Fresh off a major studio deal with Sony Pictures Television, Mubi has signed off on its first distribution deal.
The U.K.-based, niche-SVOD service will partner with indie distributor New Wave Films on the distribution of the 2015 film, Arabian Nights. The movie will be distributed theatrically as well as on VOD.
Under the terms of the deal, the three-part film, directed by Miguel Gomes, will be streamed exclusively on Mubi to British and Irish subscribers following its theatrical release. The film debuted as part of the Cannes Directors’ Fortnight in May. It’s wide release to theatres is expected later this summer, after it finishes making the festival circuit.
Efe Cakarel, founder and CEO of Mubi, said in a statement the timing was right for the company to make its foray into releasing a film across platforms.
Global cinema has been the core of the company’s platform since it launched in 2008. Since then it has established key markets in the U.K., U.S., Germany, France, Turkey and Mexico.
With titles such as Taxi Driver and Dr. Strangelove, the service specializes in festival selections, cult hits, indie films and classic films. Subscribers can access a new film every day and have 30 days to watch it.
A recent study by subscription billing service Vindicia and analytics and advertising provider Ooyala on OTT revenues showed niche VOD and OTT services are on the rise. This could potentially prove to be a shake-up for streaming giants such as Netflix, which could see its share of the OTT market drop from 85% to about 50% by 2018, according to the report.