Netflix strikes licensing deal with China's leading streaming platform

According to a report published in Variety, global streaming giant Netflix has signed its first licensing deal with iQIYI, China's leading streaming platform that continuously invests in copyright purchase.

The deal comes just over a year after Netflix took its services global in 130 countries. China, Iran and North Korea are among the missing territories of the company's global strategy.

Netflix is known for success with its self-produced drama series including "House of Cards" and "Stranger Things."

The cooperation with iQIYI means it's likely that such original content will be available in China, with new releases becoming available possibly even on a same-day basis.

Industry insiders assume iQIYI users will likely have to pay a fee to view the Netflix content.

But details such as when the content will make its Chinese debut and how to air the content simultaneously are not yet clear.

iQIYI said its discussions about content-cooperation is ongoing. A Netflix Spokesmen said the deal was too new to provide many details.

iQIYI is the largest online video platform in China. It was launched in 2010 by Baidu, the most frequently used search engine in the country.

iQIYI claims over 500 million users monthly. It is promoting the conversion of its users to Netflix-like subscription models.

Netflix failed to enter China as a service operator previously, but later found that licensing would be the right route.