And the hits just keep on comin'. Merely hours after Netflix revealed that its API was open for all and just days after announcing deals with ABC and CBS, the firm is extending its reach once more with a fresh deal with Starz. As we're waiting for the ink to dry, the two have already fessed up to an agreement that will "make movies from Starz -- through its Starz Play broadband subscription movie service -- available to be streamed instantly at Netflix." Best of all, the additional content (over 2,500 new flicks eventually; 1,000 available now) will be included with Netflix members' current monthly subscription fee. For those who'd rather (we're talking all 2.5 of you), Netflix will soon offer a Starz Play-only subscription for $7.99 a month. Full release is after the fold.

NETFLIX AND STARZ ENTERTAINMENT ANNOUNCE AGREEMENT TO MAKE MOVIES FROM STARZ PLAY AVAILABLE FOR INSTANT STREAMING AT NETFLIX

Starz Play, Included in All Unlimited Netflix Subscriptions, Makes Approximately 2,500 Movies, TV Shows and Concerts Available to be Watched Instantly by Netflix Members

LOS GATOS, Calif. and ENGLEWOOD, Colo., Oct. 1, 2008 – Netflix, Inc. (Nasdaq: NFLX), the world's largest online movie rental service, and Starz Entertainment, LLC, a premium movie service provider operating in the U.S., today announced an agreement to make movies from Starz, through its "Starz Play" broadband subscription movie service, available to be streamed instantly at Netflix. Access to the Starz Play service at Netflix will be included with Netflix members' current monthly subscription fee.

The deal adds significantly to a growing library of over 12,000 choices of movies and TV episodes that can be watched instantly at Netflix. Netflix members who have unlimited subscription plans, which start at only $8.99 a month, will have full and unlimited access to approximately 2,500 additional movies and other choices from Starz Play as part of their current monthly subscription. That includes the opportunity to enjoy a live feed of the Starz TV network on their PCs and does not impact the number of DVDs members receive as part of their monthly plans.

The first of the Starz titles – approximately 1,000 – are available now at the Netflix Web site, where they are presented in a distinct area accessible by clicking on the "Watch Instantly" tab on the Netflix member home page. More titles will be added in the coming weeks.

Starz Play, Starz' collection of programming content for online distribution, features a wide variety of first-run hit movies, independent films and well-known movie classics, in addition to extreme sports, concerts, anime, Westerns and more. "Spider-ManTM 3," "Ratatouille," "Pirates of the Caribbean: At World's End," "Superbad," "No Country for Old Men" and "Hannah Montana/Miley Cyrus: Best of Both Worlds Concert" highlight the movie offerings now available to be watched instantly. Starz Play also features new original content from Starz, including episodes of the upcoming dramatic series "Crash," from the producers of the Academy Award®-winning Best Picture "Crash," which remains the most-rented DVD in the history of Netflix.

Beginning today, Netflix and Starz Play will offer a sneak preview of the first full episode of "Crash" in advance of the Starz primetime premiere on October 17 at 10 p.m. Eastern/Pacific. "Crash" will remain a staple in the Starz Play programming mix and new episodes will debut day-and-date with new episode premieres.

"The coupling of Starz Play with our growing library of streaming content is an important step forward for both companies and for consumer choice," said Ted Sarandos, chief content officer for Netflix. "Our deal reflects the creative ways we are working with content partners to expand the profile and the number of choices our subscribers can watch instantly over the Internet, in addition to the 100,000 titles we offer on DVD through the mail."

Netflix also said that as part of the deal it will offer a Starz Play-only subscription for $7.99 a month.

Starz Entertainment's president and chief operating officer, Bill Myers, noted that this agreement marks a significant step forward in Starz' efforts to provide consumers with choice and convenience so that they can watch Starz programming wherever and whenever they want. "Netflix has grown to be an innovative leader in the home video space and we are delighted to offer their customers our unique and robust collection of movies on a subscription basis. This agreement is a strong vehicle to promote the Starz brand and showcase Starz' leadership position in the premium movie category."