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Viewing report
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Netflix Cloud TV - Profile, Technology Strategy, and Implications
Ovum, Feb 2011, Pages: 13
Introduction
Netflix has forced all parties in the content value chain, from studio to broadcaster to pay-TV operator and consumer electronics manufacturer, to ask themselves how far can its commercial and technology model go. In this paper Ovum examines its commercial and technology strategy.
Features and benefits
- This study is essential reading for any party looking to understand the logic and risk behind the Netflix model.
- Examination of the breakdown of cost structure of Netflix and the rationale behind the its move to the Amazon Web Services platform.
- Analysis of the impact and rate of Netflix's transition from a distributor of packaged media products to a digital media aggregator and distributor.
Highlights
Analysis of Netflix's cost base and the impact of its transition from a packaged media distributor building brand and customer channel through investment in postage to a leading streaming media business.
This study looks at the reasons behind Netflix's success, how it has structured itself operationally, the impact of device integration and how it manages platform fragmentation, and what true 'cloud' infrastructure means for a streaming video service provider such as Netflix.
Your key questions answered
- What are the benefits to Netflix of moving to the AWS platform, and what systems are deployed in this environment?
- How much are CDN and digital transport changes costing Netflix per user, and how stable are these costs?
- What is the exposure to Netflix of the increase in its streaming content licensing costs?
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