Tuesday, September 20, 2016


Going for originals.

Three years after it entered the original content business, Netflix looks to have originals make up about half of its offerings. ...

“It will take us a couple more years” to hit that target, CFO David Wells says. “We’re a third to half way to where we want to be…We’ve got a ways to go” as the company looks for “a mixture of production models” — although not sports or ad-supported offerings.

But he warned the Street that Netflix likely will burn more than $1 billion a year to satisfy its growing appetite for content, and may borrow more money. The streaming video power will be “a consumer of cash” for the next year and a half, and it “could take longer building content.” ...

What's important to note here: Lots of Netflix original content is animation. The service wants to rope three-to-six year-olds into the wacky cartoons it has to offer with the expectation that the pre and elementary schoolers will stick around to consume adult fare as the years roll on.

That's the theory, anyway. And Netflix is acting on it. (As is Amazon).


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