I'd say at least half of the money they made while I was writing this tweet.
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I bet
@ballmatthew would have a guess -
They aren't putting that much in actually, it's more about what they give up (pure risk free profit) instead. It's like 1-2B real incremental, and generating associated revenue anyway
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you gotta feel like it's not costing them a ton, since they're only putting up things they own. the shows and new content they're producing for it were going to get made anyhow, so i discount that price to nothing.
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The budget for these shows and marketing is absolutely not nothing.
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Yeah, they could easily run into the problem Netflix is currently having where the money they’re spending on original programming isn’t even close to justifiable given the plateau-ing of their subscriber base
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I think it will be a huge financial hit for at least the first few years - between the cost of getting the service up and running, creating the content ... and then, biggest of all, the loss of money from pulling all their content off Netflix. Definitely more of a longterm play.
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thinking about Disney Infinity, which was got canceled because it wasn't delivering enough billions in profit
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20m subscribers (less than Hulu) at $7 is $140M/month with little to no worry about cancelations and no third-party streaming rights costs. I think they’ll be OK. :o)
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140 million a month would be a disaster, is my point.
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