Netflix, Inc. (NASDAQ:NFLX) is going to spend a ton of money on content this year, and a good deal of it will be used to bolster the streaming giant’s lineup of original programming. Between now and the end of the year alone, a whopping 470 original programming choices are scheduled to premiere.
Variety has the details on Netflix’s big bet on originals.
Netflix is sharply steering its new content spending toward original projects, with around 85% of new spending going to original TV shows, films and other productions, according to chief content officer Ted Sarandos.
The subscription-streaming leader has pegged its content spending for 2018 to be up to $8 billion. Sarandos, speaking Monday at MoffettNathanson’s Media & Communications Summit 2018 in New York, declined to break out what portion of that is licensed vs. original spending but said the bulk of new spending is on originals.
By the end of the year, Netflix will have in the ballpark of 1,000 original programs available. Sarandos explained that more than 90 percent of the streaming services users are regularly watching original programming. The company has been going out of its way to sign top talent, and Sarandos provided some insight into why the company is having little trouble getting those folks to climb on board.
“It’s a great time to be a producer, that’s for sure,” he said. “The way we can secure those shows is having a great reputation with talent, having a brand people want to be associated with, and a good track record of delivering.”
Netflix, Inc. shares rose $0.07 (+0.02%) in premarket trading Wednesday. Year-to-date, NFLX has gained 69.83%, versus a 1.83% rise in the benchmark S&P 500 index during the same period.