Netflix Is on the Verge of Reaching the 100 Million Subscribers Mark

cageymaru

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Netflix is estimated to have 98.7 million subscribers globally in 190 countries as of March 2017. At the rate that they are adding subscribers, 5 million in the first 3 months of the year, they should easily eclipse 100 million by the end of April. Also international viewership (48 million) is expected to surpass domestic viewer numbers (51 million) in 2017. They accredit much of this growth to tablets and smartphone usage.

The company has historically lost money on it's international viewers. They had lost $1.5 billion until they turned a $43 million profit the first quarter of 2017. They expect to post a $28 million loss for the current quarter though. Domestically, Netflix is in much better shape as they have posted a $178 million profit and is expected to rake in $482 million by the end of the year. With a market value of $63 billion, Netflix is poised to take on the HBO. There is chatter that investors want another price hike though.

For all its success, Netflix still has a ways to go to catch up with HBO, the popular pay-TV channel that has served as its role model. HBO has 134 million subscribers worldwide, including viewers paying for an internet-only version of the channel that was inspired by Netflix's success. Other cable channels also are offering internet-only options as more viewers, especially younger people, eschew traditional TV packages and subscribe to streaming services instead.

But Pachter and other analysts wonder how long Netflix will be able to hold the line on price as its programming costs rise in tandem with its appeal to a more diverse international audience. Movie and TV studios typically also demand more money as more people subscribe to channels to in an effort to make as much as possible off their content. As it is, Netflix expects to spend about $6 billion on programming this year.
 
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So, close to $1 billion a month in gross revenues assuming every one of those subscribers is actually paying their monthly fees which is somewhat of a given, I wonder when everything will start falling apart. I will be the first to admit that I never took any business or economics classes in schooling over my lifetime but, honestly I just can't imagine how a company pulling in those kinds of revenues cant still "lose money" in the long run, it's just baffling to me when I think about all that's required to have such a service - I mean at the most basic level of things Netflix is just a huge server farm feeding streams of content licensed from movie and TV studios as well as fronting the cost of a few projects they do in-house or contractually like the Marvel Studios TV shows and other items.

Almost a billion a month and they still lose money, someone explain that to me like I"m a 6-year old. :)
 
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I wager their production cost isn't small, and consider their price vs HBO GO, for instance.

It'll probably get more expensive soon, just a dollar, and then pick up new original content and drop old stuff where the licenses are too expensive. I liked a lot of their productions well enough to be willing to pay, for now.
 
They probably pay $11.75 billion a year for rights and $200 millions in operation cost!
 
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So, close to $1 billion a month in gross revenues assuming every one of those subscribers is actually paying their monthly fees which is somewhat of a given, I wonder when everything will start falling apart. I will be the first to admit that I never took any business or economics classes in schooling over my lifetime but, honestly I just can't imagine how a company pulling in those kinds of revenues cant still "lose money" in the long run, it's just baffling to me when I think about all that's required to have such a service - I mean at the most basic level of things Netflix is just a huge server farm feeding streams of content licensed from movie and TV studios as well as fronting the cost of a few projects they do in-house or contractually like the Marvel Studios TV shows and other items.

Almost a billion a month and they still lose money, someone explain that to me like I"m a 6-year old. :)
They lose money? Maybe I'm misreading it, but AFAICT, they make money. They're struggling internationally, but overall it looks like they're making money.
 
They lose money because they have signed bazillions of dollars in productions for Netflix original content. And gave Adam Sandler 8 movies to create.
 
Glad to hear it cause I'm a huge fan of Netflix as they made it possible for me to cut the cord about 4 years ago.

Daredevil alone is worth it. Jessica Jones and Stranger Things were gray as well but that's about it. Haven't cared much for their other original content.
 
If they want to make more money outside of the US, then remove the geoblocking, or at least make the catalog actually decent in the first place.
 
If they want to make more money outside of the US, then remove the geoblocking, or at least make the catalog actually decent in the first place.
They might not be the ones making that choice.

Certain number of TV companies never let their shows viewable in certain regions. I know for a fact that I can't even view CBS snippets on flash, let alone actual programs.

I have yet to find out exactly why they do that, but I believe it might be politically motivated (not wanting to offend certain groups that happened to be part of the plot as antagonists), I fail to see why they wouldn't want to expand their consumer base.
 
Netflix is a waste of money.

Lolwut. Its less expensive then a lunch at a decent place. If you watch even two movies a month or half of a season of a show then it has technically paid for its self.
 
They might not be the ones making that choice.
Certain number of TV companies never let their shows viewable in certain regions. I know for a fact that I can't even view CBS snippets on flash, let alone actual programs.
I have yet to find out exactly why they do that, but I believe it might be politically motivated (not wanting to offend certain groups that happened to be part of the plot as antagonists), I fail to see why they wouldn't want to expand their consumer base.
As best I can tell, most CBS stuff is no longer on Netflix (they pulled it for their own service), but many of those shows are available outside the u.s. And while everyone seems to hate this geo blocking, that's not up to netflix. For example, in the USA, Designated Survivor is on ABC. Outside of North America, it's on Netflix (in most places anyway).

Wanna watch The Good Wife in the U.S? Go to CBS All Access (though it was on Netflix last year). Wanna watch it outside of the All Access footprint? Go to netflix. Complaining about this is stupid. There are shows like The Fall that were on Netflix in the USA and BBC in the UK.

Would I prefer everything on netflix? Sure, but back in the real world, they license most content and in most cases those licenses are for a specific region.
 
Maybe they'll add some decent movies now. lol
Their new lack of rating system SUCKS! Now I have to sit through 15 minutes to half an hour of multiple movies or shows to find out it would have deserved a 1 or 2 star rating. HUGE waste of time. Now I don't even bother unless I'm familiar with it.
 
I'm about to drop their dvd service myself as the selection and list of actual new stuff on the website is horribly organized, and maybe streaming. Just don't watch it enough. The rating system change doesn't help either.
 
Maybe they'll add some decent movies now. lol
Their new lack of rating system SUCKS! Now I have to sit through 15 minutes to half an hour of multiple movies or shows to find out it would have deserved a 1 or 2 star rating. HUGE waste of time. Now I don't even bother unless I'm familiar with it.
I don't really watch lots of movies on Netflix, but I totally agree about the rating system. I really don't know why they changed it. If anything, I'd have preferred a 10* system (or 5 with 1/2 star increments).
 
I'm about to drop their dvd service myself as the selection and list of actual new stuff on the website is horribly organized, and maybe streaming. Just don't watch it enough. The rating system change doesn't help either.

I absolutely loathe the new ratings system. Most worthless and useless system I have ever seen.
 
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