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State of the Screens

In Race to Beat Netflix, Studios Give Up Billions In Profits

By February 28, 2019No Comments
The big gamble: Networks like Disney and WarnerMedia are launching their own direct-to-consumer services and, in some cases, pulling content from competing services (Netflix, etc.)

Estimated content spend from licensing:
1)
Netflix — $5B
2)
Amazon — $4B
3)
Facebook — $1B

Disney will forgo ≈ $500M annually from Netflix alone.

Captain Marvel will be the first Disney movie to stream exclusively on Disney+.

Top content spenders according to RBC Capital Markets:
1)
Disney — $23.8B
2)
AT&T — $14.3B
3)
Netflix — $14.0B

Listen: “Hollywood is now irrelevant,” says IAC Chairman Barry Diller

More #1: Reality Is Closing In On Netflix

More #2: Disney-Lucasfilm Deal Part XI: Disney Will Make A 107% Return on Lucasfilm Acquisition (And Other Conclusions)

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.

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