Quote:
Originally Posted by molson
There's going to be a lot more changes and all this stuff is going to get more expensive. I just read this tidbit:
Overall, Pachter predicts Netflix's streaming content licensing costs will rise from $180 million in 2010 to a whopping $1.98 billion in 2012.
Netflix renews contract for NBCUniversal movies and TV shows - Jul. 13, 2011
I think it's a bit much to expect them to just "stream everything" for the same cost or a slight price increase. (I think that also might shut down the internet). The studios have just gotten a ton more aggressive with this stuff. I would assume we'll see redbox increase prices a bit soon as well (they're already testing $1.15, $1.50, up to $2.00 in some markets). |
I wouldn't place too much stock in that article. Netflix 2010 fiscal year-end total revenues were $2.1B. They're projected to be around $3B this year and there's no way their business model can support licensing fees being 2/3rds of all gross revenue.
That doesn't mean their licensing fees won't go up dramatically, though.