Netflix Not Concerned With New Streaming Services Coming From Apple and Disney

[0388631]

Correct Disney decided that it is up to Netflix if they want to continue MCU series that they have 2 more years left until the characters revert back to Disney. Disney owns the IP but the decision of cancelling of all MCU series was on Netflix end not Disney. Disney was very chill when it came to Netflix MCU contract but when it came down to Netflix cutting down how many episodes to save cost Disney disagreed for the idea and probably it went against the contract that was agreed to so Netflix decided best to end all of MCU series sadly with unexpected final episodes that some got were like mid-closures.

Except this is patently false. While Netflix did have 2 years left, they were under the thumb of Disney. Disney decided what they could and couldn't do, and how they had to execute it. I suspect Disney had plans for a streaming platform years ago and this was a way to see how Netflix operates. That and Disney owns the IP. They can dictate whatever they want in a contract. Netflix wanted those licensing and production rights. There is no law stating that contracts have to be fair to the buying party.

Regardless, Disney themselves have said they're not consolidating all their media on Disney+. It will be family-friendly focused, and I suspect the Simpsons episodes may be edited unless a specific option is selected in the account settings to allow viewing of unedited video. The Marvel stuff, in its majority, will head on over to Hulu. Disney owns 40% or more of Hulu now. As of now, Disney owns 60% of Hulu. There's 10% up for an equal split between Comcast and Disney.


Disney will eventually buy all of Hulu up and use it as their mature platform. The reality is in 5-7 years we'll be back to where we were at years ago with cable bill prices. In a perfect world, you'd pay $20/month and have HD-4K quality and be able to access everything from any network.

 

[jjudson]

We knew this was coming some day, but it sucks none-the-less. It's going to be so you'll need to have 10 subscriptions for Disney, Amazon, Netflix, CBS, NBC, Fox, Hulu, HBO, and on-and-on to get to view what you used to be able to see with three. The total tab will outstrip the old cable bills by far.

 

[JohnApples]

What would Apple offer? Neutered shows given what's been leaked and announced? You'd give up all Netflix offers for neutered shows on AppleTV+ and all family friendly content on Disney+?

Personally, yes I would- assuming that AppleTV+ has quality content which it seems like it will so far.

I watch a tiny fraction of the stuff on Netflix. It’s essentially my The Office streaming service.

So again for me personally, I’d switch over. Everyone’s use case will be different, and that’s the beauty of having options.

 

[charlituna]

They shouldn't be concerned about Apple TV+ but they should be concerned about Disney+.

If you buy a yearly membership it's less than half the cost of Netflix. Meanwhile, Netflix is going to be losing a lot of their Disney shows. When you have access to Disney, Pixar, Marvel, and Star Wars—plus potentially Fox at some point—for half the cost of Netflix, with a ton of new shows and a large back catalog, it's going to be a lot of content and people will be thinking long and hard about whether they really need a Netflix subscription because they are already drowning in content.

but how many folks only had Netflix for Disney Inc stuff. it might not be as many as folks think

 

[TalkAboutApple]

Netflix streaming is down to just 3,909 movie titles. You may actually do better at your local library for movies.

 

[Abazigal]

I am probably spending as much time searching for shows to watch on Netflix than actually watching them.

Will be catching the final episode of Discovery tomorrow, and just finished Sabrina a few days ago. Not sure what I am going to watch afterwards.

The only reason why I am even still subscribed is that for the price, I am indifferent between staying subscribed and cancelling my subscription.

I think Netflix having its own library of original content is overrated. It’s a nice number to boast about, but I wonder just how many people actually watch them, or how effective they have been in terms of attracting and retaining subscribers.

 

[ipponrg]

I think Netflix having its own library of original content is overrated. It’s a nice number to boast about, but I wonder just how many people actually watch them, or how effective they have been in terms of attracting and retaining subscribers.

Maybe you are not the target audience for Netflix

Btw Netflix apparently brought in 9.6M new subscribers in Q1 2019, 2M coming from the US. I’m sure the numbers will slow down at some point, but Netflix is very much a global company

 

[Abazigal]

Maybe you are not the target audience for Netflix

Btw Netflix apparently brought in 9.6M new subscribers in Q1 2019, 2M coming from the US. I’m sure the numbers will slow down at some point, but Netflix is very much a global company

Maybe.

I do watch shows on Netflix. Most just aren’t their original content, which feel a lot like poorly made direct-to-TV movies. The production quality is excellent, but the plot and acting just leaves a lot to be desired.

It feels like someone at Netflix is just ordering new content to be made left and right simply to meet a quota and pad his work review, without actually bothering to ensure that the shows made are quality content.

 

[ipponrg]

Maybe.

I do watch shows on Netflix. Most just aren’t their original content, which feel a lot like poorly made direct-to-TV movies. The production quality is excellent, but the plot and acting just leaves a lot to be desired.

It feels like someone at Netflix is just ordering new content to be made left and right simply to meet a quota and pad his work review, without actually bothering to ensure that the shows made are quality content.

The most difficult part of determining quality content is to understand your target audience.

For example Money Heist (Casa De Papel) is beloved internationally in Brazil, Spain, and probably other Latin American / Spanish speaking countries.

I saw it and thought it was complete trash. But if those people love it, it must inform Netflix on what types of content to pursue for that demographic. It’s about finding what sticks and then pivoting from there. It’s nothing short of costly but with potential rewards in the long run

 

[Abazigal]

The most difficult part of determining quality content is to understand your target audience.

For example Money Heist (Casa De Papel) is beloved internationally in Brazil, Spain, and probably other Latin American / Spanish speaking countries.

I saw it and thought it was complete trash. But if those people love it, it must inform Netflix on what types of content to pursue for that demographic. It’s about finding what sticks and then pivoting from there. It’s nothing short of costly but with potential rewards in the long run

Therein lies the issue. You are spending money to make content which appeals only to say, an audience of a single country.

The end result is that you are effectively unable to benefit from economies of scale. Making a show (a one-time cost) and being able to screen it to your hundreds of millions of subscribers sounds great on paper, until you realise that they all have wildly differing tastes and preferences, and you have to create customised content for the different geographic regions.

It just doesn’t sound sustainable.

 

[JBGoode]

Maybe.

I do watch shows on Netflix. Most just aren’t their original content, which feel a lot like poorly made direct-to-TV movies. The production quality is excellent, but the plot and acting just leaves a lot to be desired.

It feels like someone at Netflix is just ordering new content to be made left and right simply to meet a quota and pad his work review, without actually bothering to ensure that the shows made are quality content.

I have read that at least some of their Netflix branded movies are not really produced by them at all and are movies that could not find a distributor so Netflix scooped them up. Not sure how true this is but I can believe it.

 

[fathergll]

Of course they're not. It's Netflix... One out of every three households in America alone subscribes. Hell I'm willing to bet nearly everyone reading this comment uses them in some way.

Its more difficult trying to think of people who you know that don't use Netflix.(granted there is a huge amount of password sharing)

 

[ipponrg]

Therein lies the issue. You are spending money to make content which appeals only to say, an audience of a single country.

The end result is that you are effectively unable to benefit from economies of scale. Making a show (a one-time cost) and being able to screen it to your hundreds of millions of subscribers sounds great on paper, until you realise that they all have wildly differing tastes and preferences, and you have to create customised content for the different geographic regions.

It just doesn’t sound sustainable.

You are thinking too generically. For example, Chinese blockbusters do well in Asia, but may not do well in US. The latter could happen as well. You can still make profits in both regions given the localized currency that you spend.

Usually studios will have different regional armaments responsible for focusing on their respective areas. The Asian offices focuses on the Asian audience, the US office focuses on US, etc. It’s rarely a one thing fits all approach.

 

[Mac 128]

Regardless, Disney themselves have said they're not consolidating all their media on Disney+. It will be family-friendly focused, and I suspect the Simpsons episodes may be edited unless a specific option is selected in the account settings to allow viewing of unedited video. The Marvel stuff, in its majority, will head on over to Hulu. Disney owns 40% or more of Hulu now. As of now, Disney owns 60% of Hulu. There's 10% up for an equal split between Comcast and Disney.

Disney owns 70% of Hulu having just acquired ATTs 10%. Comcast has 30% and that’s not likely to last very long as Disney retools it to become their “adult” platform, since Comcast will have little say in those plans, and need to pull back their content for their streaming service launch. Unfortunately Disney is not really in a position to buy out Comcast at the moment, but I’m not sure they need to, since it doesn’t impact them much at all until it becomes more profitable.

Actually, that said, Apple would be a good partner with a Disney for Comcast’s 30% of Hulu. It would give Apple a more “mature” platform to develop content that doesn’t fit entirely with their family-friendly model, like Disney. If they could find a way to share Hulu the way CBS and Warner Bros. do with the CW, they could potentially strengthen the platform with complementary content in which they both share profits without tainting their own core brands.

 

[actripxl]

Netflix sucks, I don't understand how people still have this when they repeat the same movies over and over again. Not only that they are losing content which is why they are growing their originals and a bunch of B movies and pseudoscience documentaries.

 

[0388631]

Disney owns 70% of Hulu having just acquired ATTs 10%. Comcast has 30% and that’s not likely to last very long as Disney retools it to become their “adult” platform, since Comcast will have little say in those plans, and need to pull back their content for their streaming service launch. Unfortunately Disney is not really in a position to buy out Comcast at the moment, but I’m not sure they need to, since it doesn’t impact them much at all until it becomes more profitable.

Actually, that said, Apple would be a good partner with a Disney for Comcast’s 30% of Hulu. It would give Apple a more “mature” platform to develop content that doesn’t fit entirely with their family-friendly model, like Disney. If they could find a way to share Hulu the way CBS and Warner Bros. do with the CW, they could potentially strengthen the platform with complementary content in which they both share profits without tainting their own core brands.

Was there an actual point to your post other than to reiterate my post with a slightly more recent ownership figure? Come back when you have something meaningful to say other than spit out words I've been posting all along in this thread about Hulu becoming the premiere center for all mature Disney IP.

Apple has no interest in making mature content. They sell themselves as a company for all ages.

 

[Mac 128]

Redacted

 

[uniquexoxo]

I agree on this, Netflix has seen it coming, and eventually providers will come up of their own app; hence the Netflix Originals. Honestly though, I don’t see myself subscribing to Disney+. But considering this and whole others app popping up everyday, TV providers may soon be a thing of the past

 

[Baymowe335]

Ever looked at all the content Disney owns?

Now list every original show on Netflix and compare lists.

Just Star Wars is worth more than Netflix’s entire library of original content. The current value of Netflix comes from its subscriber base. It starts losing subscribers, they are in trouble because the have very few assets.

Maybe after the terrible results today, Netflix is starting to get worried.

They should be.

And the competition hasn’t even started to get serious. Wait until Disney releases their service and more shows like the Office and Friends start leaving the platform.

 

[PickUrPoison]

Maybe after the terrible results today, Netflix is starting to get worried.

They should be.

And the competition hasn’t even started to get serious. Wait until Disney releases their service and more shows like the Office and Friends start leaving the platform.

Nah, you just need to view it through your looking glass. The streaming wars are a good thing... just ask Reed

 

[Baymowe335]

Nah, you just need to view it through your looking glass. The streaming wars are a good thing... just ask Reed

Netflix is a great company, but listening to their earnings call doesn’t do much to change my mind that the arrogance is strong with management.

They just made $270M in a quarter and have a $150B valuation. That profit needs to go way up to justify the valuation if they aren’t growing the subscriber base quickly anymore.

 

[LizKat]

Maybe after the terrible results today, Netflix is starting to get worried.

They should be.

And the competition hasn’t even started to get serious. Wait until Disney releases their service and more shows like the Office and Friends start leaving the platform.

They must be worried. I still have a sub but in summertime I do keep forgetting to bother checking out what's on offer... they send me all these emails imploring me to try some series, or letting me know they just put up some movie...

I'm like yeah but I'm busy... for me, watching movies or TV series is like for rainy days and blizzards. This time of year when nightfall comes I'm not likely to fire up a movie, I might manage 20 pages in some book before the day's activities send me upstairs half asleep en route.

At first I wondered about all those emails: why do they even care what I watch or if I watch as long as they're getting the money? Then I realized they figure infrequent viewers might be on their way out of the subscription, and they haven't a clue why, so it bothers them that they don't know how to tweak their offerings for such people.

There must be a bunch of us whose movie watching falls off in summer. Maybe not. I dunno. Around here everyone seems to be out and about spending free time in gardens or off swimming somewhere, and so when they come home they just crash.

If Netflix jacked its rate again for the basic streaming package I'd probably ditch it. But,,, they're still under my limit for what starts to look like real money thrown down the drain.

Dear Netflix: if I didn't like anything I have watched or could watch on your site, I'd cancel my sub. Short of that, I don't care why you think I'm not using my paid-for options to stream whatever's up there. I'll see you in September if you're still around...

 

[PickUrPoison]

Netflix is a great company, but listening to their earnings call doesn’t do much to change my mind that the arrogance is strong with management.

They just made $270M in a quarter and have a $150B valuation. That profit needs to go way up to justify the valuation if they aren’t growing the subscriber base quickly anymore.

Disney pricing at $6.99 was an extremely strong strategic move, with Disney playing the long game. A Hulu/Disney+ bundle would put additional pressure on Netflix.

Netflix is in for a rude awakening if they truly aren’t worried about the competition. Disney and Warners are going to club Hastings over the head with further subscriber losses.

If Netflix thinks they can raise prices again next year, they’re delusional. I think they’ve gone from a “must have” to an “only need sometimes” for more and more customers (those without kids anyway), and I’m not sure issuing more junk bonds at 4-5% is the answer.

 

[Rob_2811]

Disney pricing at $6.99 was an extremely strong strategic move, with Disney playing the long game. A Hulu/Disney+ bundle would put additional pressure on Netflix.

Netflix is in for a rude awakening if they truly aren’t worried about the competition. Disney and Warners are going to club Hastings over the head with further subscriber losses.

If Netflix thinks they can raise prices again next year, they’re delusional. I think they’ve gone from a “must have” to an “only need sometimes” for more and more customers (those without kids anyway), and I’m not sure issuing more junk bonds at 4-5% is the answer.

Well that is how most of them will be soon. There are so many VOD services either out or on the way, people are not going to maintain subscriptions to them all.

Its like every record label having their own music streaming service ..

 

[Baymowe335]

Disney pricing at $6.99 was an extremely strong strategic move, with Disney playing the long game. A Hulu/Disney+ bundle would put additional pressure on Netflix.

Netflix is in for a rude awakening if they truly aren’t worried about the competition. Disney and Warners are going to club Hastings over the head with further subscriber losses.

If Netflix thinks they can raise prices again next year, they’re delusional. I think they’ve gone from a “must have” to an “only need sometimes” for more and more customers (those without kids anyway), and I’m not sure issuing more junk bonds at 4-5% is the answer.

Exactly. Disney’s pricing shows everyone they are in acquisition mode and can take losses to do it.

Netflix is a one trick pony. They have a great business, but it’s a streaming subscription business and not a lot else.

Disney has parks, TV, movies, merchandise, hotels, and now subscription. They have endless content that they OWN, not license. Netflix has a little original content, but they heavily rely on licensing deals like The Office and Friends, which they are losing the NBC’s streaming competition.

I could probably name 3-4 Netflix originals before I started struggling. I can name a hell of a lot more Disney owned content.

You’re right. Netflix has almost no pricing power. Again, original content is king. You want Avengers? Gotta go Disney. You want Star Wars? Disney. You want anything princess or quality animation? Mostly Disney. Sports? They have ESPN. So difficult to compete with that monster.