Streaming giant Netflix is in advanced talks with Deutsche Telekom over a possible collaboration ahead of Netflix’s launch in Germany this autumn, according to a report in German news magazine Manager.

The report cites unnamed sources saying Deutsche Telekom was open to cooperating with Netflix as it begins its German roll out even though the VoD service would be a direct competitor with Telekom’s similar on-demand service, Entertain. Both companies have thus far declined to comment.

The talks are a positive indication for Netflix as it moves into Europe’s biggest TV and broadband market. Deutsche Telekom is Germany’s leading ISP. A tie-in with Deutsche Telekom would give Netflix instant access to tens of millions of potential German subscribers. Telekom has around 12 million broadband customers in the country and 2 million IPTV subscribers.

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