So Netflix has committed to increase the amount of European shows it produces by a third next year via a combination of proprietary and bought-in content.
However, the lion’s share – 150 out of 221 new shows – will be original. I think that this move puts even more pressure on the traditional broadcasters to up their respective game.
Netflix now has the subscriber reach and it is consolidating its position by investing heavily in content and is making efforts by rivals such as Apple seem paltry in comparison.
- Is it time to sell your FAANG stocks?
- Streaming service issues US$2bn note sale as content-funding continues
In extricating itself from Netflix, Disney is putting a massive bet on content being king, but I’m not sure whether it has the same distribution power as Netflix does.
This is a story that will play out over the coming years, but as far as I’m concerned, Netflix looks like it’ll be pretty untouchable.
In my opinion, the only rival that will even come close will be Amazon in terms of spending power and reach.
