The company is said to have been in talks with AMC Theaters and Cineplex to allow the film to screen nationwide, but they ultimately failed to reach a deal. Instead, "The Irishman" will premiere in select indie theaters on Nov. 1, before releasing on Netflix's streaming service on Nov. 27.
Representatives from Netflix, AMC and Cineplex were not immediately available for comment.
Netflix has repeatedly clashed with theater chains over its decision to break with theatrical release tradition. Hollywood studios, as well as rival streaming platform Amazon, have adopted a 90-day theatrical release window, which requires them to run the film for that time period before releasing it on video on demand or on a streaming service's site or app.
Netflix proposed a 30-day window before its conversations with theater chains ended, according to The Hollywood Reporter. Additionally, Scorsese and members of Netflix's top brass approached theaters about reaching a deal.
To be considered for an Academy Award, studios are required show their film in theaters for a certain window of time. In the past, theater chains including iPic, Alamo Drafthouse and Landmark have shown Netflix films.
With "The Irishman" in theaters for 3½ weeks, it will follow a path similar to Netflix's Academy Award-winning film "Roma." Last November, "Roma," from director Alfonso Cuaron, rolled out to a limited number of theaters before becoming available on Netflix a few weeks later.