Understanding Exclusive Rights and Non-Exclusive Licenses in Streaming: The Case of Community on Multiple Platforms

Exclusive rights and non-exclusive licenses are both important considerations in the world of content distribution. How can a TV series, like Community, be simultaneously streaming on Channel 4, Amazon Prime, and Netflix? This article will explore the nuances of these licensing agreements and how they can result in a TV series appearing on more than one platform. We will also discuss exclusivity and how distributors decide whether to pay for exclusive rights or opt for a non-exclusive license.

The Basics of Exclusive and Non-Exclusive Licenses

Some licenses are exclusive, while others are non-exclusive. Whether a license is exclusive or non-exclusive is often a decision made by the content licensor based on their business goals and market assessment. For example, the licensor might believe they will earn more revenue through an exclusive license or through multiple non-exclusive licenses that cater to a broader audience.

The Case of Community TV Series (2009–2015)

The TV series Community, which aired from 2009 to 2015, provides an interesting example of how content can be distributed across multiple platforms. It is quite common for less popular shows to be available on multiple platforms in the UK. This is because these shows might not command the same level of interest, making them less of a financial risk for distributors to license.

Consider the case of Republic of Doyle, which aired from 2010 to 2014. All six seasons of this series are available on Netflix and Amazon Prime, while only two of them are available on Now TV and Sky Go. This example highlights how different distributors can have varying rights for the same content, with some platforms having more seasons available than others.

Why Distributors Offer Non-Exclusive Licenses

Distributors often opt for non-exclusive licenses because they do not necessarily need exclusivity. If a distributor can sell the same content multiple times, they can spread the cost and gain from multiple streams. Contractual exclusivity often comes with a higher price tag, which can be prohibitive for some distributors.

The Value of Content and Exclusivity

Service providers (like Netflix, Amazon Prime, and Channel 4) will often demand exclusivity for content they value highly. However, if a service does not place a high value on the content and is not willing to pay for exclusivity, they will opt for a non-exclusive license. This is where the business model and financial considerations come into play. Distributors need to determine the potential revenue and the cost of exclusivity.

Netflix and HBO: Sharing Programs

It is also worth noting that streaming services like Netflix can share programs with other services. For example, Netflix occasionally shares programs with HBO or another streaming provider. This is usually because these programs were created by a third-party producer and agreed to be distributed across multiple streaming platforms.

Conclusion

The distribution of TV series and other content across multiple streaming platforms is a complex and multifaceted process. Whether a license is exclusive or non-exclusive depends on the business decisions made by the content producers and distributors. The value of the content, the payment for exclusivity, and the financial considerations all play a role in these decisions. Understanding these nuances is crucial for both content producers and distributors in the rapidly evolving world of streaming.

By recognizing the benefits and limitations of exclusive and non-exclusive licenses, content providers and distributors can make informed decisions that maximize their revenue and significantly enhance the availability of popular content to viewers.