The Los Gatos, Calif., company has explored the idea of buying movie theaters in Los Angeles and New York that would enable it to screen a growing pipeline of feature films and documentaries.
Netflix executives considered acquiring Los Angeles-based Landmark Theatres, co-owned by Mark Cuban, but backed off the idea, said two people who spoke on condition of anonymity because the plans are private.
One of the knowledgeable people said Netflix decided not to pursue a deal because executives believed the sale price for Landmark was too high.
A deal to purchase Landmark, owned by Cuban and Todd Wagner, would give Netflix a footprint of theaters in major media markets across the country. The privately held chain has 53 theatres comprising 255 screens in 27 markets including New York, Denver, Washington and San Francisco, according to its website. The exhibitor has three Los Angeles locations.
Netflix pulled in $2.67 billion in revenue last year, including a $66 million profit. Maybe one day it will have its own theater.