Netflix may be in trouble if it doesn’t diversify, expert says.
The past two months may have provided some long-awaited good news in the US and UK, where vaccinations are booming and businesses are reopening. However, Netflix – which has thrived in those markets after millions turned to the service during the pandemic – is now feeling the strain: Shares of the streaming giant have fallen nearly 11% this month.
The decline follows Netflix’s first-quarter shareholder letter, in which it explained that new subscriber growth had slowed significantly in the latter stages of 2020 due to a lack of new blockbuster content caused by downturns in production based on Covid-19. In the second quarter of 2021, it predicts just 1 million paid net adds, down from 10 million in the second quarter of 2020 – no surprise, as people start going back outside to try and get their gas back of pre-pandemic normality.
However, this promise of new content later in the year is not enough to increase engagement and turn the company around, according to Peter Garnry, head of equity at Saxo Bank, specialist in commerce, investment and technology. Instead, he called on Netflix to go beyond its usual mission, branching out to become a hybrid video streaming and gaming service to cater to ever-growing audiences.
In an article for Saxo, Garnry said he thinks it’s time for Netflix to get a head start and embrace gaming, first through the esports showcase on its service. , then potentially offering something to rival Apple Arcade.
Speaking on the Saxo Market Call podcast on April 21, he explained: “Netflix says it’s not competition from video streaming or ‘linear TV’ that’s the problem. They imply that gaming is taking eyes away from video streaming, and more from e-gaming streaming and gaming as a business. Where Netflix is a passive type of entertainment, gaming is a much more addictive and active type of participation.
“Netflix […] recognizes gaming as an important part of entertainment.”
Garnry went on to explain that Netflix should broaden its outlook as a business, explaining that the first thing to do is to completely redefine its offering as more than on-demand video production and streaming.
He said, “If Netflix sees itself not just as a video streaming service for traditional television, but as an entertainment house, they should probably do video game streaming and […] get into production and the sale of video games.
“It would be a natural thing for them to do. They have the brand and global distribution, which can be an interesting angle for Netflix. »
While the company undoubtedly has the streaming firepower to meet those demands, the jury is still out on Apple Arcade, and Netflix’s entirely different demographics mean a move to gaming will likely focus on casual titles. . Of course, any serious commitment to game streaming can require hardware, as is the case with Google Stadia – and we all know how that goes.
What radio stations are in Grand Theft Auto V?
Ready for a sonic journey through the steamy streets of Los Santos? Hold on tight, the GTA V adventure wouldn’t be complete without explosive background music! In this article, we reveal all the radio stations that set the pace for…
Where to find submarine parts in Grand Theft Auto 5?
GTA 5 enthusiasts, you’ve come to the right place! Do you dream of taming the mysteries of the ocean by controlling your own submarine, but you’re missing those pesky submarine parts? Journey with me into the whirlwind universe of GTA…
What gangs are present in Grand Theft Auto 5?
“Prepare to dive into the fast-paced and tumultuous world of Grand Theft Auto 5! Far from the beautiful cars and sophisticated weapons, we’re going to introduce you to the gangs, these true pillars of the insurgent life of Los Santos.…
How to become a Grand Theft Auto 5 pro with these tips?
Ready to turn Los Santos into your playground? Embark on a high-speed ride through the urban jungle of GTA 5! Through this article, unlock the full potential of your avatar and become the undisputed king of virtualized banditry. Unspeakable tricks,…
Where to find all map items in Grand Theft Auto V?
Ready for another adrenaline-filled journey through Los Santos? Put on your virtual jacket, charge your controller and step on the accelerator to go hunting for the hidden treasures of Grand Theft Auto V. Let me guide you through this urban…
How to change skin on minecraft
How to change skin in Minecraft on PC?Method 2 of 4: No download Go to Planet Minecraft and choose a skin there. … Click “Upload to Minecraft” or “Change Skin”. You should be redirected to the official Minecraft page. ……
How to unsubscribe from PlayStation Plus
How to cancel PlayStation Plus auto-renewal? Go to Settings > Account Management > Account Info > PlayStation Subscriptions. Select the subscription you want to cancel. Select Turn off auto-renewal. How to remove a PlayStation Network credit card?Sign in to PlayStation…
How to download full free xbox 360 games
How to buy a gym on Xbox 360?Purchasing Xbox 360 Content Once you’ve selected your content, simply click the Download to Xbox 360 button to begin the purchasing process.How to buy an Xbox 360 game on an Xbox One?Players with…