Netflix, Inc. (NASDAQ:NFLX) has just announced that it’s made a pivotal deal with The Walt Disney Company (NYSE:DIS). Shares of Netflix are up 9 percent (at the time of this writing) and still climbing since the release of the news. Shares of The Walt Disney Company (NYSE:DIS) were mostly unchanged by the news.

Netflix and Walt Disney

Under the deal, Netflix, Inc. (NASDAQ:NFLX) becomes the exclusive subscription TV service provider in the U.S. for first-run animated and live-action feature films produced by The Walt Disney Studios. The deal will begin with films released in theaters in 2016, and it will include all films released by Disney, Walt Disney Animation Studios, Marvel Studios, Disneynature, and Pixar Animation Studios.

The agreement also covers Disney’s new release direct-to-video movies, which will become available on Netflix, Inc. (NASDAQ:NFLX) starting next year. In addition, Netflix also receives a multi-year catalog deal, which includes access to a number of classic films from The Walt Disney Company (NYSE:DIS), including “Alice in Wonderland” and “Dumbo.” The deal’s financial terms have not been disclosed.

Those who have a subscription to Netflix’s service will be able to watch these movies instantly in the pay TV window using a variety of platforms, including mobile phones, computers, tablets, and television sets. Netflix’ Chief Content Officer called this deal “a bold leap forward for Internet television.”

Within the past year, the library of films Netflix, Inc. (NASDAQ:NFLX) offers has changed a bit because it did not renew its agreement with Starz. Netflix has also recently made an agreement with DreamWorks Animation as it shifts its focus toward more family-friendly titles.