One day after Disney has launched their new streaming service, Netflix had responded by signing a deal with Nickelodeon to produce new movies and television shows based on the old and new characters from the network.
The New York Times reports the deal is worth more than $200 million and will include a music-based spin-off of “Spongebob Squarepants” centered around popular character Squidward.
Netflix will also air specials based on “The Loud House” and “Rise of the Teenage Mutant Ninja Turtles.”
This isn’t the first time Netflix and Nickelodeon have worked together. Popular hits like “Spongebob Squarepants” and “Dora the Explorer” were also on Netflix until 2013 when Amazon Prime acquired the right to stream those shows.
The LA Times reports the network has no plans to sell reruns of their current popular series to Netflix.
It is unknown if Nick will license their most valuable cartoons to another streaming service, keep them in-house on a service owned by their parent company Viacom or keep them away from the internet.
Viacom is set to close their merger with CBS by the end of the year which opens the door for streaming service CBS All Access to potentially become the home for popular shows like “Spongebob Squarepants,” “Blue’s Clues” and “The Casagrande’s.”
In late 2018, Nickelodeon teamed up with AT&T to launch a streaming service filled with Nickelodeon shows from the 90’s such as “CatDog” and “Doug.” It is unclear if those shows will continue to stream on this service or go elsewhere as AT&T also moves to launch their own platform known as HBO Max next spring.
This deal is clearly a tag-team effort to combat Disney Plus which had already crossed 10 million subscribers since its launch on Tuesday.
Since Disney are pulling their large library of content from other streaming platforms, Netflix and other streaming services need to compensate for the loss and start production now on both new and the old shows. I
n this regard, the deal between Netflix and Nickelodeon makes sense, and we would expect other streaming services to breathe life back into some classic old shows.
Netflix’s big announcement comes after Disney revealed 10 million people have already signed up for Disney+.