Just like the major networks duking it out for live television ratings, HBO and Netflix are going for the jugular when it comes to streaming original content.
Time Warner CEO Jeff Bewkes said HBO is looking to add roughly 600 hours of original content to their growing library of shows like “Game of Thrones,” “Silicon Valley” and “Girls,” all while Netflix is hoping to double its offering in 2016 with more than 60 original titles, exclusive to the streaming service.
Shows like “House of Cards,” “Orange is the New Black,” and “Daredevil” have brought plenty of subscribers to Netflix, despite the fact that their main library of third-party content has deteriorated. Netflix has been successful creating and distributing their own content at a rate high enough to keep customers happy, without them noticing the overall shrinking library by title count alone. In other words, quality over quantity.
The notion that “Netflix needs to become HBO before HBO becomes Netflix” has been circulating for a few years and the two are certainly headed for a middle ground, with growing originals subsidized by a library of movies.
But maybe the competition isn’t as direct as many people think? Netflix and HBO certainly don’t have to be the exclusive streaming service for consumers. Many people, including myself, opt to pay for both standalone services.
Like ‘Motley Fool’ is reporting, executives at both companies likely see a growing pie of internet television, meaning they can both grow their audiences without fighting each other.
But it seems likely that this will have to change at some point. Netflix is currently looking at international opportunities, as they hope to expand their customer base into the 100 million-plus range, while HBO is hoping to drive subscribers to their new streaming services such as HBO Go and HBO Now.