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Netflix is responsible for more than 10% of downstream internet traffic. Dealing with that is definitely not "off the shelf". (E.g. caching servers set up at IS
by phonon 7y ago
Netflix is responsible for more than 10% of downstream internet traffic. Dealing with that is definitely not "off the shelf". (E.g. caching servers set up at ISPs).
That being said, only a small percentage of their market cap is related to their technology. They could outsource the whole thing to BAMTech and it probably wouldn't affect them much.
- jedberg 7y agoI think you and the person above you are underselling Netflix's innovation. Yes it's true, they mostly solved the problem of streaming video over the internet, and most changes there are incremental. But they are currently innovating massively in machine learning and other data analytics. They are also innovating in "Hollywood tech". Hollywood still uses old tech to move from capturing the actors performance to putting it in front of viewers. They mostly still track their assets with Excel (or on paper!). Netflix can get a show from filming to viewers a lot faster than most of Hollywood can.
- unapologetic 7y ago> But they are currently innovating massively in machine learning and other data analytics. I bet I could find that exact sentence used somewhere to justify wework as a "tech company".
- jedberg 7y agoYou probably could, but I would say their machine learning isn't a core part of their product that drives profits. The machine learning at Netflix has a huge impact to the product. Streaming drops 20%+ when the recommendations are offline.