Netflix’s Ted Sarandos Frames Duffer Brothers and Shawn Levy Exits as Creative Pivot to Theatricals

Key points

• Ted Sarandos said the Duffer Brothers wanted to focus on big tentpole theatrical movies, noting they are 40 years old and should not wait until 60 to pursue that career path.
• Matt and Ross Duffer signed a four-year exclusive film and TV deal with Paramount in August 2026, officially switching studios in April 2026.
• Shawn Levy signed a multi-year overall deal with Disney’s 20th Television in September 2026, beginning next October, to develop series across Disney’s portfolio.
• Levy is currently directing Star Wars: Starfighter for Lucasfilm and is set to direct Marvel’s Ghost Rider, starring Ryan Gosling.
• Netflix retains ownership of the Stranger Things universe, with the animated spinoff Stranger Things: Tales From ’85 returning for a second season and at least one other offshoot series awaiting a green light.
• Levy’s 21 Laps Entertainment will continue developing projects for Netflix, including an upcoming hockey drama titled The Sticks.

Background

The departures follow a period of significant talent movement in the streaming industry. In August 2026, the Duffer Brothers announced their move to Paramount, and in September 2026, Shawn Levy announced his move to Disney. These exits occurred alongside other high-profile talent shifts, such as Quinta Brunson moving from Warner Bros. TV to 20th Television. Netflix has continued to expand its slate with new partnerships, including a multi-title deal with Sega for adaptations of Crazy Taxi, Sonic, and Stranger Than Heaven, and a co-production deal with AMC for the spy thriller Bannerman.

How outlets are covering it

The Hollywood Reporter emphasizes Sarandos’s framing of the departures as a natural career progression for the creatives, highlighting his supportive tone and the continued collaboration on the Stranger Things universe. Deadline focuses on the business mechanics of Levy’s move to Disney, noting the multi-year overall deal and the broader trend of 20th Television attracting top talent from rival studios. Gizmodo frames the move as a validation of Levy’s work on Star Wars: Starfighter, suggesting Disney’s confidence in the film led to the new TV deal. Star Wars News Net adds that negotiations for Levy’s deal began after Disney executives saw an early cut of Starfighter, interpreting the move as a vote of confidence in the film and the filmmaker.

Why it matters

The departures of the creators behind Netflix’s biggest hit series signal a shift in the streaming landscape, where top talent is increasingly prioritizing theatrical film opportunities over exclusive streaming deals. The retention of the Stranger Things franchise by Netflix, along with ongoing collaborations with Levy, suggests that the streamer can maintain its brand value even as its key creative partners move to rival studios. This trend may influence future negotiations and the structure of overall deals in the industry.

What to watch

Netflix will continue to develop the Stranger Things universe, including the second season of Stranger Things: Tales From ’85 and potential new offshoot series. Shawn Levy will begin his new deal with Disney’s 20th Television next October, while continuing to direct Star Wars: Starfighter and Marvel’s Ghost Rider. The Duffer Brothers will focus on their new film and TV projects under their Paramount deal. Netflix will also move forward with its new partnerships, including the Sega adaptations and the AMC co-production Bannerman.