Netflix, Amazon invested USD 7.5 bln in programming in 2015

News Video Global 17 OKT 2016
Netflix, Amazon invested USD 7.5 bln in programming in 2015

Online platforms Netflix and Amazon are competing with and in many cases outspending traditional TV giants such as CBS, HBO and Turner in the amounts they invest in programming, according to a report from IHS Markit. The companies spent a combined USD 7.5 billion last year, more than HBO (USD 2.0 billion), Turner (USD 3.8 billion) and CBS (USD 5.7 billion). Amazon’s expenditure rose from USD 1.22 billion in 2013 to USD 2.67 billion in 2015, while Netflix’s spending soared from USD 2.38 billion to USD 4.91 billion.

Only Disney (USD 11.84 billion) and NBC (USD 10.27 billion) currently outrank the combined investment in programming from Netflix and Amazon, said the report. Other online platforms such Hulu in the US and China’s Youku Toudu, iQifyi and Tencent have also significantly increased their investment in original programming and acquisitions in recent years.

Globally, TV programming investment dipped to USD 129.8 billion in 2015 from USD 128.7 billion the year before, above all due to the effects of the strong dollar. The US remained the clear leader with USD 43.0 billion invested across free-to-air, pay TV and online, equivalent to 33 percent of worldwide expenditure, followed by Western Europe with USD 38.6 billion, including the UK with USD 10.7 billion.

Japan is the largest investor in the Asia Pacific region with USD 9.8 billion, followed by China with USD 8.4 billion and South Korea with USD 2.6 billion. The leading Latin American markets are currently Mexico and Brazil with USD 1.5 billion and USD 1.4 million respectively.

Categories:

Video

Companies:

Amazon,  Hulu,  Netflix,  Tencent,  NBC,  HBO,  IHS

Regions:

Global

Tags:

Production planning & operations, Broadcast, Wholesale, Market research

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