Disney will soon be entering the streaming service market, but Netflix doesn't seem to be too worried about it.
That's the impression Netflix CEO Reed Hastings gave on the latest investors call. When Disney's new project came up Hastings compared it to another successful competitor. "We don't see it as a threat to us any more than Hulu has been," Hastings said, adding that he expects it to be "very successful" for Disney thanks to their extensive IP (via Variety).
"I know I'll be a subscriber of it," Hastings said.
Disney's upcoming streaming service won't launch until 2019, but it will include the content they've previously had on Netflix's platform. They've also added another large slice of IP thanks to their landmark deal with 21st Century Fox, adding the 20th Century Fox catalog to its roster.
"I was as surprised as anyone that Fox was willing to sell," Hastings said. While that content will make a difference for Disney, Hastings let consumers know that it won't really affect Netflix very much in the long run. "These big U.S. media company mergers are pretty peripheral to us," Hastings said.
As for Disney removing their content after 2019, that shouldn't affect the service's growth too much."It's great content, but we are able to grow without it just fine," Hastings said, letting consumers know that the deal only applied to the United States in the first place.
When asked how future mergers affect companies like Netflix, Hastings assured it mostly comes down to money.
"If we can monetize content really well, then people will sell to us because we can pay them," Hastings said. He also pointed out their recent deals with directors and producers as opposed to studios. "Our exposure is significantly less than it used to be."0comments
Hastings reaffirmed they have a plan moving forward, something that their competitors are still trying to sort out. Still, there is something to be learned from everyone.
"We've got a path ahead, everyone else in streaming is trying to find one," Hastings said. "We'll all learn from each other and total streaming will grow faster because of the competition."