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Netflix: no for live sports, yes for multiple levels with advertising

  • December 7, 2022
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Netflix has spent this entire year of 2022 thinking more than ever about its business model and content proposition. Recall that at the beginning of the year, the

Netflix has spent this entire year of 2022 thinking more than ever about its business model and content proposition. Recall that at the beginning of the year, the company still denied that it was interested in offering a cheaper subscription with advertising, and yet it has been offering it in several countries for about a month now. We’ve also seen them step on the gas both in their game design, which is aiming higher and higher, and in their intention to start monetizing shared accounts, which the company has been wanting to curb for a long time, and it looks like it’s going to be maxed out from next year.

The economic results of the first and second quarters were undoubtedly the driving force behind this shift in gear, this search by the media, if not to acquire new subscribers, then at least to reduce the bleeding that came with it, in this with respect to the first six months of this fiscal year Netflix. And it’s because the senior streaming service is still number one, but its position is increasingly threatened by the presence of stronger rivals.

We told you a few weeks ago that 2023 will also be the year that Netflix airs its first live show, Chris Rock’s show, which is sure to have some reference to the past Oscars incident where Will Smith attacked him. after the actor and comedian made a joke about his wife Jada Pinkett White. Although the date of the event has not yet been confirmed, all bets are that it will be very close to the Hollywood awards to the world of cinema.

Other streaming services have long been interested in broadcasting sporting events, with Prime Video being the biggest exponent after reaching a million-dollar deal with the US NFL to broadcast live games. a risky bet because of the high investment, but it seems to be quite positive. Something that has undoubtedly made many wonder if Netflix is ​​also considering fishing in this fishery.

However, this does not seem to be the case. As we can read in Gizmodo, Ted Saranson, CEO of the company, stated this Broadcasting of sporting events is not part of Netflix’s plans, and that it does not do so for such a simple and serious reason as that, at least according to its market analysis, it is not something profitable. It’s a bit surprising, of course, but you’d think there would be a large number of Excel books behind this claim.

However, the most striking thing is that it mentions the ability to offer more ad-supported subscription levels in the future. It’s not a short-term measure and it doesn’t increase (at least publicly) what everyone would offer. However, it points to the fact that just as there are several ad-free plans, there may also be several ad-supported plans in the future, prompting us to consider versions of the existing ones with more contemporary approaches and higher resolutions. , but partially covered by advertising and therefore somewhat cheaper. What doesn’t seem likely, at least at this point, is that Netflix will lower the price from its current level with advertising.

Source: Muy Computer

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