Earlier quoted context omitted.
Maybe a stupid questions but what if they disrupted not just TV but also cinema? I assume that the distribution of films around the world is more limited than we think. At some point when Netflix has a much larger subscriber base, it may make more sense for films to be released directly to Netflix for global consumption. They could even be clever about it and have it only open for "live showings" at specific hours or…
>Maybe a stupid questions but what if they disrupted not just TV but also cinema? They are trying. Crouching Tiger, Hidden Dragon 2 is being released simultaneously in theaters and on Netflix. Some chains complained and are refusing to show it. But honestly, I don't see it. Cinema is $10-15/person/visit, and Netflix is $10/mo for an entire library of content. Profit margins for Hollywood aren't that great - so how do…
For ex: (10 million movie-goers * $10 tkt price =$100 m rev)
(100 million Netflix users * $1(considering that Force Awakens title in Netflix library is being accessed by 1/10th of total library and N'flix is paying Star Wars accordingly) =$100 m)