TV battle continues with Shondaland-Netflix deal

SHONDA Rhimes, the creator behind smash television hits, such as Grey’s Anatomy and Scandal, will soon develop new shows for streaming giant Netflix, and the platform’s 100 million worldwide subscribers, the company announced on Sunday. Rhimes and her production company, Shondaland, were hired away from ABC under a multiyear deal, marking the latest aggressive play by streaming services to go head-to-head with Hollywood and the traditional powers of the entertainment industry.

The signing of the award-winning writer and producer was a massive win for Netflix, analysts say, and highlights the mounting competition among studios for top talent. Streaming players such as Netflix and Amazon are investing billions to challenge the cable television model, vying to offer consumers entire libraries of original content tailored to specific audiences.

Just days ago the battle for programming intensified. Last week Netflix said it was buying the comic book company Millarworld, the publisher behind Kingsman and Kick-Ass, in a deal that gives Netflix the tools to make its own interconnected universe of superheroes films and TV shows – and a chance to emulate Disney and Marvel’s successful run. That same week Netflix announced a six-episode series starring former late-night host David Letterman. And Amazon, for its part, said on Friday that it had inked a deal with Robert Kirkman, the creator of AMC’s TheWalking Dead, who will cre- ate shows for its streaming service. Neither Netflix nor Amazon disclosed how much the deals were worth.

(Amazon Chief Executive Jeffrey P Bezos also owns the Washington Post.)

Talented producers are now commanding much more power in the rush by entertainment companies to acquire the most compelling shows, said Ross Gerber, chief executive of Gerber Kawasaki, an investment management firm based in Santa Monica. As Netflix aims to develop more of its own programming, the company is flexing its spending muscle to court exceptional producers. In the case of Rhimes for example, she said in a statement Sunday that Netflix understood what she was looking for – “the opportunity to build a vibrant new storytelling home for writers with the unique creative freedom and instantaneous global reach provided by Netflix’s singular sense of innovation.” Netflix offers its streaming service to more than 103 million people across 190 countries.