Netflix is pleased with progress in India

Last Updated 23 January 2018, 16:19 IST

Netflix Chief Executive Officer and founder  Reed Hastings said he is  very much pleased with the progress that the company is making in India.

Announcing the fourth quarter results on Tuesday, Hasting said when comparing the performance of the company in Latin America several years ago he is pleased with the progress made through India, through South East Asia and Japan.  

"We're seeing growth penetrations that look like the first couple of years of Latin America which as you know has worked out very well for the company," he said.

The streaming company, which announced its results on Monday, said its streaming revenue grew 36% to over $11.6 billion, adding 24 million new memberships compared with 19 million in 2016.

Netflix is  available in 200 markets worldwide and is expected to spend between $7.5 billion and $8 billion on content for 2018.

Commenting on Disney Fox becoming the owner of Hotstar in India, Hasting pointed out that  YouTube gets the most streaming in India but Hotstar gets the second most.  

"So it's not a widely different landscape. So that wouldn't particularly change our view in India. Hotstar is a great competitor and sometimes collaborator now and I'm sure that would continue to be under Disney,"

The company achieved  for the first time a full-year positive international contribution profit and more than doubling its global operating income.

Shares in Netflix Inc rose 9% to a record high in pre-market trading on Tuesday.  Netflix said it added 6.36 million subscribers in international markets in the fourth quarter, beating analysts' expectations of 5.1 million.

By delivering online, Netflix is available in some 200 markets worldwide, with the goal of being a global TV network, and now produces programs in several languages.
Netflix said it expects to spend between $7.5 billion and $8 billion on content for 2018.

In a related development, the company crossed the $100 billion mark for its market cap after the thumping performance during the fourth quarter reslt announcement.  

Netflix, which is facing heated competition from Hulu (17 million subscribers)   and Amazon Prime Video (around 90 million customers), is expanding its presence by producing original shows as it helps the company to expand market share from traditional cable TV providers.

(Published 23 January 2018, 15:28 IST)

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