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Netflix Spent $12 Billion on Content in 2018. Analysts Expect That to Grow to $15 Billion This Year

Netflix Spent $12 Billion on Content in 2018. Analysts Expect That to Grow to $15 Billion This Year

Read more on Variety

Contributions

  • It feels like Netflix is always staring into the abyss. If they didn’t have a track record of strategic shrewdness, I’d be worried for their long term viability. Taking on debt to buy content and subscribers has to secure a larger market share down the road. However, the landscape has gotten more competitive

    It feels like Netflix is always staring into the abyss. If they didn’t have a track record of strategic shrewdness, I’d be worried for their long term viability. Taking on debt to buy content and subscribers has to secure a larger market share down the road. However, the landscape has gotten more competitive and viewers are already getting subscription fatigue.

  • From a debt perspective, depending on governments decisions locking in lower interest rates now for debt might be the right decision. In the future, the difference of even 1/4% increase could mean in an amount owed of an additional 10 million dollars (per billion/ 5 years) or more for each additional

    From a debt perspective, depending on governments decisions locking in lower interest rates now for debt might be the right decision. In the future, the difference of even 1/4% increase could mean in an amount owed of an additional 10 million dollars (per billion/ 5 years) or more for each additional 1/4% this amount increases exponentially. Given the government stalling on interest rate hikes it can be expected for the cost of debt to increase in the not so distant future. Throw in that their current competition isn’t ready to compete yet and its clear now is the time to maximize on client loyalty and establishing a price that can be maintained sustainably for their business so clients don’t switch over to the competition. By keeping the content new, the potential for clients leaving is reduced and potential for competitors getting a foothold is reduced even more. Netflix wants to be the tv not the channel .

  • Here’s the question. Can Netflix spend so much money that they build a permanent movie jukebox that’s so big and so good that no other shop would dare try to follow them?

    Today it’s only $12 per month. Add some sports and news and it’s a total cord cut package and they can go after the other $100 people

    Here’s the question. Can Netflix spend so much money that they build a permanent movie jukebox that’s so big and so good that no other shop would dare try to follow them?

    Today it’s only $12 per month. Add some sports and news and it’s a total cord cut package and they can go after the other $100 people spend a month on tv entertainment.

    On the other hand, they have real weakness. There’s no real consumer lock in and folks might be shocked when Netflix’s investors stop subsidizing their subscriptions and they have to pay full price.

  • When Netflix wins those that love art and entertainment win. I can’t believe how much quality TV exists! We are in the golden age.

  • And you thought your marketing and content creation budget is to much. What are you doing to keep up with these streaming giants? #BLUsuccess @blutelevision

  • Netflix is prepping for the future when its only content is the content it creates itself, which is coming fast.

  • Netflix have been spending a lot of costs every year.

    To create movie needs a lot of costs.

    Can the other rival companies spend costs as same as?