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by Cthulhu_
3511 days ago
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Good TV shows don't need big budgets. A show like House of Cards does without special effects or CGI, whilst still being a highly popular show. Another factor is that Netflix is a multinational; if a (cheap?) show doesn't work in one country, it might work very well in another one. (see the Warcraft movie as a movie example; did okayish in the west, was a huge hit in China). |
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But it still works as a good example of the economics: "With Netflix spending a reported $100 million to produce two 13-episode seasons of House of Cards, they need 520,834 people to sign up for a $7.99 subscription for two years to break even. ... That sounds daunting, but at the moment, Netflix has 33.3 million subscribers, so this is an increase of less than 10 percent on their current customer base."[2]
[1] http://variety.com/2013/digital/news/caa-agent-discloses-net... [2] http://www.theatlantic.com/technology/archive/2013/02/econom...