Netflix is currently the largest video-on-demand streaming platform in the world, the American company having over 200 million subscribers worldwide, a huge number that grew due to the Coronavirus pandemic. Although Netflix is on the rise, another video-on-demand streaming platform is coming next, which is very important, it has the name Disney+, and in less than a year after its launch, it has 90 million subscribers.
Netflix it has the most important competitor in Disney+, which in 2020 gathered many more subscribers even though it is not offered in as many countries, and analysts estimate that by 2026 it will succeed in surpassing it. Basically, it is now estimated that Netflix will be overtaken by Disney+ until 2026, when both will have almost 300 million subscribers, with a slightly higher figure in the case of the latter, but with net lower revenues, despite subscribers.
Netflix: THE PROBLEM That No One Anticipated Until Now
Netflix it should be overtaken by Disney+ in 2026, but then it should register revenues of approximately 40 billion dollars, while its competition should only have half the revenues. Here there is a very big difference between Netflix and Disney+, and basically let's talk about lower investments for the latter due to lower net income, but this only if the prices do not increase substantially to reduce the difference compared to the former.
Netflix wants to substantially increase its subscriber base in the coming years, and to do that it allocates a very large part of its annual budget to creating original content for people. Of course, everything depends on how good this content will be, but it is expected that Netflix will manage to substantially increase its subscriber base to over 250 million by 2022, if not even earlier, as long as the Coronavirus pandemic keep going.
Netflix it still does something that could keep some subscribers away, more precisely it increases the prices for its services, and this can be a very serious problem that inhibits its growth.
