Netflix Offered $500 Million for Xbox Film and TV Rights, but Microsoft’s Price Tag Got in the Way

Netflix has been expanding its portfolio of video game adaptations, and it seems Xbox franchises were also on its radar. However, a reported licensing deal between the companies fell through over the asking price. According to Puck News’ Matthew Belloni, Netflix offered Microsoft $500 million for the exclusive film and TV rights to Xbox franchises for seven years. But Xbox reportedly countered with an $800 million asking price.

Xbox’s $800 Million Asking Price Reportedly Scuppered Netflix Deal

According to Belloni’s report, the offer of $500 million came from Bela Bajaria, Netflix’s former chief content officer, and would have given the platform exclusive rights to adapt various franchises in Xbox’s portfolio into film and TV shows.

However, Xbox CEO Asha Sharma and her business affairs team reportedly countered with an $800 million asking price. The report also noted that Netflix CFO Spence Neumann was one of the executives who considered Microsoft’s counteroffer too expensive.

With the recent departure of Bajaria from Netflix, the negotiation has reportedly fallen apart, and the streaming platform has withdrawn its offer. Xbox is now reportedly looking to make smaller licensing deals with multiple partners instead of committing its franchises to one exclusive arrangement. This comes with the establishment of a new Xbox XP division over at Microsoft.

The new division is focused on expanding its gaming franchises into film, television, merchandise, and other entertainment ventures. However, despite the reported deal falling through over the price, Xbox and Netflix are still working together on several previously announced adaptations. These include an animated Minecraft series and an animated series based on Blizzard’s Diablo franchise.

Netflix is also developing a live-action Gears of War film and an animated series based on the franchise. However, the recent report does not clarify whether these projects were also part of the proposed seven-year licensing agreement or not. So, their status should be considered separately from the failed negotiations.

In a statement to Puck, Xbox said it had received “record-breaking interest” in its intellectual property and described Netflix as a valued partner. The company also highlighted its upcoming Minecraft and Diablo animated series, alongside other adaptations in development.

For now, one thing is clear: the reported collapse of the agreement does not affect the current relationship between Xbox and Netflix. Instead, it seems Microsoft is looking to bring its franchises to the screen through multiple partners.

Which Xbox franchise would you like to see get adapted next? Let us know in the comments.