paidContent reports that Netflix's CCO Ted Sarandos explained the tensions between Time Warner's Bewkes and Netflix at a recent conference:
Netflix will attempt to outbid HBO for streaming rights to the movies the pay-TV giant gets from its current output deal with Warner Bros. the streaming service’s chief content officer, Ted Sarandos. “We will be an aggressive bidder for that programming,” he said in a Q&A on Tuesday at the National Association of Television Programming Executives conference in Miami.
Sarandos disclosed his bidding strategy in answer to a question about Netflix’s increasingly acrimonious rivalry with HBO and the CEO of its parent company, Jeff Bewkes of Time Warner. Addressing the public war of words between the two companies, Sarandos lavished praise on Bewkes’ business acumen but explained that the true motivation behind the tension was Netflix’s intent to bid up the cost of content that would otherwise have a smoother path from Warner Bros., which Time Warner also owns, to HBO.
Sarandos, when asked if Netflix will carry HBO original programming: “They’re a great seller and with us being a great buyer, ultimately we’ll get to a place where we can do business on their content,” he said.