Netflix CEO Reed Hastings recently spoke to an investor conference, hinting that the company, which is in a period of tumult stemming from upset customers and lost licensing rights, might be looking to become a regular ole’ cable channel in light of the current and upcoming original programming that it has on deck.
Not many more details were given, but this is certainly a curious pursuit for a number of reasons. First off, Netflix doesn’t have enough original programming to fill an afternoon, let alone a 24/7 channel. Further, if they were to fill it with licensed content, similar to their current streaming offerings, they would have to rework all those agreements, as they now don’t grant permission for cable broadcast.
Secondly, if the station was to rework those licenses, or even pursue any aspect of this endeavor, it could further alienate subscribers to Netflix Instant, who are largely using Netflix so they can cut out the high fees of cable subscription.
It shouldn’t happen for a while, as this pursuit is in its infancy, but it clearly demonstrates that the company wants like hell to get away from their original business model of sending DVDs through the mail.
Strange times, Netflix subscribers. Strange times indeed.