ImagineAR Inc (IPNFF)

[Sam Dan]

Rational of connecting to Netflix
Netflix is proving another way for makers of movies to monetize and cover their costs of production with a profit guarantee.Theater distribution can also be used to add to profit.

Facing an uncertain box-office climate, executives at major studios are more frequently asking: "Should we try our luck in theaters or sell this thing to Netflix?”
To outsiders, these moves by Netflix and its film division chief, Scott Stuber — who has yet to release a zeitgeisty movie a la the streamer's series hits — may seem head-scratching, but they're all in service of targeting niche audiences for subscriptions. "They know exactly what they're doing and who they're buying for," says a high-ranking rival exec. "They are not interested in theatrical or they would have bought a theater chain by now."