No doubt about it, it was a bit disappointing to some fans when they learned that Disney would be pulling away from Netflix and starting their own streaming service. But don’t think that Netflix is losing sleep over this. Speaking at an investors’ interview, Netflix CEO Reed Hastings, addressed the departure.
He admitted that while Disney was obviously a big company that produced great films, they weren’t a part of Netflix’s plan for growth. Netflix’s plan revolved around developing their content for their international audiences.
“Disney is a great brand with great content but internationally we only have it in the Netherlands, Australia and Canada. You saw how big our international growth was in most of the world without the Disney content. So although it’s got an enormously significant brand, in terms of its significance relative to growth, you can see that we’ve done very well in international without it.”
Of course, Disney leaving wasn’t a huge surprise. For years, Netflix has worked hard on creating their own original content for this very reason. Studios and networks are looking to launch their own competing networks rather than go to Netflix. They foresaw this, and locked down on their strategy to move forward with their own material. Sarandos sees all this as a positive thing.
“I think that everyone is going to have their own strategies and it’s exciting that everyone is trying to make over-the-top (OTT) television better and better. I think that is good for all of us. And we just have to worry about creating content that our members can’t live without and get excited about every month. Whether or not one of our partners decide to produce for us or compete with us, that’s really a choice they have to make based on their own business.”
Do you agree with Sarandos? Is Netflix in trouble, or do they have a solid plan? Let us know down below!
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