Netflix may be known for splashing its cash on ambitious productions like The Crown and Orange is the New Black, but the streaming giant is reportedly becoming more cautious with the type of project it spends big money on.
According a report by The Information (opens in new tab) (via Engadget (opens in new tab)), Netflix content chief Ted Sarandos met with several dozen of his middle-ranking and senior film and TV executives, and told them to be more careful with their spending.
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Sarandos also reportedly told the execs that "any upcoming projects need to bring in large numbers of viewers, and will no longer be able to float by due to being loved by critics or earning the company more credibility".
According to Engadget, one example that Sarandos cited as vetoed for the future was Triple Frontier, an action drama starring Ben Affleck that "cost $115 million and flopped".
Netflix's new-found frugality could be a result of the increased competition in the TV and movie streaming market; while Amazon Prime TV has always been a rival for the streaming giant, there are two new adversaries on the horizon: Disney Plus and Apple TV Plus.
Both are set to launch in late 2019, and could prove a big problem for Netflix. Disney Plus, for example, is set to undercut Netflix in terms of monthly subscription prices, and will provide every Disney film ever made, as well as new shows in the Star Wars and Marvel franchises, which Disney owns.
Apple TV Plus is also set to offer exclusive content, reportedly focusing on quality over quantity – a very different approach from Netflix, which has over 13,500 titles (opens in new tab) in its library.
Netflix's new economical outlook doesn't mean that it won't spend big money on future shows; after all, it's still expected to spend $15 billion on original content this year.
Hopefully, by exercising more caution when it comes to high-budget productions, Netflix might just match Apple TV Plus' quality over quantity mantra.
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Via Engadget (opens in new tab)