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We know how much Netflix spends on content. In 2022, it was 52% of their revenue ($16.7B content budget, $32B revenue). We also know how much YouTube pays for
by jsnell 3y ago
We know how much Netflix spends on content. In 2022, it was 52% of their revenue ($16.7B content budget, $32B revenue). We also know how much YouTube pays for the content, since their ad revenue split has been public for like a decade. It's 55% to the creators for the content, 45% to YouTube for the technical and social infrastructure.
Huh. Looks like YouTube pays more for their content than Netflix does! Given the only stated basis for your opinion turned out to be incorrect, are you changing your mind?
- Barrin92 3y agoNo, that napkin math doesn't check out unless you think Youtube is a non-profit. They pocket half of what creators make, and that has no relationship to their infrastructure cost, it's a function of their market power. They could change that revenue split tomorrow to 70/30 while they cut infrastructure costs for all you or I know. You somehow turned my argument on its head. I don't care how much Netflix or YT pay for content, I only care that I pay directly for content, and because Netflix is a media company, not a platform, I don't need to guess how much they're squeezing creators or consumers. I transparently pay for a movie catalog, and that is the service provided.