Netflix CEO Reed Hastings has spoken about the future of the streaming provider. For example, he still sees a lot of potential in the gaming segment.
In an interview with Variety, Hastings was also asked about a long-running topic: Could there be advertising on Netflix? Hastings said he didn’t think so. In general, the advertising financing initially looks very attractive. But as soon as you deal more intensively with the topic, you realize that there are downsides.
Accordingly, on this course, Netflix would have to compete directly with TV stations for the increasingly tight advertising budgets of large companies. It’s a tough fight – especially in the Corona crisis. This is currently not an option for Netflix. According to Hastings, customers are offered the more attractive offer without advertising – which also has a direct impact on the value of Netflix.
So it is not a philosophy for Netflix to forego advertising. One weighs economically. And economically you are better off without the integration of advertising. The streaming provider’s CEO was of course also asked for his opinion on newcomers to the streaming business like Disney +, Peacock and HBO Max. According to Hastings, this is an opportunity for the entire market. Netflix does not feel pressured. Rather, they push each other to offer subscribers the best content.
Netflix: Sports, gaming and user-generated content are possible
Sports, gaming content and user-generated content could also play a role at Netflix in the future. According to Hastings, these are three exciting areas for the streaming provider. However, the company’s billions in budgets are fully planned for the next few years – for even better films and series. Accordingly, one will rather consider long-term how to stretch out one’s feelers.
Unfortunately, Netflix recently noticed that the free trial month was canceled. After all, a free portal has been started on which non-subscribers can sniff some content for free.