By alexandreBusiness

Netflix Eyes IP Deals Rather Than “Stressed” M&A Assets, Plays Down Plans To Syndicate Originals

Netflix Eyes IP Deals Rather Than “Stressed” M&A Assets, Plays Down Plans To Syndicate Originals

Netflix, the leading streaming service provider, is shifting its focus from acquiring “stressed” assets through mergers and acquisitions (M&A) to striking partnerships and licensing deals for intellectual property (IP). The company is also downplaying its plans to syndicate its original content.

Shifting Focus to IP Deals

Instead of pursuing M&A, Netflix has now turned its attention to securing partnerships and licensing IP rights. The shift in strategy comes as the company aims to expand its content library with popular shows and movies that already have an established fan base. By acquiring the rights to popular IPs, Netflix can attract a larger audience and ensure a steady stream of content that resonates with viewers.

This strategy also allows Netflix to avoid the risks associated with acquiring distressed assets through M&A. Acquiring struggling companies or assets can be costly and time-consuming, with no guarantee of success. By focusing on IP deals, Netflix can mitigate these risks and instead invest in proven content that has already demonstrated its popularity.

Downplaying Syndication of Originals

In addition to shifting its focus to IP deals, Netflix is also playing down its plans to syndicate its original content. In the past, the company had explored the possibility of selling the rights to its shows and movies to other platforms or networks. However, Netflix now believes that keeping its original content exclusive to its own platform is the best way to retain and attract subscribers.

The decision to keep original content in-house is driven by the unique business model of Netflix. Unlike traditional networks or cable channels, Netflix relies on a subscription-based revenue model rather than advertising. By offering exclusive access to high-quality original content, Netflix can differentiate itself from competitors and maintain a loyal subscriber base.

Expanding Content Library

With its focus on IP deals and retaining original content, Netflix aims to expand its already vast content library. By partnering with established brands or acquiring popular IPs, the company can offer a diverse range of content that appeals to a wide audience. This strategy aligns with Netflix’s goal of becoming the go-to platform for all types of entertainment.

By expanding its content library, Netflix also ensures that it stays ahead of its competitors. With the rise of other streaming services, such as Disney+ and Apple TV+, competition in the streaming industry has become increasingly fierce. By constantly adding new and exciting content to its platform, Netflix can maintain its position as the leading streaming service provider.

Netflix’s shift towards IP deals and downplaying plans for syndication of original content reflects the company’s strategic approach to content acquisition and retention. By focusing on proven IPs and keeping original content exclusive, Netflix aims to attract and retain subscribers while staying ahead of the competition. With its expansive content library, Netflix continues to solidify its position as the leading streaming service provider in the industry.