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He now lives in Santa Cruz with Quillin and their two teen-age children. They have four shelter dogs, and, in the back yard, four goats and ten chickens. He is involved in various philanthropic ventures that promote charter schools and education reform. To manage the technical aspects of the Web site, he recruited Neil Hunt, another mathematician and former colleague. In , Hastings hired Ted Sarandos, who had been the vice-president of product and marketing for West Coast Video, a Blockbuster-like company with nearly five hundred stores.

Sarandos had a deep knowledge of movies and television shows and began to broaden the range of material that Netflix made available. In , the company turned profitable and went public. Hastings pressed his team to begin streaming movies and television shows over the Internet. The film industry, worried about digital piracy, initially resisted licensing its content to stream; and Netflix lacked access to recent movies, because the studios had exclusive long-term deals to sell them to HBO and other cable subscription channels such as Starz.

Finally, in , Netflix made a deal with Starz to stream the movies it had acquired. Starz and other content providers realized that Netflix offered not only a new source of revenue but also a way to build audiences for current broadcast and cable shows, by allowing Netflix subscribers to watch prior seasons.

Media executives dismissed the notion that Netflix was a threat. In , Jeff Bewkes, the C. For the next year, I wore Albanian Army dog tags around my neck. It was my rosary beads of motivation. Hastings sees his main competitors as Showtime and, especially, HBO. In the spring of , Netflix announced that it was aggressively entering the business of original programming.

The director and the actor had approached several networks; Netflix offered to approve the project without seeing a pilot or test-marketing it with viewers.

How many do you wanna do? But, in September of , Hastings made a major miscalculation. Hastings then announced that the DVD rentals would now be handled by a new entity, Qwikster. Hastings had seen how companies such as AOL had been slow to replace dial-up Internet access with broadband. Eight hundred thousand subscribers abandoned the service, and the stock price plummeted.

By October, Netflix had reversed the decision to split itself into two companies. The crisis soon faded. Television today faces two major threats. The first is to the advertising model. About fifty per cent of viewing households use a digital video recorder. Between half to two-thirds of those households skip the ads, and new features, such as those on the Hopper, a DVR with the Dish satellite network, allow viewers to do so instantly on select shows.

Sixty-six billion dollars—four out of every ten media dollars—is spent annually on TV commercials, according to Sir Martin Sorrell, the chairman and C. Sorrell told me that W. The second threat is existential. Starting around , viewers could stream video services through the television only by attaching another device, such as a DVD player, an Xbox, a Nintendo Wii, or an Apple TV. The streaming services are getting cheaper and easier to use. The device costs thirty-five dollars.

As consumers grow more aware of such options, they are bound to ask why they bother subscribing to cable television. The latest menace is Aereo; for eight or twelve dollars a month, the service connects each customer to a remote, dime-size antenna that allows members in almost two dozen cities to watch over-the-air broadcasts or record shows in a cloud-based DVR.

Technically, one can still watch broadcast television using just an antenna, but people have grown accustomed to the more reliable picture, and to the DVR functions, that cable provides; and broadcasters have come to rely on the retransmission fees. Still, Kanojia wondered, why should viewers have to pay an expensive cable bill if mostly what they want to watch are the broadcast channels?

As he describes it, Aereo merely allows customers to connect to antennae that receive broadcast signals. You can fast-forward past the ads when watching recorded shows. In , at his annual investor conference, John Malone, the chairman of Liberty Media Corporation, which has investments in cable companies, said that cable executives needed to respond more creatively to these new technologies.

He urged his colleagues to create an Internet-based streaming service to rival Netflix. Customers may be starting to revolt. Time Warner has lost cable subscribers in each of the past eighteen quarters. Get the E-newsletter. Stream movies. Research family history. Stream from over 26, movies, documentaries, indie and foreign films with Kanopy. Learn More. Help us improve - was this page useful? Port Macquarie. South West Rocks. We are developing plans to make high-demand materials as well as special materials, resources and services usually provided at Central Library available safely to patrons.

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