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The Netflix Problem: TV’s Difficult Balance of Original vs. Syndication
By: Contently
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In 1997, Netflix began building itself as a content distributor. It started with DVDs but really made a name for itself in 2007 by pioneering and popularizing video streaming. By 2013, the company was clearly established as the biggest player in the cord-cutting movement, but at that point, legitimate competitors had emerged—mainly Hulu and Amazon. Then came House of Cards, Netflix’s first original show, which debuted February 2013.

Why House of Cards? Netflix noticed that people who streamed the British version (created in 1990) also liked David Fincher and Kevin Spacey movies. The company smartly decided to combine the three, investing $100 million in the first two seasons. Sure enough, House of Cards was (and still is) a hit. Since then, the show has been joined by other acclaimed originals such as Orange Is the New BlackStranger Things, and Marvel’s Daredevil.

But today, Netflix’s future isn’t as bright as it was in 2013. Despite being to streaming what Xerox is to copy machines, the streaming service just had an incredibly bad Q2. After adding 6 million new subscribers in Q1, its best quarter ever, Netflix added only 1.7 million in Q2. Furthermore, its catalog of shows and movies is shrinking while the price for a subscription is increasing.


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About the Author
This article was first published by Contently.com. A link to the original can be found at the bottom of the post. www.contently.com
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