Netflix will continue its international expansion, rolling out service in Spain in January 2012.

The news that the company is eyeing a European market notorious for piracy comes via Screen Daily, which cites Pedro Perez, president of the local producers association FAPAE.

A spokesman for Netflix declined to comment.

Netflix has been beefing up its global presence in recent months -- launching a streaming-only service in Canada last year, and setting up programs in Latin America, the Caribbean, and the United Kingdom.

Spain poses some thorny questions, however. As Screen Daily notes, the country is on the International Intellectual Property Alliance's Watchlist of piracy offenders.

It is responsible for 400 million illegal downloads per year, meaning that studios might not be too eager to sign distribution pacts with Netflix's Spanish arm.