Netflix CEO Ted Sarandos recently spoke about the company’s content strategy and commitment to direct streaming. He said some theatrical releases can be inefficient and that Netflix can invest heavily in films without needing box office success. This allows the streaming service to put movies directly on its platform.
Sarandos also noted competitors like Apple have struggled with theatrical releases for expensive movies. Apple reportedly plans a limited one-week theatrical run for its Brad Pitt and George Clooney film “Wolfs” before releasing it on Apple TV+.
The Netflix executive said audiences do not care about release windows between theaters and streaming. This aligns with Netflix prioritizing subscriber access over traditional distribution models. Sarandos emphasized constantly innovating, warning those who protect outdated practices risk becoming obsolete.
A key part of Netflix’s success, according to Sarandos, is U.K.-produced shows. He said the top four titles on Netflix worldwide—“Fool Me Once,” “Baby Reindeer,” “Bridgerton,” and “The Gentlemen”—are all British and have reached over 360 million households combined. Netflix has invested $6 billion in Britain since 2000, making it the largest production hub outside the U.S.
Sarandos attributed the global popularity of shows like “Supacell” and “Baby Reindeer” to their authentic British nature. However, a $170 million lawsuit over the labeling of “Baby Reindeer” as a “true story” shows controversy can arise.
As the competitive streaming market grows, Sarandos stressed understanding diverse tastes to satisfy different audiences. Netflix’s focus on locally produced content that connects globally appears central to its strategy and subscriber base.
