Stupidity

by Mike Masnick


Filed Under:
hollywood, licensing, piracy, streaming

Companies:
netflix



Hollywood Still Trying To Kill The Golden Netflix Goose

from the incredible-mistake dept

Netflix has made its share of mistakes lately in dealing with its customers, but the company's biggest problem may be that Hollywood is so jealous of its success that it's now seeking to kill off the company's service by refusing to license movies and TV shows to Netflix. This isn't a surprise. We've seen similar stories over the past year or so, but the fact is that Hollywood is so short-sighted that it's trying to hold back the tide, and in the process, causing itself more harm. Netflix isn't "the enemy." It's found a way to offer a good service that many people want and use at a price point that makes sense.

Of course, it's that part that makes Hollywood freak out. They fear the "threat" of new business models that undercut their legacy deals, and that means they want Netflix to boost prices, put even more annoying limitations on use and greatly delay and limit selection—because they stupidly think this will drive more people to the more expensive offerings from the studios themselves. The're wrong. All this does is drive more people to piracy, while killing off one of the few services that was allowed (if briefly) to effectively compete with "piracy" by offering a better overall service.

The problem for Hollywood doesn't appear to be piracy. It looks like it's Hollywood's own fear of piracy that is leading it to make really short-sighted decisions.

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  1. icon
    jupiterkansas (profile), 20 Apr 2012 @ 8:17am

    Re: Never Understood

    Um.... they have already started doing this.

    "So far that plan for content has led to five show commitments in the U.S., including Lillehammer, starring Steve Van Zandt, which has already premiered; and the upcoming House of Cards, directed by David Fincher and starring Kevin Spacey; and a new season of the cult series Arrested Development. They also have coming Hemlock Grove from horror director Eli Roth, which Sarandos described as Vampire Diaries meets True Blood."

    http://www.hollywoodreporter.com/news/netflix-ted-sarandos-original-content-309275

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