Netflix wants to be a player in gaming. Can it succeed?
When it comes to streaming, Netflix is king. It’s available in more than 200 countries, owns and operates the largest collection of movie and TV show movies in the world, and has already become the first place you turn for TV shows (and movies) to stream if you’re not watching them online. That’s great for consumers, but with Netflix coming up with new ways to access your favorite shows more often, can it truly become the next step in the evolution of streaming?
In this report, IDC takes a look at how the two-year old company can become the home of gaming, by understanding its strategies and future goals—and, ultimately, whether it can get there.
Netflix Can Become the Next Step in the Evolution
With streaming services, there’s typically a big gap between the content providers (the producers and broadcasters) and the consumers that watch it (the users). That’s changing; there are three primary trends driving change:
Streaming is becoming a big business. The first major growth point was Netflix, which made over $100 billion in 2011.
Game-based platforms are starting to catch on globally. Theaters are being demolished, and streaming services are beginning to catch on.
The end of exclusive licensing. Cable companies, which produce and broadcast shows and movies, are being squeezed by new competitors.
One of the new platforms that’s already coming into existence is “online-only,” or O.O.O., content. O.O.O. content is available through the “Netflix-like” platforms of Apple TV, PlayStation Vita, Android devices, and Roku sets.
What is O.O.O.? Basically, it’s a way to stream video content from a content provider that does not hold the rights to the show or movie (and by default, a way to stream it for free).
Netflix didn’t invent this business model; rather, it was a very early adopter. The company has been