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Hollywood on Strike

4 pointsby sturzaalmost 2 years ago

1 comment

adamgvwalkeralmost 2 years ago
<i>The real pain, though, is opportunity cost: while studios are missing out on multi-window revenue and paying for their streaming service and trying to simultaneously acquire customers and stopping them from churning, they are also forgoing revenue from established services like Netflix that would not only happily pay them for their content, but could actually justify a much higher price given their significantly larger user base across which that cost could be leveraged.</i><p>I don&#x27;t quite understand Ben&#x27;s point here. He seems to be saying that the Hollywood studios should stop trying to run their own streaming services and instead sell their content to companies like Netflix instead. Wouldn&#x27;t this be a horrible long-run move, in that the studios would just become commoditized suppliers to Netflix, Apple etc, who will ultimately either buy them up or cut the studios out of content production entirely? I can see why the studios would want to go it alone for as long as possible.