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Netflix signs Rhimes in counterpunch to ABC, Disney

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ASSOCIATED PRESS

Shonda Rhimes attends the “Scandal” 100th Episode Celebration at Fig & Olive in West Hollywood, Calif. on April 8. Netflix announced Aug. 13 that Rhimes and her company Shondaland had agreed to produce new series and context for the streaming service. Rhimes’ current hit shows, “Grey’s Anatomy,” “Scandal” and “How to Get Away With Murder,” will continue to air on ABC.

In a blow to ABC and Disney, prolific television hitmaker Shonda Rhimes has signed an exclusive overall deal with Netflix, the streaming giant announced today.

Rhimes, the creator of “Grey’s Anatomy” and “Scandal” — hits for ABC — will bring Shondaland to Netflix in what the streaming service said was a multiyear deal.

Those series and ones in development will remain on ABC, though Netflix already has the streaming rights for the back library for “Grey’s Anatomy” and “Scandal.”

Netflix’s move is a major counterpunch to Disney’s announcement last week that it was starting its own streaming services, including one that would force the removal of Disney and Pixar movies from Netflix.

Netflix’s chief content officer, Ted Sarandos, said in a statement, “I’ve gotten the chance to know Shonda and she’s a true Netflixer at heart — she loves TV and films, she cares passionately about her work, and she delivers for her audience.”

Rhimes said in her own statement, “Shondaland’s move to Netflix is the result of a shared plan Ted Sarandos and I built based on my vision for myself as a storyteller and for the evolution of my company. Ted provides a clear, fearless space for creators at Netflix. He understood what I was looking for — the opportunity to build a vibrant new storytelling home for writers with the unique creative freedom and instantaneous global reach provided by Netflix’s singular sense of innovation. The future of Shondaland at Netflix has limitless possibilities.”

The deal was reported earlier by The Wall Street Journal.

Rhimes has been with ABC for more than a decade and has long been one of that network’s biggest names. She’s been a reliable generator of hits, including building an entire Thursday night lineup that ABC’s marketing department has dubbed #TGIT.

Though it has been a ratings force, the lineup has showed signs of wear and tear recently. “Grey’s Anatomy,” which will begin season 14 in September, remains a hit with sturdy ratings, but the ratings for “Scandal” have nose-dived, and “The Catch,” co-produced by Rhimes, was canceled in May.

That same month, ABC announced that “Scandal” would end next year after the series’ seventh season, something the network tried to turn into a marketing bonanza at its annual advertiser pitch in the spring.

Rhimes’ development slate at ABC will not suddenly vaporize. In addition to keeping its Thursday lineup for the coming season, ABC still has a midseason show that is expected from Rhimes, “For the People,” and a “Grey’s Anatomy” spinoff that is in preproduction, among some other projects in development.

Nevertheless, losing her is enormous for ABC and its corporate parent, Disney. The network finished in last place among the advertiser-coveted demographic for a second straight season, and though it is doing fine with comedies, it badly needs a hit drama. This fall, ABC is pinning its hopes on revivals including “American Idol” and “Roseanne” to help improve its standing in the ratings.

In a statement, ABC’s entertainment president, Channing Dungey, said, “I’m proud to have given a home to what have become some of the most celebrated and talked about shows on television. With the launch of a new season upon us, fans can rest assured that TGIT remains intact and will be as buzzed about as ever.”

For Netflix, this is more of the same.

It has been on a spending spree, pouring billions into acquiring big-name talent.

In addition to cornering the market on stand-up comics including Jerry Seinfeld, Chris Rock and Dave Chappelle, last week Netflix said it was bringing in the Coen brothers for a limited series and David Letterman for a new TV show.

The latest moves come just as digital rivals like Apple and Facebook have taken steps that suggest they are prepared to become serious players in the scripted and unscripted television game.

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