This week House of Cards was made exclusively available on Netflix, the online subscription based video streaming service. This bold move from a television aggregator that delivers content through a relatively low cost subscription model, to being a content producer (and one with deep pockets – House of Cards alone cost over $100 million to make), does have the potential to compete with both producers and distributors of broadcast content.
Netflix says it will be producing a minimum of five original series each year to entice audiences to subscribe to its service. Potentially a game changer, Ted Sarandos, Netflix ‘s chief content officer, told GQ ‘The goal is for us to become HBO faster than HBO can become us’.
But does the research data support this move?