This is mostly correct. For cable/satellite/OTT, most of the package (Viacom, Time Warner, NBCUniversal, etc) content providers bundle content and get a large

This is mostly correct. For cable/satellite/OTT, most of the package (Viacom, Time Warner, NBCUniversal, etc) content providers bundle content and get a large lump sum up-front per annum from each distributor. However, premium a la carte content providers (HBO, Showtime, etc) receive a small lump sum plus a a bulk of the per subscription fee. For Netflix, Hulu, and Amazon Prime - content is bundled and paid for up-front per annum on a multi-year contract. For example, Paramount/MGM/Lionsgate/EPIX distributed solely through Netflix thru 2014 and then switched sole distribution to Amazon Prime. Hollywood traditionally likes cash up front because production and marketing costs are "bursty" rather than evenly distributed. And this is because the success to failure rate (risk) of entertainment products is too abysmal to easily obtain reasonable financing rates from lenders or reasonable terms from investors.