How do people get paid from movies/tv shows that are on streaming services?

Question

Are all involved with the project (actors/director, etc.) paid upfront and Netflix or whoever gets the payments per stream? Or are royalties paid?

In: Economics

Answer 1

Netflix gets paid by it’s subscribers.

They buy shows to stream. Usually for a per viewing fee, but it depends how they negotiate.

Increasingly shows are produced with actors/composers etc demanding a per viewing fee, even for shows made directly by/for streaming services. To an extent this was part of the recent strikes.

This puts streaming services in an interesting position where they actually loose money every time you watch anything. So shows can be removed when they have finished drawing in new subscribers, even if the streaming service themselves commissioned it. Actually saves money to delete their own work.