Differentiating its local original content from that of local broadcasters will help Netflix succeed in what he termed "a television starved market", speaking at the MoffettNathanson Annual Media & Communications Summit in NY.
Chief Content Officer at Netflix Ted Sarandos estimated 85 percent of the company's total spending is going to new shows and movies, TechCrunch reports.
Netflix is expanding its original content and planning to flood its streaming service with new original films in an effort to compete with Hollywood studios. But prices do eventually go up, and for a company such as Netflix, finding that maximum price customers are willing to pay for something is always a mix of science and guesswork.
Usually SVOD platforms raise their subscription rates seldom but a recent survey found that Netflix subscribers might be willing to pay even more than they do now.
The company also said that there are still almost 470 shows to be released this year alone. That's an average audience of more than 9 million viewers per film.
Plenty of content has already been announced for the coming days and weeks (May's lineup of new content is right here), but Sarandos revealed during his talk that 80 movies will hit Netflix this year, including cheap indie films and big blockbusters like Bright. Investors have so far endorsed the strategy as Netflix subscriber rolls keep booming, sending shares soaring 70% this year to $326.13.
Some in Hollywood worry their films will get lost in the sheer volume of new Netflix movies. "The creators we're talking to, they watch Netflix and they want to be on our network".
De Niro said he was thrilled that Netflix opened its checkbook for the movie, which includes costly special effects to make the actors appear as younger versions of themselves in parts of the film.