Crouching Tiger, Hidden Dragon: The Green Legend will be the first movie produced by Netflix and The Weinstein Company and will available for streaming on Netflix.
The Green Legend will debut globally in select IMAX theaters and also online at the same time on Aug. 28, 2015. Interestingly, the film will not be making rounds on mainstream cinemas.
The unconventional distribution is an attempt to challenge the current way movies are marketed, which is through a system called "windowing." Typically, movies are shown exclusively in theaters before they are released for home viewing.
With an audience wanting more options to view movies, however, Netflix has been a forerunner in innovating the way films are delivered, a change which theaters have been hesitant to adopt.
The major movie chains in the U.S. refuse to break the system, which gives many of them exclusivity to play movies without competition from home video rentals or online sales.
But Netflix wants to show that audiences are hungry for more options in experiencing films. Netflix previously dove into the world of television, with original series such as Orange is the New Black and House of Cards. With the new Crouching Tiger movie, Netflix hopes to also reinvent the way people receive movies.
The Weinstein Company is in partnership with Netflix and supports the need for change.
"The moviegoing experience is evolving quickly and profoundly, and Netflix is unquestionably at the forefront of that movement," said Harvey Weinstein, co-chairman of the film company.
IMAX is also optimistic about the new delivery system and proud to be part of this ground-breaking release.
"We are excited to offer consumers the option of deciding how, when and where they want to view the film, and exhibitors the opportunity to participate in this alternative form of content in a new and innovative way," said CEO of IMAX Entertainment Greg Foster.
Returning to reprise her role in the sequel is Michelle Yeoh. An addition to the cast will be Donnie Yen, who is known for his work in Ip Man.
Academy award-winning director Ang Lee will not be directing the sequel. Taking the helm will be the fight choreographer from the original film Yuen Wo Ping.
The film will take place 20 years after the events of the original and will follow four heroes who have sworn to protect the Green Destiny sword.