Becoming Profitable: The Strategy of Subscription Video Streaming Services

How the subscription video streaming services plan to become profitable

The video streaming industry experienced a boom in subscription numbers and new content during its peak, but now the industry is facing the consequences of oversaturation. Companies such as Disney+ and Netflix are tightening their belts and finding ways to operate profitably in the future. Disney+ has announced it will return to traditional film distribution, only showing new theatrical productions after they generate revenue through theatrical releases, purchase and rental services, and physical media. Netflix has gained around one million active users in the US in two months through its new standard subscription with advertising, but the company still needs to reduce expenses. Netflix has decided to merge its different departments and prioritize producing series to keep viewers engaged.

In response to growing criticism from fans, Marvel is planning to produce less and more high-quality content exclusively for Disney+. Video streaming services like Disney+ and Netflix are focusing on becoming profitable by reducing expenses while retaining subscribers if necessary through emotional appeals.

Netflix has recognized that premium subscribers in Germany for €18 per month expect more than before and has released at least two films with German Dolby Atmos sound each month since the beginning of the year. Prime Video is finally making 4K resolution with Dolby Vision the standard for its Original series. Finally, Paramount+ has not provided content in 4K/HDR or with German multi-channel sound, but its long-awaited TV app for LG Smart TVs was recently released.

The upcoming end of support for Windows 10 has raised concerns and threatened to turn working computers into electronic waste, as many do not meet the requirements for Windows 11. C’T magazine covers these issues, as well as testing mini PCs, demonstrating how to bring back deleted files under Linux, and remembering their past campaign, Hommingberger Gepardenforelle.

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