WebProNews

Tag: Ted Sarandos

  • Netflix CEO Reed Hastings Steps Down, Co-CEOs to Replace Him

    Netflix CEO Reed Hastings Steps Down, Co-CEOs to Replace Him

    Reed Hastings is stepping down as CEO of Netflix, vacating a position he has held since 1999, after co-founding the company in 1997.

    Netflix has faced new challenges in recent quarters, experiencing its first subscriber drop in nearly a decade. The company rallied, however, and has once again been posting subscriber growth.

    With the company’s future relatively secure, Hastings is stepping down as CEO and following a succession plan that has been in the works for years. Hastings is being replaced by Ted Sarandos and Greg Peters, who will serve the company as co-CEOs.

    “Our board has been discussing succession planning for many years (even founders need to evolve!),” Hastings wrote in a blog post. “As part of that process, we promoted Ted to co-CEO alongside me in July 2020, and Greg to Chief Operating Officer – and in the last 2½ years I’ve increasingly delegated the management of Netflix to them.

    “It was a baptism by fire, given COVID and recent challenges within our business. But they’ve both managed incredibly well, ensuring Netflix continues to improve and developing a clear path to reaccelerate our revenue and earnings growth. So the board and I believe it’s the right time to complete my succession.”

    According to Hastings, the change is effective immediately, with him taking on the role of Executive Chairman.

    “Starting today, Greg Peters will step up from COO to become Ted’s co-CEO,” Hastings continues. “Going forward, I’ll be serving as Executive Chairman, a role that founders often take (Jeff Bezos, Bill Gates, etc.) after they pass the CEO baton to others. Ted, Greg and I have been working closely together in different capacities for 15 years. As is common in long, effective relationships, we’ve all learned how to bring out the best in each other. I look forward to working with them in this role for many years to come.”

  • Netflix Confirms Ad-Supported Plans Are On the Way

    Netflix Confirms Ad-Supported Plans Are On the Way

    Netflix has confirmed rumors that it is working on ad-supported plans as the company looks to grow its subscriber base.

    Netflix turned in its first subscriber loss in roughly a decade at its last quarterly results, sending the stock down and leading to hundreds of lay-offs. The company is experimenting with various ways to turn the situation around, with free, ad-supported plans being one of them. According to The Hollywood Reporter, co-CEO Ted Sarandos has confirmed the plans.

    “We’ve left a big customer segment off the table, which is people who say: ‘Hey, Netflix is too expensive for me and I don’t mind advertising,’” Sarandos said at Cannes Lions. “We adding an ad tier; we’re not adding ads to Netflix as you know it today. We’re adding an ad tier for folks who say, ‘Hey, I want a lower price and I’ll watch ads.’”

    Given this would be Netflix’s first foray into ad-supported media, there’s infrastructure and development that needs to be done to make it work. According to The Wall Street Journal, the company is looking to either Google or NBCUniversal to help it roll out its ad platform.

  • Netflix Just Revealed How Many People Watched Something

    Netflix Just Revealed How Many People Watched Something

    Do you know how many people watch House of Cards? How about Orange Is The New Black?

    No. No you don’t. Netflix, a company which isn’t beholden to advertisers and traditional ratings, doesn’t like to disclose viewership numbers. In fact, content chief Ted Sarandos has said that Netflix will not release stats on any of its library – original content or not.

    The closest we’ve ever gotten to Netflix revealing “ratings” is when the company says that a particular show is “the most watched”. We’re forced to rely on surveys to guesstimate Netflix’s viewership.

    But wait, what’s this? Ted Sarandos just plopped down an actual number?

    According to Sarandos, the Netflix original film Beasts of No Nation has seen three million views in a couple of weeks.

    “It is worth sharing that this movie, in North America alone, has over 3 million views already. Which I think is a bigger audience than any specialty film could ever hope for in its first two weeks of release, and maybe for its entire run. And we’re just starting. We are just thrilled with the total audience reach of this film, not just in North America but the world,” Sarandos told Deadline.

    “In the first week of release, Beasts Of No Nation was the most watched movie on Netflix, in every country we operate in. Even Japan, and I’m only calling out Japan because most specialty films don’t do very much of their box office outside the U.S. at all, let alone in Japan. Studios have trouble opening those movies in Japan. This was No. 1 in really diverse places in the world — Japan, Brazil, Mexico, places where these films typically never even open. It’s been incredibly gratifying to see these audiences respond to this film.”

    This feels like a one time thing. I wouldn’t get too excited, people who write about Netflix.

  • Netflix Lets Epix Deal Expire As Hulu Enters Multi-Year Agreement

    Netflix Lets Epix Deal Expire As Hulu Enters Multi-Year Agreement

    Netflix announced that it has decided not to renew an agreement in the US with cable network Epix, which means it is dropping a bunch of big-name movies from its offering. Hulu is picking up where Netflix left off, announcing a multi-year deal with the channel.

    Netflix, anticipating user frustration, put out a blog post explaining its reasoning, and what it boils down to is basically a focus on putting out content that is exclusive to Netflix, and that includes “a robust slate of original movies” from stars and directors like Brad Pitt, Ricky Gervais, Judd Apatow, Angelina Jolie, Sofia Coppola, and Adam Sandler.

    The movies from the Epix deal will expire on Netflix at the end of September. These include titles like Hunger Games: Catching Fire, World War Z, and Transformers: Age of Extinction. Read this for titles Netflix is adding and dropping in September.

    “While many of these movies are popular, they are also widely available on cable and other subscription platforms at the same time as they are on Netflix and subject to the same drawn out licensing period,” writes Netflix Chief Content Officer Ted Sarandos. “Through our original films and some innovative licensing arrangements with the movie studios, we are aiming to build a better movie experience for you.”

    Netlix’s slate of original movies includes: Beasts of No Nation (October), Ridiculous Six (December), A Very Murray Christmas (December), Crouching Tiger, Hidden Dragon: Green Legend (Early 2016), and Pee-Wee’s Big Holiday (Early 2016).

    “We also have some great family films coming your way, including Minions, Hotel Transylvania 2, and Home through arrangements with Sony Pictures Animation, Universal Pictures and DreamWorks Animation,” Sarandos says. “Starting next year, we will be the exclusive US pay TV home of the latest theatrical movies from the The Walt Disney Company, including Pixar, Lucasfilm and Marvel movies. The majority of these films will arrive on Netflix faster than traditional arrangements had previously allowed.”

    That’s pretty huge.

    Hulu’s deal will see the service adding new releases from Lionsgate, MGM, and Paramount beginning October 1. At launch, it will include Hunger Games: Catching Fire, Transformers: Age of Extinction, Teenage Mutant Ninja Turtles, Star Trek: Into Darkness, World War Z, Wolf of Wall Street, Jack Ryan: Shadow Recruit, Robocop, and God’s Not Dead. Read Hulu’s announcement for additional titles that it will get.

    “Hulu already offers some of the best and biggest titles in television programming, but our subscribers have been asking us for more, and more recent, big movies. We listened. Through this new deal with Epix, we are proud to now be able to offer a huge selection of the biggest blockbusters and premium films,” said Craig Erwich, SVP, Head of Content at Hulu. “This is a landmark deal for Hulu and it marks a huge expansion for our offering of premium programming.”

    “Hulu has become one of the most popular premium streaming services and Epix’s agreement is evidence of their understanding of the value that our blockbuster Hollywood films, deep library of classic film titles and original programming brings to consumers,” said Mark Greenberg, President and CEO of Epix. “We are excited to be partnering with Hulu, and share their commitment to providing viewers a truly premium experience, particularly as we enter the next phase of our network’s growth and development.”

    Hulu will continue to roll out new titles, library films, and original programming from Epix through each year of the deal. All new theatrical releases and original programming will be available during its digital streaming window, which begins 90 days after the start of the traditional pay TV window.

    Image via Netflix

  • Netflix Plans To Debut New, Original Content Every 2 1/2 Weeks

    Netflix Plans To Debut New, Original Content Every 2 1/2 Weeks

    Netflix has come a long way in terms of original programming since it first premiered Lilyhammer in early 2012. It feels like they’ve been at it for a long time, but keep in mind, we’re only just nearing the third season of House of Cards.

    Now, if you search for Netflix originals on the service, you’ll see a plethora of titles.

    Netflix is really going to start ramping up the frequency with which it debuts original content, from the sound of it. Content chief Ted Sarandos spoke at the UBS Global Media and Communications Conference in New York, and discussed that among other things.

    According to AdAge, Sarandos said the company would like to premiere a new original series or a new season of an existing series every two-and-a-half weeks, and would like to accomplish this within five years.

    Netflix “will eventually be the largest producer of original content in the world,” he reportedly declared. That’s certainly a bold statement.

    The Hollywood Reporter shares some additional comments Sarandos made about its resistance to sharing ratings and viewing data:

    “The reason we don’t give ratings is not to frustrate the press,” said Sarandos. “It’s an irrelevant measure of success for us.”

    “Maybe it has been necessary for the business of entertainment, but it’s been terrible for the creative side of television,” he said. “I do think that the ratings discussion has been negative for television.”

    News recently came out that Nielsen would begin measuring content from streaming services like Netflix and Amazon.

    Image via YouTube

  • ‘House Of Cards’ Season 3 In No Danger From Maryland Tax Situation, Says Netflix

    Earlier this year, reports came out that the production of House of Card: Season 3 was being held up as two bills in Maryland would affect tax breaks, which have been a key in the show being produced in the state.

    Based on what transpired earlier this month, things aren’t looking too great for the show’s future in Maryland, and that could mean more delays, and potentially a later release date for the third season that fans have grown accustomed to. The Washington Post reported on April 8th:

    Maryland sets aside $7.5 million annually to reward film production companies that choose to film in the state. But that annual allocation has not always been enough to meet the needs of big-name productions, including “House of Cards,” which has received $26.6 million in tax credits so far. The show’s producers expected as much as $15 million for filming Season 3.

    Media Rights Capital, the maker of “House of Cards,” told Gov. Martin O’Malley (D) and House Speaker Michael E. Busch (D-Anne Arundel) in January that if the money did not materialize, production crews would “break down our stage, sets and offices and set up in another state.”

    The report says the Governor’s office is working with the show to reach an agreement.

    The situation was brought up on Netflix’s earnings call on Monday. Here’s what content chief Ted Sarandos had to say:

    Keep in mind the relationship is fairly complicated there. You have the production company, who receives the benefit of a tax incentive from the state of Maryland to keep the show in Maryland, and there have been ongoing negotiations between MRC, who produces the show for us, and the state of Maryland, but I would anticipate that these are overcome-able issues, and it’s a very competitive world out there in terms of attracting production. The tax incentives in place for House of Cards in Maryland have resulted in hundreds and hundreds of jobs, and not just for actors, but for carpenters, and waitresses, and hotel workers. The amount of hotel nights and meals that the production of a television series brings to a state is staggering. So I think this has been one of those really interesting, kind of political volleyballs in Maryland, but Maryland’s been really great to the show, and we love being there, and we’re hoping that MRC and the state work that out. But investors and fans are not at risk in any way.

    He didn’t comment on whether or not fans may see the season released later in the year (in 2015) than usual, but they really haven’t shown any regularity with any other shows so far.

    Image via YouTube

  • Netflix Talks ‘House Of Cards’ Performance

    Netflix Talks ‘House Of Cards’ Performance

    Netflix held its Q1 earnings call on Monday talking about plethora of topics from pricing changes to Comcast and Time Warner Cable. Naturally, its original series House of Cards and Orange is the New Black came up. The former’s second season was released during the quarter, and the latter’s will debut in June.

    The company is often asked about and criticized for the way it measures the success of its shows, or doesn’t provide much in the way of specifics, but the company is clearly pleased with the performance of both shows so far.

    “We’re getting more sophisticated about how how we measure it,” said Chief Content Officer Ted Sarandos of House of Cards. “I think that what we see is a hungry audience for season 2 versus a curious audience in Season 1. In Season 1, subscribers had no idea what a Netflix original series would be like, so there was some curiosity, but certainly not a lot of excitement going in. In Season 2 there was a lot of pent up demand. We saw a lot of very early front-weighted viewing for the launch, which kind of told us that America was ready for more, and dug in right away…We’ve been absolutely thrilled so far with the show from the early launch relative to how you’d measure television – any show on basic cable or premium cable.”

    “We’re committing to larger budget shows, and the same show is more expensive to make year on year,” he said. “We’re looking at – the kinds of shows that we’re competing with – we’re still only competing with kind of the top end of cable for those shows. So think about it like a sports team, where the bidding can get quite high on a couple of key pieces of talent, but the overall salaries stay kind of in check.”

    Asked about the upcoming season of Orange is the New Black, he said, “We had said before Orange is the New Black has been our most watched show, so we’re pretty excited to see what an even bigger mob looks like, who is hungry for Season 2 starting June 6th.”

    The first real trailer was released last week.

    House of Cards: Season 2 will come out on DVD and Blu-ray on June 19th.

    Image via Facebook

  • Netflix Defends Content Release Strategy

    Since Netflix has been offering its customers original shows, it has been offering them full seasons at a time, catering to the well-known binge-watching phenomenon.

    Netflix’s competitors have often criticized this approach, and when the company changed the strategy up a little bit late last year with the launch of Turbo FAST, some questioned whether the company was straying from a strategy that maybe wasn’t the best idea to begin with.

    According to Netflix, those people would be wrong. They’ve already since clarified that they would continue to launch entire seasons of shows at a time. The second season of Lilyhammer was recently released, and the full second season of House of Cards will launch next month. Turbo FAST, however, was released with six episodes at first, with more to come within a few months.

    Some of Netflix critics have suggested that releasing a full season at once detracts from the social media buzz that can be maintained by releasing an episode per week. Netflix chief content officer Ted Sarandos was asked about this in a Google Hangout about the company’s Q4 performance.

    He responded, “We’re very thrilled with the strategy today, and one of the things that I think dispels some of the concern or mythology about what happens to social media when you drop all the shows at once…check out the Google Trends for House of Cards and The Americans, which both debuted on the same day, and look at the pattern, and what you see is week over week over week, there is more chatter about House of Cards than there is about The Americans week over week over week.”

    “And the same thing is true about The Bridge and Orange is the New Black,” he added. “They debuted on the same day. So I think that mythology should be pretty well dispelled by now, and the consumers really love it because they can really decide, ‘Hey, I’m gonna watch the whole show this weekend, I’m gonna watch one a week,’ or however they want to do it, so it’s really something the viewers love, and that’s why we love it.”

    “And as far as Turbo‘s concerned, Turbo is not a serialized program at all, and kids don’t watch the same way that you and I do, and particularly the way that you and I watch serialized programming,” Sarandos continued. “So giving them five episodes enabled us to accelerate the availability to drop the episodes in the holiday period when kids are home watching a lot of shows, and it was a tremendous success. They watched all five. They watched them over and over again. They watched just the way kids watch cartoons.”

    It’s true. They really do watch them over and over again.

    “So we’re really thrilled with the strategy, and I anticipate that we’ll continue to play and tweak with it, but a departure from it with radically different kinds of programming doesn’t signal a change in the strategy,” Sarandos said.

    Netflix talked up the success of Turbo FAST in a letter to shareholders, saying it had “been very popular with kids around the world, performing especially strong throughout Latin America.” While it only launched about a month ago, Netflix says it’s already on track to become one of the most popular kids series ever on Netflix.

    That’s saying something. Keep in mind they used to have Nickelodeon content.

    More kids shows from Dreamworks Animation are on the way to Netflix this year.

    Image via YouTube

  • Netflix Talks More About Its Original Theatrical Movie Aspirations

    You may recall last fall when Netflix expressed interest in making original movies – big ones that would come out on Netflix the same day they hit theaters.

    Content chief Ted Sarandos spoke at a Film Independent event, where was quoted as saying, “What we’re trying to do for TV, the model should extend pretty nicely to movies. Meaning, why not premiere movies on Netflix, the same day they’re opening in theaters? And not little movies – there’s a lot of ways, and lot of people to do that [already]. Why not big movies? Why not follow the consumers’ desire to watch things when they want?”

    Sarandos offered an updated version of his thoughts about this concept in a Google Hangout to discuss the company’s Q4 financial performance on Wednesday.

    Asked about his aspirations for big movies, Sarandos said, “Without confirming or denying the range or the aspiration, I would say that to the consumers, the line between a movie and a TV is getting pretty blurry. So TV shows are thirteen-hour movies, and movies are two-hour TV shows. So I think the way we’re looking at it [is] we want to make really compelling content in multiple formats, and the one thing that’s evolving pretty dramatically I think is the interest and desire for movies in different windows than today’s models allow for.”

    He continued, “So while I think the viewing is dramatically moving more towards at home and on demand, movies still wait about a year behind theatrical before they’re available to folks like HBO and Netflix, so what we’d like to do is look at different ways that we can accelerate that window, and maybe, like with original programming, the most effective way to work that is to do it yourself.”

    If you follow Arrested Development news at all, you’ve no doubt heard the rumors about there being a movie for that. Netflix has expressed interest in this specifically. Whether it comes to fruition remains to be seen, but last yar it was starting to look like a real possibility.

    We’ve also been hearing rumors that Ron Howard (of Arrested Development fame) is working on a series of films with a television element for Stephen King’s The Dark Tower book series. Rumor also has it that it could make its way to Netflix.

    Image via YouTube

  • Original Content To Be An Increasingly Big Part Of Netflix’s Content Spending Pie

    Netflix is going full throttle with its original content, and things aren’t going to be slowing down anytime soon. New seasons of most of last year’s originals are coming out this year, and first seasons of a handful of completely new shows are also coming out throughout 2014 (others are already scheduled for 2015).

    Last year, Netflix said that it would double its original content spend in 2014, but it would still remain under 10% of its overall content spend. So they’re still shelling out a lot more for content from other providers.

    Netflix held its Q4 earnings discussion on Wednesday, and the the subject came up once again.

    “It’s gonna continue to grow,” said content chief Ted Sarandos. “I mean it’s been quite successful for us we feel like both in terms of viewing economics and in terms of brand enhancement and marketing, so I would just expect that it’s gonna keep growing.”

    “Keep in mind it is within the total spend of our forecasted content spend, not in addition to,” he noted. “So you should just think about it as a piece of the spend the way movies and TV and exclusives and non-exclusive content are all just in different buckets.”

    CFO David Wells chimed in, “It’s likely to be under then ten percent. We just want to migrate away from the specific number because we’ve seen great success. We’ll continue to invest in it. It’ll continue to grow, and it will continue to grow in terms of the ratio of our overall content spend.”

    Image via YouTube

  • Netflix: Ads Are Not Something We’re Contemplating

    Netflix says it has no intentions of including ads in or around its content.

    The company released its quarterly earnings report on Wednesday. Shortly afterwards, the company held a Google+ Hangout with company execs and analysts. One analyst suggested that investors think Netflix is at the point where people would tolerate pre-roll ads similar to those seen in movie theaters.

    When asked if this is something Netflix would consider doing, CEO Reed Hastings said, “We have no plans to go towards advertising-based models. Our brand, at least over the next couple of years, and at this point, really stands for that commercial-free experience that we have where the consumer’s in control of the experience. They get to watch when they want. They get to pause it when they want. They can play it when they want, and watch it how and where they want. So it’s fundamental to that control orientation that we don’t cram advertisements down people’s throats. So I really don’t see that.”

    Asked if the company’s contracts would even allow for ads, Hastings said, “You know, at a certain price, anything’s allowable. I’m sure Ted [Content Chief Sarandos] could take take a lot more money, but it’s not something we’re contemplating.”

    Sarandos added, “It tends to be a separate set of rights, and to your point, Reed, we’ve got to go to great extremes to give consumers control of the content, you know, going all the way to the extreme of putting the entire season out at one time, so the notion of frustrating them for the first or the last couple of minutes seems a little out of step with that.”

    The highlight of the above hangout that has everyone talking is what Hastings said about HBO’s CEO.

    Image via YouTube

  • Netflix Eyes Original Movies – ‘Big’ Ones That Would Pop Up the Same Day They Hit Theaters

    Netflix Eyes Original Movies – ‘Big’ Ones That Would Pop Up the Same Day They Hit Theaters

    Recently, Netflix content chief Ted Sarandos said that Netflix is going to double its spending on original content. And why wouldn’t they? Between House of Cards, Hemlock Grove, original comedy specials, and the surprise mega-hit Orange Is The New Black, Netflix is currently turning the content distribution model on its head. The original content blitz is working – in a big way. Netflix customers are sticking around specifically because of all of these exclusive shows. Why not push it as far as it will go?

    Well, it looks like that’s exactly what Netflix is thinking. They’re thinking big. Not content with simply providing original TV series, Netflix may be on the way to producing big-budget movies – movies that would premiere on Netflix the same day they arrive in theaters.

    Speaking at a recent event hosted by Film Independent, Sarandos pretty much confirmed that the company is strongly considering original films as their new project. We’re not talking small budget films, either. Netflix is already producing those in the form of exclusive comedy specials and documentaries. We’re talking big-time releases here.

    Here’s the relevant soundbite from Sarandos, courtesy All Things D:

    “What we’re trying to do for TV, the model should extend pretty nicely to movies. Meaning, why not premiere movies on Netflix, the same day they’re opening in theaters? And not little movies – there’s a lot of ways, and lot of people to do that [already]. Why not big movies? Why not follow the consumers’ desire to watch things when they want?”

    My first reaction is…word. Why not give people what they want? Do people want to watch theatrical releases from the comfort of their own couches? You’re damn right they do. Or at least I do. You’ve gotta admit – it sounds like a logical move for Netflix. If they can produce the nearly 13 hours required of a season of House of Cards, a truly cinematic series in terms of scope, why not original, big-budget films? Netflix already has a working relationship with David Fincher and Kevin Spacey – what say we start there, huh?

    But let’s not get ahead of ourselves. Sarandos and Netflix are talking about changing a rigid system that doesn’t really like to budge. Just what does Sarandos mean when he says “big” movies? Does he mean blockbusters? Some indie films are already available to view while they’re in theaters via cable providers. Is that what he’s talking about – something like that?

    You probably shouldn’t hold your breath that you’ll be able to watch the third installment of The Hobbit in your PJs – that’s all I’m saying.

    But from Sarandos’ own words, Netflix is eyeing original films. There’s nothing about this that should make you feel anything other than hopeful, and happy.

    Image via Netflix, YouTube

  • ‘House Of Cards’ Season 3 May Happen After All

    Netflix Chief Content Officer Ted Sarandos gave a keynote speech at Film Independent’s annual confab over the weekend, suggesting that we might just see a third season of the Emmy-winning House of Cards.

    Things hadn’t been looking very promising for the continuation of the series past the second season after comments recently made by one of the producers. Earlier this month, reports came out that Rick Cleveland, co-executive producer on the first two chapters of the series, said at the Vancouver International Film Festival that the first two seasons would probably be the only ones ever produced, noting that stars Kevin Spacey and Robin Wright like to do movies.

    Showrunner Beau Williamson had indicated in the past, however, that he would like to continue on with the series, though the original Netflix deal was only for two seasons.

    Deadline quotes Sarandos as saying:

    “Our intent is that the show keep going for sure. It was a 26-episode commitment. It was not our intent that it just run for two seasons.”

    ..

    “Talks are in progress right now, so stay tuned.”

    Obviously things could still go either way, but it is somewhat encouraging that Kevin Spacey recently gave an amazing speech about the Netflix model and how it’s changing the game. During that, he didn’t strike me as someone who was ready to walk away from the show.

    I doubt money will be too big of an issue for Netflix, given that they’re planning on doubling their investment in original content. Keeping their biggest Emmy winner (so far) on the slate is probably a pretty big priority.

    House of Cards: Season 2 is due out in 2014.

    Image via Redbox

  • Netflix Earnings Out, Company Announces 40 Million Subscribers

    Netflix just released its Q3 earnings report beating Wall Street expectations.

    The company says it now has over 40 million members, up from less than 30 million a year ago. They added about 1.3 million during the quarter (11% higher than the year ago quarter), attributing this to original content like Orange is the New Black and Emmy nominations for its other shows. International net additions were “way up” at 1.4 million new members.

    As questions remain about the company’s DVD business, they remind everyone that the DVD selection includes HBO and other pay TV content, and it “continues to be a source of satisfaction for 7.15 million domestic households.” The DVD business generated $107 million in profit for the quarter.

    Here’s an overview of the results and guidance:

    Netflix Earnings

    Netflix Business Outlook

    You can get a look at the balance sheets here.

    In a letter to shareholders, CEO Reed Hastings and CFO David Wells said, “We were pleased with our global profitability for Q3. We delivered on our targets despite the faster amortization of original content, which pulled forward into Q3 about $27 million in expense from future quarters, due to more members and revenue than expected and by adjusting spending in Q3 on other items. The effect of the faster amortization of original content is small enough that we are not changing our domestic contribution margin targets (400 basis points Q over prior year Q) or our global profitability targets (stay profitable despite international investments).”

    At 5PM Eastern, Hastings, Wells and Chief Content officer Ted Sarandos will host a live video discussion. You can watch it here.

    Update: Netflix says it is open to getting into the movie business, but not so interested in sports right now.

    Images: Netflix Investor Relations

  • ‘Arrested Development’ Season 5 Or Movie Will Come To Netflix, ‘No Question’

    I’m not sure if there was really much question at this point anyway, but we now have new comments from Netflix indicating that there will be more Arrested Development coming to the service without question. The question is still whether it will be in the form of a movie or a fifth season (or both).

    It’s looking like it’s most likely going to be a movie since creator Mitch Hurwitz is already writing it. It still needs to get Fox’s blessings, but from the sound of it, that’s all that’s holding it up. Actor Jason Bateman suggested that the movie could be just for Netflix, though this is not confirmed.

    Here’s the quote from Netflix chief content officer Ted Sarandos via Reuters:

    Sarandos said there was “no question” there would be more “Arrested Development” on Netflix, either as a new series of episodes or a movie. “It is just a matter of when and what form it takes,” he said at the “The Grill,” a conference hosted by Hollywood website The Wrap.

    Sarandos recently said that Netflix intends to double its investment in original content.

    So far its other original shows House of Cards, Orange is the New Black and Hemlock Grove are all moving forward with new seasons. The second season of Lilyhammer, its first original series, has already finished, and is expected to be released this fall.

    Image: Netflix (YouTube)

  • Netflix’s ‘Sense8’ Hopes To Do For TV What ‘The Matrix’ Did For Film

    Earlier this year, we learned that Netflix secured the exclusive rights to a new sci-fi thriller series called Sense8, which comes from the Wachowskis (of The Matrix fame) and Babylon 5 writer J. Michael Straczynski.

    So far, little is known about the plot, but there’s a good reason for that. Straczynski talked a little bit about the show in an interview with Comic Book Resources:

    “We wrote the first three scripts on our own,” he says. “We specced it out, brought it to Netflix, and the funny thing is we had four days of pitches planned. Netflix was our first meeting at I think 11:00AM on a Tuesday, and then we were gonna go to HBO….”

    By 2:00, he said, Netflix had called and said they wanted the show.

    “The series is contemporaneous with current events,” he explains. “It is somewhat science fiction in some respects. It concerns eight characters around the world, who are joined telepathically with each other, or empathically, and those who are after them and hunting them to try and stop this next evolution. And the cool thing is that we’re gonna shoot this in the countries that the stories are taking place.”

    He said that shooting will take place in Mumbai, Nairobi, London, Mexico, the U.S., Germany, and possibly Russia.

    “This is gonna be a show that will be shot around the world simultaneously,” he says. “We’re gonna have five different units shooting at the same time to tell the story, and it’s gonna be ridiculously huge, and the cool thing about working with the Wachowskis…when they did The Matrix, they didn’t want to do a show like anything else they’d ever seen before, and The Matrix created a whole new cinema language. And they said, ‘If we’re gonna do television, then we have to do the same thing. We have to create a whole new vocabulary for television production…for television, which you can do in TV. And so coming into this, working with them, we’re pioneering some new techniques and new approaches in television storytelling. It’s quite extraordinary.”

    When asked about how they convinced Netflix to put up a budget for this kind of thing, he says, “The international marketplace is a large part of this certainly. We had to come at them with a production model that said we can control the costs on this. We start shooting in Chicago, doing our stuff on set, jump out, blow out the set, jump out to locations in and around Chicago, then we jump out to our individual locations having four or five units shooting at the same time….mainly outside locations….using local production teams – camera teams – so that each area has its own distinct look, and we did the budget, worked it out, and said we can make this for this kind of money, and they said, ‘Go for it.’”

    He didn’t give any figures, but it certainly makes you wonder just how large the budget for this project is. It’s even more interesting to consider in light of recent comments from Netflix content chief Ted Sarandos, who said last week, that Netflix will be doubling its budget for original content over the coming years.

    “Each episode cuts back and fourth though,” Straczynski says of the Sense8 format. “Your anchor is the original stuff you started with on set. That kind of sets your style and your tone…”

    He says each location will have its own look, but the set stuff will provide a general continuity.

    He said he wouldn’t go much beyond that in terms of the plot, because “they like to keep things very close to the vest,” and he supports that. He says that’s why there isn’t much online about the story.

    “What we’re doing is really kind of new and innovative,” he said, adding that he didn’t want to have someone else eat their lunch.

    He did say he’ll be directing the London sequence. They’ll be shooting about three weeks in London next year.

    “Andy and Lana Wachowski and Joe Straczynski are among the most imaginative writers and gifted visual storytellers of our time,” said Sarandos when the project was announced. “Their incredible creations are favorites of Netflix members globally and we can’t wait to bring Sense8 to life.”

    “We’re excited to work with Netflix and Georgeville Television on this project, and we’ve wanted to work with Joe Straczynski for years, chiefly due to the fact his name is harder to pronounce than ours, but also because we share a love of genre and all things nerdy,” said Andy and Lana Wachowski in a joint statement at the time. “Several years ago, we had a late night conversation about the ways technology simultaneously unites and divides us, and out of that paradox Sense8 was born.”

    So far, Netflix has hardly disappointed with its original content offerings, and from the sound of it, Sense8 could its most ambitious project yet. It’s hard to say when we’ll see the first season debut, since it doesn’t even start shooting until next year, but it’s scheduled for sometime in late 2014. It will start with ten episodes.

    Image: Comic Book Resources

  • Netflix Is About To Double Its Original Content Investment

    Netflix content chief Ted Sarandos spoke to at the RTS Cambridge Convention, where he revealed that the company plans to double its spending on original content in the coming years.

    According to The Hollywood Reporter, Sarandos said that originals are currently at ten percent of the budget, and that they expect them to grow to twenty percent.

    While Netflix launched its first original series, Lilyhammer, in 2012, 2013 has clearly been the year of Netflix. The company started off strong early in the year with the nine-time Emmy-nominated House of Cards, before quickly following with Hemlock Grove, Arrested Development and the much-talked about Orange is the New Black.

    Since then, the company has quietly put out the kid/teen-targeted Mako Mermaids (which has new episodes debuting this weekend), and this week, it just launched the Ricky Gervais dramedy Derek.

    The company has also been releasing a number of exclusive stand-up comedy performances from comedians like John Hodgman, Rob Schneider, Doug Stanhope, Mike Birbiglia and Kathleen Madigan. Netflix made headlines with news that it would be releasing other exclusives from Aziz Ansari and Russell Peters (which includes both a stand-up special and a “docu-series”). A special from comedian Marc Maron is also reportedly in the pipeline.

    Other Netflix originals that are expected to debut in the coming year include Marco Polo, Narcos and Sense8, not to mention the stuff we’ll be seeing from the big DreamWorks animation deal Netflix announced back in June.

    Second seasons of Lilyhammer, House of Cards, Hemlock Grove and Orange is the New Black are all on the way. An Arrested Development movie (which Netflix will likely be involved with) is in the works, probably along with another season eventually, and Ricky Gervais has already indicated he’ll do another season of Derek (it’s not yet clear if Netflix will be involved, but it seems very likely).

    And that’s just the stuff we know about. It sounds like we’re going to be hearing about a lot more Netflix originals in the not too distant future. It will be interesting to see if this has a significant impact on the amount of non-original content it licenses. So far, it hasn’t been much of a problem.

    Word is that all of this original content is making subscribers want to stick around, which should certainly please investors. The company’s stock hit a record high this week, by the way.

    Image: Orange is the New Black (Netflix)

  • Arrested Development Returning To Netflix Appears To Be ‘Definite’ And ‘Absolute’

    Arrested Development Returning To Netflix Appears To Be ‘Definite’ And ‘Absolute’

    It was already highly likely that we were going to see Arrested Development come back to Netflix. Both creator Mitch Hurwitz and executives at Netflix have expressed great interest in developing the show further, but nothing has been official.

    Well, it’s still not exactly official, but it’s looking like less and less of a question of inevitability.

    Chortle reports on a Q&A that Hurwitz and Netflix Chief Content Officer Ted Sarandos engaged in at the Just For Laughs comedy festival in Montreal. When asked if the show would be returning, Hurwitz reportedly responded with a “definitely.” Chortle recaps:

    Then, turning to Netflix chief content officer Ted Sarandos, he said: ‘I don’t want to get into a whole negotiation right now… but I’ve got a family to feed.’

    He added: ‘I keep thinking about it, and why don’t we do the movie version of this and then do the series, because this series kinda peaks with the story?…I kinda go back and forth between that and a series. But here’s the most important thing, whatever we do, I want to get the cast all together and not do another anthology thing, and that’s why I keep thinking about kicking off with a special or a three-part show and then going into a series.

    According to the report, Hurwitz then asked Sarandos if he is game for that, to which he reportedly responded, “Absoultely. In any form.”

    It seems like another season would be the most satisfying for fans, as it would mean a lot more AD than a two-hour movie (or however long it would actually be), but it might be easier for them to get the cast together for just a movie.

    Either way, it sounds like we can expect more Arrested and Netflix will likely be involved.

    [via Uproxx]

  • Netflix Could Totally Double New Content Next Year Says Ted Sarandos

    Netflix Could Totally Double New Content Next Year Says Ted Sarandos

    If you were Netflix, with the massive success of House of Cards, the love-it-or-hate-it buzz generated by Hemlock Grove, and the pure madness surrounding the launch of season 4 of Arrested Development – why wouldn’t you want to expand your content offerings?

    In a lengthy interview with The Hollywood Reporter, Netflix’s Content Chief Ted Sarandos hints at just that – possibly doubling Netflix’s content output next year (by the end of 2013, they will have put out 8 new shows).

    “It’s feasible that we would double the load that we did this year. People’s tastes are wildly diverse, and I want to be able to appeal to all of those tastes and across demos. Hemlock Grove is totally different from House of Cards. Orange Is the New Black is a very different show. I think we can support a lot of specific tastes,” said Sarandos.

    As far as what kind of specific tastes, Sarandos says that sci-fi is a good direction, as is “tween” content.

    Also, sitcoms and comedy:

    “And then we’re doing quite a bit in the original standup comedy space, too. Bill Burr, for example, is somebody who has had a great cult following, and now his audience is getting so large from him being on Netflix. He is touring in all of the parts of the world where Netflix is, like Norway and Finland, because he has an audience there now. So, we’ll definitely be competitive [with HBO and Showtime] in that space. it’s also a great way to cultivate talent for future scripted projects,” he said.

    But as far as original movies go – Sarandos isn’t quite sold on the idea…yet:

    “The reason why I’ve shied away from original movies has been that there are so many more great movies that get made than ever get distributed, and I think we function better as a distributor for movies than we do as a creator or marketer of movies for now. But I probably would have said the same thing about TV shows three years ago.”

  • Netflix Access Slows BitTorrent Activity, Says Netflix’s Ted Sarandos

    Netflix Access Slows BitTorrent Activity, Says Netflix’s Ted Sarandos

    Netflix’s Chief Content Officer Ted Sarandos (the guy who has led content acquisition since 2000) thinks that the best way to curb piracy is to give the people some good alternatives.

    “I think people do want a great experience and they want access – people are mostly honest. The best way to combat piracy isn’t legislatively or criminally but by giving good options,” he said in a recent interview with Stuff.

    Why does he think this? Well, he has some stats to back it up. Apparently, access to Netflix in any particular region is kind of a torrent killer.

    “One of the things is we get ISPs to publicise their connection speeds – and when we launch in a territory the Bittorrent traffic drops as the Netflix traffic grows,” said Sarandos.

    So, going by that and that alone, it would seem that at least a good proportion of people who illegally download TV shows and movies simply do so because they lack an alternative. Maybe, if they had an alternative, they would take it.

    Of course, BitTorrent activity is not limited to piracy, so a decline in BitTorrent traffic doesn’t automatically equate to a decline in the downloading of TVs and movies. I spoke to BitTorrent Director of Communications Christian Averill, who clarifies that BitTorrent sees much of its traffic for actions not related to internet piracy.

    “The key thing is that BitTorrent is a Internet protocol, like HTTP. It moves data better than any other protocol. It’s an award winning technology used by Facebook, twitter, Wikipedia, Blizzard, genetic researchers and the scientists that are working on the Large Haldron Collider. Any company moving large data sets uses BitTorrent,” he says.

    But the fact remains, although it’s out of their control, people use BitTorrent to download content. And a decline in its activity when Netflix becomes available certainly suggests that people are turning to a “legitimate” source of content like a paid streaming service, at least when it’s available.

    We can turn to HBO for more proof of this concept. Remember that “Please Take My Money, HBO” campaign that spread on Twitter last year? Sure you do. Thousands upon thousands of people took to Twitter to beg HBO to simply offer an HBO GO-style streaming service free of the ties of a cable subscription. They said that they would gladly pay for it – an average of $12+ a month if I recall.

    After dismissing it originally, it appears that the company has softened to the idea – if just a bit.

    Remember, HBO’s Game of Thrones was the most pirated show of 2012 and its season 3 premiere episode broke torrent records a few weeks ago.

    Would all of these pirates stop pirating if they simply had more legitimate streaming options?

    “One of the side effects of growth of content is an expectation to have access to it. You can’t use the internet as a marketing vehicle and then not as a delivery vehicle,” Sarandos added.

    You listening, content providers?

  • House of Cards Is the Most-Watched Thing on Netflix Right Now

    House of Cards Is the Most-Watched Thing on Netflix Right Now

    As you may have expected from all of the buzz surrounding the new Netflix original series House of Cards, it’s incredibly popular. Just how popular?

    Well, according to Netflix’s Chief Content Officer Ted Sarandos, it’s the most-watched show on Netflix in every single one of their markets. Here’s what he had to say at All Things D’s Dive Into Media conference:

    “We’re not doing ratings, [but] we’re thrilled with the numbers,” said Sarandos. “It’s the most watched thing on Netflix in every country we operate in.”

    Sarandos went on to confirm that “most-watched” means both in number of total hours watched as well as number of total people watching.

    Sarandos said that we should expect a time when great original series premiering on Netflix isn’t really “news” anymore:

    “I think the 13 episodes at the same time, the fact that it was on Netflix, the fact that we premiered something on Netflix, the fact that we did something we’ve never done before – we created an international content brand on Netflix. So this was a news story in a bunch of different ways besides the fact that the show was good.

    And the show, by the way, is really great, which really helped. But I think it became and interesting news story…but over time it won’t be as novel for sure because we’re going to do a lot of these shows.”

    Of course, what matters here for Netflix is if series like House of Cards can increase signups and keep people signed up.

    “Engagement really matters to Netflix. The more people watch, the longer they stay, the more they tell their friends. There’s a real direct correlation with engagement and retention,” said Sarandos.

    If you haven’t checked it out yet, you should. It’s a juicy, well-acted, gripping political thriller. And all 13 episodes are available to stream at once so you can binge. You know, if that’s your thing (and Netflix hopes that it is).