Netflix offered Microsoft $500 million for the rights to adapt Xbox games, but the companies couldn't reach an agreement
Netflix attempted to acquire exclusive rights for film and TV adaptations of Xbox game franchises. According to Puck, the streaming service offered Microsoft $500 million for a seven-year license, but Microsoft requested $800 million. As a result, the negotiations did not culminate in a deal.
As reported by Puck, citing three sources, the offer to purchase the rights came from Netflix's content director, Bela Bajaria. The counter sum of $800 million was put forward by Xbox CEO Asha Sharma and the team responsible for deals.
However, on October 15, Netflix announced Bajaria's departure. According to Puck, after the change in leadership, the streaming service withdrew its offer. Among those who considered the potential deal too expensive was Netflix CFO Spencer Neumann.
It is worth noting that back in August, it became known that Microsoft was seeking a buyer for a package of rights to adapt over a dozen game franchises. These included Halo, World of Warcraft, The Elder Scrolls, and Diablo. At that time, it was reported that the corporation was expecting to secure more than $300 million for a long-term agreement.
Ultimately, according to Puck, Xbox abandoned the idea of making one large deal and intends to license its franchises in smaller packages to a greater number of partners.
Netflix declined to comment on the negotiation details. Xbox stated that they are observing record interest in their intellectual properties, and referred to Netflix as a valuable partner. The companies are already collaborating on animated series for Minecraft and Diablo.