Netflix and the Conservation of Attractive Profits - Stratechery by Ben Thompson
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Netflix and the Conservation of Attractive Profits - Stratechery by Ben Thompson
Why is streaming less profitable? Starting with economic theory, unbundling digital information goods inherently reduces profits and streaming is unbundling TV.
Doug Shapiro • One Clear Casualty of the Streaming Wars: Profit
Notice, though, the trouble this Internet reality presents to Netflix: if content is abundant and attention is scarce, it’s easier to sell attention than content; Netflix’s business model, though, is the exact opposite.
Ben Thompson • The Case for Netflix to Add an Ad-Based Tier
Phil Carter on LinkedIn: One challenge every consumer subscription business faces is the difficulty…
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