Bad news Netflix users. It appears that Sony is pulling their films from the popular streaming service, at least for the time being. The problem is apparently due to a contract dispute with the network Starz. Both Netflix and Sony have a contract with Starz -- the latter provides films for Starz Play, which is then streamed through the Netflix service.
Unfortunately, the success of the program has caused Starz to surpass the maximum number of users that the contract allowed far earlier than expected.
Hit the jump to see what the companies will have to do in order to fix the situation.
Analyst Richard Greenfield told the Hollywood Reporter that if Sony and Starz don't simply work out a deal, then Netflix can offer Starz streaming to a subset of users in order to reduce the streaming count. Another way to solve this is for Netflix to come to the table and renegotiate their deal with Starz six months before the contract ends (January 2012).
[via the Hollywood Reporter]