Netflix is now a competitor with Hollywood.

Thanh-Truc (Jo) Nguyen, Staff Writer

Hang on for a minute...we're trying to find some more stories you might like.

Email This Story

In the 2000’s, Netflix was just a DVD distribution company. Customers would have to pay a subscription fee to rent DVD’s for various movies and TV shows every month.

Now, Netflix has grown to become one of the United States’ largest entertainment companies in less than two decades.

Currently, the company net worth is sitting at 140 billion dollars, which is only 16 billion less than their biggest rival: Disney. It is much more than the other major streaming services, Amazon and Hulu combined.

How did Netflix grow so fast?

It happened for many reasons, but they have an advantage over traditional Hollywood. Their platform allows the audience to ‘binge watch’. This allows people to fit the TV show into their busy schedules rather than sitting down in front of their TV’s at certain times just to watch one episode. Since this style is more convenient for the many Americans, Netflix’s customer base is only growing.

Netflix has grown so much as a media platform and companies who pull their content from Netflix suffers losses. A perfect example is the company Epix, commonly known for their TV shows, Get Shorty and Graves who moved their platform from Netflix to Hulu. Three months after the switch, the number of streams fell 24.7 percent. This forces companies to partner with Netflix.

Most importantly, Netflix has been pouring billions into production, and it has been worth it.

The company has been producing smash hit TV shows as 13 Reasons Why, Stranger Things, and House of Cards. Netflix is lesser known for their original movies, but their films are improving. The 2018 movie Icarus won an Academy Award as a documentary feature.

To follow these successes, Netflix has planned to fund more original content partnering with big names such as Adam Sandler, Jennifer Aniston, Will Smith, and the Obamas. Netflix offers a higher pay than many entertainment companies like Paramount.

Now, the question for people is: will Netflix take over Hollywood?

Not likely, but the the company should be taken seriously as a major entertainment company. The gravitas of Netflix is larger than many of the customers actually think.