Netflix: History and Impact

 Netflix was invented by Reed Hastings and Marc Randolph in 1997. It started off as a movie rental service based in Scotts Valley, California. Customers would go online, select a movie, and it would be delivered to their door. Once the customers were done watching the movie, they would ship it back and then they could rent another. The problem that they were trying to solve at the time, was movie rental service for people who didn't have a physical storefront (like a Blockbuster) near them. It did just that, and about two years after the launch, Netflix switched to a subscriber-based business model. This switch happened in 1999. In 2007, video streaming began. This changed the people the way people watched movies and TV forever. Blockbuster could not compete with the much more convenient subscription service offered by Netflix and ended up having to file for bankruptcy. 

Netflix also set itself apart by periodically releasing its own original movies and TV shows only available on Netflix. They also happened to be good and were getting a lot of attention, therefore, encouraging many other people to start a Netflix subscription so they could see what all the hype was about. Netflix received 31 Primetime Emmy nominations in 2013 and was the first internet-TV service to be nominated. By the end of that year, Netflix had over 40 million subscribers. In the following years, Netflix expanded into many different countries, which increased their subscriber amount astronomically. Today, Netflix has over 180 million subscribers globally with about 70 million of those subscribers in the US. 

Things got better and better for Netflix every year, winning more and more awards and expanding their empire across the globe. It pioneered the very dominant world of streaming services that are so popular today. We stream everything now! Netflix made history by being the first and many other companies, (Hulu, Disney Plus, Peacock) followed suit. Companies followed the Netflix business model to create other kinds of streaming services. For example, music! Spotify, Apple Music, and Soundcloud are all subscriber-based music streaming services. People are not buying CDs or downloading music anymore, similar to how people are not renting or buying DVDs anymore - because of Netflix. Companies also got the hint that offering exclusive content on their platforms is a great way to entice potential customers to subscribe. For example, Hulu, Disney Plus, and Amazon Prime also have their own original movies and shows that are only available on their platforms. Spotify has podcasts that are only available to their subscribers. All of these concepts derive from Netflix. 

There weren't many negative effects in my opinion that came from Netflix -unless you're the CEO of Blockbuster. I personally think streaming services are one of the greatest inventions ever. I love the convenience, and as a TV and Movie lover (this is why I chose the major that I did) I love how many options that I have at my disposal. I love being able to expand my horizons without the risk of renting a movie and not really being able to get into it. If I am not feeling a movie I start, I can just switch over to one of my favorites in a matter of seconds! 

Here is the link to the source I got this information from! Fascinating History of Netflix