How long has Netflix been around? The history of the streaming service
With streaming services like Netflix, it is up to the user when and how many series they watch. How long has Netflix been around? And how has the provider developed into one of today's market leaders in its industry?
How long has Netflix been around? The founding story
Netflix was founded in California on August 29, 1997 by Marc Randolph and Reed Hastings.
- The provider, which was initially only available in the USA, initially served as an online video store with the distribution of DVDs to its subscribers. The success story of the streaming service began with a small selection of 925 films. Unlike traditional video stores, there were no late return videos.
- At that time, the price of a film was still four dollars. However, two years later, this was converted into a flat rate pricing system in which a monthly amount was paid for an unlimited number of videos.
- The idea for the streaming service allegedly goes back to an experience of co-founder Hastings: After he no longer found a borrowed video cassette, a high fee accumulated. According to legend, Hastings came up with the idea that it would make much more sense to charge a monthly fee instead of paying the fine.
- On May 23, 2002, despite losses, Netflix went public. At that time, the prospects were still geared towards sending DVDs. If you had bought shares of the company in the beginning, you would probably be rich today.
Entry into the video-on-demand business
Netflix did not focus on the video-on-demand business until 2007.
- The great success of the company was shown by the international expansion of the streaming service. As of 2010, Netflix was no longer only available in the United States, but initially expanded to Canada and two years later to Europe.
- The provider has also been available in Germany since 2014. That same year, Netflix made over $ 1 billion in revenue for the first time.
- While it was initially only possible to use the service via the company's own website, subscribers can now also access the platform via app on their smartphone.
Netflix Originals as the key to success
Another factor of success are the supplier's own productions.
- In 2011, Netflix announced that it would commission its own film and series productions. For example, the first Netflix original "House of Cards". The star cast included Kevin Spacey, who is no longer part of the series. The political thriller has already been awarded two Golden Globes and three Emmys.
- One of the younger Netflix originals is the "Stranger Things" series.
- With an in-house production from Germany, Netflix took a long time. But with "Dark", a German series finally started on December 1st, 2017. This production also quickly became very popular and has already been nominated for the Grimme Prize.
- Netflix's success is also reflected in the numbers: Last year, the company had sales of approximately $ 11.69 billion.
In the next post we will tell you how you can create multiple profiles at Netflix.