Report: Netflix Seeking MSO Deals

Netflix, once viewed as a mortal enemy to cable TV, is in talks with several large U.S. operators about distributing Netflix's $8 monthly on-demand streaming service, Reuters reported.

The company has held exploratory discussions with the unidentified MSOs, and at least one operator may launch a Netflix trial later this year, according to Reuters, which cited anonymous sources.

One stumbling block is that Netflix would have to renegotiate licensing deals with Hollywood studios and programmers, because "most existing contracts" bar Netflix from offering content through pay-TV providers, Reuters reported.

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