furiously over a remarkable two days to snap up talent and tech, torching alliances and furiously competing for cord-cutting, new-media consumers.

In the past 48 hours:

• Netflix, Inc. NFLX lured David Letterman out of retirement for six, hour-long shows where he has carte blanche to explore the nation’s psyche and interview, on his wish list, Pope Francis.
• Netflix also inked a deal acquire content-rich Millarworld, the publishing company of Mark Millar, whose fingerprints are on billions of dollars of movies.
• Walt Disney Co DIS slashed content ties with Netflix, announcing its own Netflix-style streaming network filled with Disney content. Four Disney/Marvel television shows - "Daredevil," "Luke Cage," "Jessica Jones," "The Punisher" and "Iron Fist" - are among the most popular on Netflix.

Are they moving to the House of Mouse when the Netflix/Disney divorce goes down in 2019?

See Also: Disney To Launch ESPN Streaming Service, Leave Netflix By 2019

The change is tectonic and in line with the cord-cutting consumers who are taking control of Internet-delivered content that's hurting cable and the alphabet of broadcast networks.

“It has indeed been an amazing couple of days,” said Paul Dergarabedian, senior media analyst for comScore, Inc. “This media-based arms race is really heating up as content creators are now developing (or acquiring) their own streaming delivery systems...and this is not surprising given that entities like Netflix, Amazon.com, Inc. AMZN and Hulu have morphed over the years from being mere content delivery systems into major players in the content creation business.”

In Cyberspace, Everyone Can Hear You Stream

Disney said it was buying a $1.58 billion stake and majority ownership of BAMTech, LLC and will launch its ESPN-branded, multi-sport video streaming service in early 2018, followed by a new Disney-branded, direct-to-consumer streaming service in 2019.

Some of the first releases for Disney's service will include "Toy Story 4," the "Frozen" sequel and "The Lion King." The company will also "make a significant investment in an annual slate of original movies, TV shows, short-form content and other Disney-branded exclusives for the service."

Netflix Tries To Turn That Frown Upside Down

A Netflix spokesperson told Benzinga, "We continue to do business with the Walt Disney Company globally on many fronts, including our ongoing relationship with Marvel TV."

“Clearly there is a gold rush happening in the world of streaming content and everyone is battling for their piece of a very lucrative pie that not only increases the size of their overall eco-system, but also ramps up branding opportunities and ways to create synergies for companies like Disney across all of their business verticals.” Dergarabedian told Benzinga.