The press lines are always the best source of inside baseball industry gossip. It's also where you make contacts for future gossip - and that can be inside baseball or just... you know... the romance/dating/breakup/beef gossip.
You can tell the opinions on Netflix are swinging a certain way based on comments about Netflix acquiring Hit Man. Sure, the payday is big (up front, for top-tier talent), but this movie was made for an audience and Netflix just isn't in the theatrical business.
In theory, the subscriptions is where the money comes from. With streaming there is no relicensing on f titles, such as selling rights to international territories or basic cable channels etc. And since especially Netflix doesn't do wide theatrical release, money they make on movies they do bother putting in theaters, for example Glass Onion last year, is negligible in the long run. The only real income they have is subscription revenue.
The problem is, there are only so many people who can afford to have Netflix so there is a ceiling on how many subscribers they can have. They are running into trouble because they seem to have saturated the market about as much as they can and they cannot keep up the endless growth that Wall Street demands. They cracked down on password sharing to force more subscribers onto the rolls, but that has already leveled out. So then the question becomes... where is the money coming from? And this is what they won't answer.
Thanks for the explanation! I was wondering the same thing. It made the think of the Vulture article about Disney being sued by shareholders for misleading about Disney+ profitability. When I read that Neflix gained 5million subscribers after ending password sharing, I also wondered how much streamers are just making up some of these numbers.
Netflix mostly works with a by-out system they pay for all the rights and it’s one lumps sums versus other player in the industry they have royalties (writers/directors/ actors in the A category (the stars of the movie)) usually have contracts stating the will share the revenues ( in french we talk about part-producteur) so net revenu so those who had major “creator” roles will each have a %. We can also talk about licensing some writers and directors will also have $$ if the producer sells the format, do a spinoff, remake ect again Netflix will usually not except those conditions
Netflix has different categories of “Netflix “ productions credits so depending what the producing company is willing to let go the better money/payout they will get. As for Amazon they are way more respectful of the licensing versus by-out. In french we are using the terme “cession de droit” google translate it “transfer of rights” but i think the terms “by-out” is more commonly used
Hi Valerie, are you based in France? Because Netflix operates under slightly different rules there, since the film industry is run considerably differently than it is in America.
Hi Sarah based in Quebec and in Quebec we have the Loi sur le statut professionnel des artistes S-32.1 in short artiste have more rights then in the rest of Canada
The press lines are always the best source of inside baseball industry gossip. It's also where you make contacts for future gossip - and that can be inside baseball or just... you know... the romance/dating/breakup/beef gossip.
Also this is what happens when you make the media wait, celebrities. WE TALK TO EACH OTHER ABOUT YOU.
You can tell the opinions on Netflix are swinging a certain way based on comments about Netflix acquiring Hit Man. Sure, the payday is big (up front, for top-tier talent), but this movie was made for an audience and Netflix just isn't in the theatrical business.
https://twitter.com/fauxbeatpoet/status/1703809536186867748
So what makes streaming profitable? Bc I for one am never returning to the actual movies, no thanks! So how does the system survive?
In theory, the subscriptions is where the money comes from. With streaming there is no relicensing on f titles, such as selling rights to international territories or basic cable channels etc. And since especially Netflix doesn't do wide theatrical release, money they make on movies they do bother putting in theaters, for example Glass Onion last year, is negligible in the long run. The only real income they have is subscription revenue.
The problem is, there are only so many people who can afford to have Netflix so there is a ceiling on how many subscribers they can have. They are running into trouble because they seem to have saturated the market about as much as they can and they cannot keep up the endless growth that Wall Street demands. They cracked down on password sharing to force more subscribers onto the rolls, but that has already leveled out. So then the question becomes... where is the money coming from? And this is what they won't answer.
Thanks for the explanation! I was wondering the same thing. It made the think of the Vulture article about Disney being sued by shareholders for misleading about Disney+ profitability. When I read that Neflix gained 5million subscribers after ending password sharing, I also wondered how much streamers are just making up some of these numbers.
Netflix mostly works with a by-out system they pay for all the rights and it’s one lumps sums versus other player in the industry they have royalties (writers/directors/ actors in the A category (the stars of the movie)) usually have contracts stating the will share the revenues ( in french we talk about part-producteur) so net revenu so those who had major “creator” roles will each have a %. We can also talk about licensing some writers and directors will also have $$ if the producer sells the format, do a spinoff, remake ect again Netflix will usually not except those conditions
Netflix has different categories of “Netflix “ productions credits so depending what the producing company is willing to let go the better money/payout they will get. As for Amazon they are way more respectful of the licensing versus by-out. In french we are using the terme “cession de droit” google translate it “transfer of rights” but i think the terms “by-out” is more commonly used
Hi Valerie, are you based in France? Because Netflix operates under slightly different rules there, since the film industry is run considerably differently than it is in America.
Hi Sarah based in Quebec and in Quebec we have the Loi sur le statut professionnel des artistes S-32.1 in short artiste have more rights then in the rest of Canada
Glen Powell is my guess, with Top Gun Maverick being the hit and Set it Up being the steaming question mark.
Glen Powell was my first thought too.