After 146 days, WGA has reached a tentative deal with Hollywood studios, which is one of the steps need to get film and television production going again. Needham & Co. Senior Analyst Laura Martin explains how strikes could impact the volume of content that streaming services produce. “Wall Street is demanding they.. move to profitability faster,” Martin says. For streamers, this could mean cutting down seasons by filming fewer episodes—“less content spending”, as Martin notes. Martin expects consolidation in the industry, which will help “get rid of duplicative costs.” In regards to smaller streamers, Martin states that due to large competitors such as Amazon (AMZN) and Netflix (NFLX) “there’s no advantage to being small.” For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
As Netflix has demonstrated, once you reach a certain scale, you can turn user engagement into significant profit and gushing cash flows. Roblox (NYSE: RBLX) and Roku (NASDAQ: ROKU) are both much earlier on in their growth stories. Today, the companies count about 70 million users each compared to Netflix's pool of 240 million subscribers.
In his journey from nightclub promoter to a senior manager in Netflix’s global creative marketing team, Aaron Lynch has learned how to leverage his unique experiences as a black man.