This was interesting positioning from Netflix: We don’t and can’t compete on breadth of entertainment with Comcast, Sky, Amazon, Apple, Microsoft, Sony, or Google. For us to be hugely successful we have to be a focused passion brand. Starbucks, not 7-Eleven. Southwest, not United. HBO, not Dish.<p>Netflix is phasing out its DVD business over the next couple of years to focus on domestic and international streaming. International is where penetration is pretty low and they're targeting 15-16% penetration of broadband households over five years from its current 3%.<p>In the last few quarters they've outperformed their own subscriber growth forecasts on the international side with country launches in France, Germany underway. The share price has jumped each time. Other markets they are likely to cover Italy, Spain, OZ & NZ. Massive markets like India, China, Russia and Japan really unlikely for the medium term at least with piracy, strong local incumbents and lower purchasing power.<p>It's just made $270m in profits in December 2014, after 10 years of losses from IPO to 2012 and secured a $500m loan with $1.1 billion cash so it is only now becoming financially sustainable. I assume they are getting better at creating own original content and thought Marco Polo was pretty good, might be on my own there though. I think the future is bright though opening in each new country and having to license content in them way in advance means lots of upfront costs in unfamilar locations. Should be a long slog but they're on the right track as a focused, passion brand.