Netflix Reaches Deal with Comcast to Smooth Streaming


PHILADELPHIA/LOS GATOS: Netflix has agreed to pay Comcast to ensure that its movies and TV shows stream smoothly to customers of the cable provider.

The agreement, which the parties say is "mutually beneficial," will provide Comcast's U.S. broadband customers with a high-quality Netflix video experience for years to come. The two have established a more direct connection, allowing for future growth in Netflix traffic.

The companies have said that Netflix will receive "no preferential network treatment" under the multiyear pact.

Under the so-called paid peering deal, Netflix will be allowed to connect directly to Comcast's network instead of going through intermediaries. This brings to an end a dispute between the two about the cost of delivering Netflix streams to its customers over Comcast's broadband network.