Most recently, Ted Sarandos, Co-CEO of Netflix, indicated that he does not currently see a profitable future in live sports on the streaming service.
No Sports For Netflix
Sarandos said the economics of professional sports were structured around the economics of television – and buying rights is pricey.
Sarandos stated at the UBS Global TMT conference, “We’ve not seen a profit path to renting large sports today.”.
The attraction of major athletic events like the Super Bowl, according to Sarandos, is not necessary for Netflix to increase its subscriber base. He expressed “confidence” that the service’s user base could grow by 50% without live sports broadcasts, although he did not rule out the possibility.
We’re not anti-sports; we’re pro-profit, as Sarandos put it. “We are still trying to figure out how to accomplish it.”.