Netflix Could Spend Over $50 Billion on Content
Netflix (NASDAQ: NFLX) plans to spend $17 billion in cash on content production and licensing this year, but it could be just getting started. Management sees a long runway for growth across various television and film programming verticals and geographies, and it's just beginning its gaming experiment. When asked if Netflix could double or triple its content spending during the company's third-quarter earnings call, CEO Reed Hastings replied, "You're definitely thinking too small."
And he has a point. As the world's biggest premium subscription video on demand service, it has a lot of room to grow that content budget well over $50 billion.
Image source: Netflix.
Source Fool.com
