Netflix is at risk from the same trends that initially made it such a popular and lucrative product. jbarro writes
Nice to have — but a requirement anymore? Photo: Thomas Trutschel/Photothek via Getty Images That’s the question Tara Lachapelle of Bloomberg News was asking even before the company’s weak report on second-quarter subscriber growth. By 2021, Netflix will have lost its two most-watched shows in the U.S., Friends and The Office.
Going all the way back to its time as a DVDs-in-the-mail business, Netflix prospered by being the go-to way to watch old content. You had cable for watching what’s on TV right now, and you had Netflix for watching things not currently broadcast. Then, as a growing minority of households gave up cable and satellite service, they started leaning even more heavily on Netflix for day-to-day entertainment. And Netflix began making major investments in original content.
Lachapelle notes this situation is likely to be negative for consumers in the medium term, who will face the choice of paying for multiple streaming services or giving up access to many of the shows they enjoy. The service offerings are likely to break down along the lines of which studios own what content, but that doesn’t seem likely to lead to rational product bundles, as nobody is really a WarnerMedia or NBCUniversal “fan.
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