Biz, Tech: Netflix slowly but surely becoming a movie studio cash cow
- 20
million the number of people who use Netflix, which has only been around about 12 years - 24
million the number of people who use Comcast, which has been around over 40 years
- $9M the amount Netflix paid studios for streaming films in the second quarter of last year
- $66M the amount Netflix spent on acquiring movies for its streaming service this past quarter
- $116M the amount the company paid to movie studios for in the first six months of 2010 source
- » A win-win relationship? While the relationship clearly favors the film studios at this point, the success of Netflix’s streaming model has proven fruitful, especially since it hasn’t come at a higher cost to the consumer. While Netflix has pushed more money into streaming distribution, they’ve had to put less into their DVD budgets, meaning that money is shifting from one platform to another. Oh, and it helps that they’ve nailed streaming movies better than anyone else. (Hat tip to Jeff Greco for finding this.)