eli5 how a streaming service like Netflix acquire content?

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What’s the process to acquire content? Do they pay for access for a whole series or based on the views after it’s on their platform?

In: Economics

3 Answers

Anonymous 0 Comments

They pay for access. It’s called licensing. They have licensing agreements with the production companies that allow them to sell content. The more popular a show/movie is expected to be, the more it costs to license it.

Netflix also produces some of its own content such as Stranger Things and Orange is the New Black.

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