“SUITS” was the most streamed title of 2023, a sign that licensed content is here to stay.
According to Nielsen, a third-party ratings service, the USA Network series topped the Nielsen ratings chart for 12 consecutive weeks last year and was watched for approximately 58 billion minutes.
Netflix (NFLX) acquired the show in July. You can also stream it on Comcast’s Peacock (CMCSA).
The resurgence of licensed content appears to have brought the streaming wars full circle after companies spent billions of dollars creating original IP to outsmart competitors and attract subscribers.
While Netflix is certainly responsible for that, the company recently revealed that 45% of all viewing on Netflix from January to June 2023 was from licensed titles. We are actively stopping licensing out of our own content.
“Our large subscriber base and recommendation system [knew] Netflix co-CEO Ted Sarandos said in a call with reporters late last year, “We wanted to show “Suits” in front of the people who would like it the most.” .I don’t necessarily think it will happen the other way around.” I think you can add value by licensing your content. I’m not sure it’s reciprocal. ”
Disney (DIS) is one competitor that is actively embracing this change.
ABC’s “Grey’s Anatomy” has been a huge success on Netflix, while Disney acquired the international rights to “Bluey,” the second most-watched title of 2019, from BBC Studios.
But just as Netflix has refused to outlicense original series, Disney CEO Bob Iger said in the company’s latest earnings call that it has All brands “offer a real competitive advantage and are likely to be off-limits,” he said. ” and becomes a “differentiating factor” for companies.
But analysts say that idea is a double-edged sword, citing high debt and streaming profitability challenges.
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