Thread: VOD Netflix/Streaming Services
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Old 11-05-2019, 10:49   #5256
OLD BOY
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Join Date: Mar 2008
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Re: Netflix/Streaming Services
Quote:
Originally Posted by jfman View Post
I’m heavily in debt to my mortgage provider. If I can’t pay the bills my hopes and aspirations won’t keep a roof over my head.
Except that Netflix is paying its bills. Most new companies start off with debts and some of the big ones will be in considerable debt for a great many years. It's what is called investment.

In time, the number of Netflix subscriptions will have increased considerably as its reach extends into new markets, increasing its income, and once their library has built up sufficiently, they will reduce the amount of content they are currently adding down to more sustainable levels.

If that turns out to be insufficient to balance the books and make a profit due to increasing competition, then a free or reduced price alternative with commercials would be a further means of increasing income. At the same time, they could decide to increase the price of the 'no ads' subscription service.
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