What is an Acquisition Deal?

A film and TV acquisition deal is a transaction where a content buyer—such as a streamer, broadcaster, or distributor—purchases the rights to a film or TV series. This can be done through licensing agreements or outright ownership transfers.

Acquisition deals help content platforms fill their libraries with engaging movies, series, and specials, ensuring a steady flow of fresh and relevant content for their audiences.

Types of Film & TV Acquisition Deals

There are several types of film and TV acquisition deals, each designed to suit different business models and content strategies.

1. Content Licensing

• Involves renting content for a fixed period.
• Can be exclusive (only one platform can stream it) or non-exclusive (multiple platforms can license the same content).
• Examples: Netflix licensing “Friends” for a limited period, HBO Max licensing movies from Warner Bros.

2. Outright Purchase (All Rights Sale)

• The buyer acquires full ownership of the content.
• The seller relinquishes all rights, including distribution, monetization, and future licensing.
• Often used for library acquisitions or studio takeovers.

3. Revenue Share Agreements

• The buyer and seller split the revenue based on performance.
• Common in AVOD (advertising-based video on demand) and FAST (Free Ad-Supported TV) models.

4. Co-Production Deals

• Two or more companies jointly finance and produce content.
• Often used by international studios and networks to share costs and risks.

5. Output Deals

• Long-term agreements where a buyer agrees to acquire all content from a particular producer or studio over a certain period.
• Example: Netflix’s output deal with Sony Pictures for first-look rights on new films.

How a Film & TV Acquisition Deal Works

A film or TV acquisition deal typically follows these key steps:

1. Content Identification – Buyers identify content that fits their strategy.
2. Evaluation & Negotiation – Pricing, licensing period, territories, and exclusivity terms are discussed.
3. Contract Agreement – A legal contract is signed between the buyer and seller.
4. Delivery & Rights Management – The content is delivered, localized (if needed), and prepared for release.
5. Monetization & Performance Tracking – The buyer tracks performance metrics and renews or modifies agreements based on viewership.

Key Players in Acquisition Deals

1. Content Buyers

• Streamers: Netflix, Amazon Prime, Disney+
• Broadcasters: NBC, BBC, HBO, Globo
• Distributors: Lionsgate, Paramount, Sony Pictures

2. Content Sellers

• Independent production houses
• Major studios (Disney, Universal, Warner Bros.)
• International sales agents

3. Legal & Licensing Experts

• Entertainment lawyers
• Rights management agencies

Factors Affecting Film & TV Acquisition Deals

1. Content Exclusivity

Exclusive deals drive higher pricing but also limit reach.

2. Distribution Rights

Buyers need to determine if they’re purchasing regional, global, or digital-only rights.

3. Market Demand & Trends

• Genres like thrillers, sci-fi, and K-dramas are in high demand.
• Local-language content is surging in emerging markets.

Challenges in Film & TV Acquisition Deals

• Pricing complexities – Costs vary based on demand, popularity, and licensing model.
• Competition – Multiple buyers may be vying for the same content.
• Regulatory issues – Different countries have different media laws and content quotas.