Netflix has been one of the fastest-growing streaming services in recent years. In addition to offering great movies and T.V. titles, users have had faster internet access. The company has invested heavily in self-produced content that has greatly pleased the public.
Netflix is the most popular streaming platform in the world. Although it was one of the pioneers of the modality, it currently competes with heavyweights that came from technology, such as Apple T.V., cinema, such as Disney, and e-commerce, such as Amazon Prime Video.
What Is the Net Worth of Netflix?
Netflix's net worth as of September 2022 is $97 billion U.S. dollars based on market capitalization, with a brand value of 29.41 billion U.S. dollars showing an increase of 17.92% from 2021. In 2022, Netflix generated revenue of 31.03 billion U.S. dollars with a profit of 12.60 billion U.S. dollars.
The revenue shows a 12.49% increase year-over-year, while the profit presents an 8.09% rise year-over-year.
While the net income of Netflix for the year 2022 is around $5.095 billion U.S. dollars, a 16.01% increase year-over-year.
Now that we have talked about statistics, let’s see what Netflix does and what the brand provides the services.
How Does Netflix Work?
As we said, Netflix is a streaming service. That means you choose what you want to see and can watch it whenever you want.
Most content is watched online, so the better your broadband connection, the better the internet signal to use the platform without the video crashing.
However, you do have the option to download your series to watch offline. We'll talk about that later.
An Overview of Netflix
Marc B. Randolph and Wilmot Reed Hastings are the creators of Netflix. They founded the company in 1997. Netflix’s initial project stems from the idea of renting DVDs by mail. Thus, a year later, the company's website was launched to fulfill this objective. In 1999, a type of subscription service debuted, and with that, DVDs could be rented by people without a monthly limit or late fee.
Currently, Netflix offers video streaming, allowing instant access to movies, series, documentaries, shows, and animations in the catalog. The service is available in 190 countries and in over 30 languages. With that, the sum of subscribers around the world is about 200 million, according to the platform.
The current business model began in 2007. According to the company, Netflix's mission is to make accessing movies and other content simple. So, register on the site and choose one of the available monthly payment plans to have infinite access to the titles.
How Does Netflix Make So Much Money?
Netflix's major source of income comes from subscriptions. The subscription costs between $10 and $20/month. According to the company's statement, this makes their monthly income about $950 million. Netflix also earns around $30 million/ month via DVD rentals. The net income or profit is about $400 million/ month.
Netflix has also offered original productions in addition to streaming third-party films and series. Some of the famous original series are:
- 13 Reasons Why
- The Crown
- Squid Game
- Orange is the New Black
- Stranger Things
- House of Cards
The brand's first original film, Beasts of No Nation, was released in 2015. This way, people are more likely to subscribe and keep subscribing if Netflix offers exclusive content they can't see anywhere else.
How Much Does It Cost to Subscribe to Netflix?
Netflix currently offers three types of plans in the U.S. The differences between these plans are how many people can access the platform simultaneously and the quality of the video definition.
The payment is charged every month.
Plan Price (USD/month) No. of Screens Definition/Resolution Basic 10$ 1 S.D. (Standard Definition) Standard 15.50$ 2 H.D. (High Definition) Premium 20$ 4 Ultra H.D. (Ultra High Definition)
How Is the Monthly Fee Charged?
When you subscribe, you will register a payment method, and the monthly amount will be charged to it every month until you cancel. Payment methods can be consulted on the company's website.
The billing day will be the same as your registration. If you subscribe on the 5th, for example, every 5th day, the monthly fee will be charged.
Cancellation is free of charge and can be done at any time.
Netflix's 1st month of free.
Netflix offers a free month for everyone who subscribes or wants to try the platform.
If you like it, you don't have to do anything: the monthly fee will be charged automatically. If you don’t like it and want to unsubscribe to Netflix, cancel before renewal (the same day you signed up).
Downloading Content From Netflix
One of the main features of the platform is the possibility of downloading titles to watch offline.
This option is great for those who like to follow their series daily and want to watch their episodes on the bus or in some free time, for example, and want to save the internet.
Content can be downloaded from mobile devices with iOS and Android systems and computers and tablets with Windows 10. You need to have the application installed on your cell phone.
Advantages and Disadvantages of Netflix
Let’s look at the advantages first.
1. Simple and easy to use
There is no need to mount any devices or install any software. If you use this streaming service on your computer, go to netflix.com and log in.
On the other hand, if you want to watch Netflix content on a mobile gadget like your smartphone or tablet, you'll have to download the mobile app (available for iOS and Android ).
2. There are no ads
One of the most annoying things when watching movies or series is having your viewing interrupted by ads. The Netflix service is completely ad-free.
3. Original Content
The Netflix library is quite rich. In addition to providing series and movies that have just been released or been out for a while, Netflix produces content that you won't be able to find anywhere else.
4. View content offline
Netflix allows the user to download content and then watch it offline. This is an extremely useful feature.
5. Different subscription plans
You can choose the subscription plan that best suits your needs. And you can change this plan whenever you want by upgrading or downgrading.
6. Affordable Service
Price is always important when discussing the advantages and disadvantages of a service. Considering what it offers the user, Netflix is an affordable service, paid monthly.
Now we’ll look at the downside of Netflix.
1. The latest content is not available right away
If you're following a series on Netflix, you must know that the last episode won't be available as soon as it comes out (even if the previous seasons are already in the library). However, series and movies produced by Netflix will only premiere in this location. As for external content, you will always have to wait a little longer.
2. Outdated library
Not only does Netflix not immediately post new episodes of some series and some movies, but the library is a little outdated and limited (and varies depending on the country where you are).
The service takes a long time to update the library and add new content. Many users complain about this. Compared to Amazon Prime, Netflix here leaves something to be desired.
3. Content selection depends on location
This is the main flaw of Netflix. If you live in the U.S., the content selection is excellent, and there is a huge range of movies and series. But if you live elsewhere, you're likely disappointed with the offer. The selection of content depends on the country you live in.
With an approximate net worth of $97 billion, it’s hard to think that this entertainment/media company is going anywhere anytime soon, as it invests in its production business and gets new subscribers daily.
Netflix is good to use as a subscription service that allows you to watch movies and series online. Streaming can be accessed from T.V., computer, PlayStation 3, tablets, and cell phones, and the service comes for a minimal price. An advantage of subscribing to it is its extensive catalog and the existence of programming for all tastes, such as cartoons and anime.
The use is quite satisfactory, although it requires a connection with good speed so that the movies do not freeze.