DreamWorks, Youku in “Panda” Deal
DreamWorks Animation SKG Inc. reached an agreement letting the Chinese Internet-video company Youku.com Inc. distribute its two “Kung Fu Panda” movies, marking the first time the computer-animation studio’s films will be available online in China.
Youku in June announced a distribution agreement with Time Warner Inc.’s Warner Bros. Home Entertainment Group. Under the terms of that deal, Youku would add 400 to 500 Warner Bros. titles to its on-demand paid video service, including the “Harry Potter” and “Lord of the Rings” series.
Movie studios have long had difficulty establishing a legitimate home-entertainment market in China. The country limits the number of foreign films that can be distributed there each year. Bootleggers produce and disseminate large quantities of pirated material at inexpensive prices.