Netflix is the world’s leading Internet television network with more than 36 million members in 40 countries enjoying more than one billion hours of TV shows and movies per month, including original series. For one low monthly price, Netflix members can watch as much as they want, anytime, anywhere, on nearly any Internet-connected screen. Members can play, pause and resume watching, all without commercials or commitments. Learn more about how Netflix (NASDAQ: NFLX) is pioneering Internet television at www.netflix.com or follow Netflix on Facebook and Twitter.
Netflix is America’s biggest bandwidth hog, by far
As TV and the internet converge, it’s increasingly important to look at what content is dominating those pipes. For now, it’s Netflix. And it’s not even close.
During peak periods of internet use in the US, Netflix constitutes 33% of all downstream traffic, which means content that goes into the device instead of out, according to broadband network provider Sandvine (pdf). That’s more than Google’s YouTube (14.8%), BitTorrent (5.9%), Apple’s iTunes (3.9%), Amazon Video (1.8%), and Facebook (1.5%), among others. Netflix isn’t as dominant in mobile internet use, where it has just 2.7% to YouTube’s 31%, but that’s the next battleground.
Bandwidth is a good metric to watch because it arguably measures the depth of attention commanded by these big media companies. Facebook obviously controls a large share of internet use, but the content it serves isn’t as rich, or bandwidth-heavy, as YouTube or Netflix. In theory, the richer media should ultimately translate into more revenue.
Netflix continues its European expansion by launching in the Netherlands
The next stop for Netflix’s monthly-subscription service of unlimited streaming video is the Netherlands, the company announced in June 2013.
The move is part of Netflix’s overall business strategy to bring its service to foreign markets using profits from its domestic business. The company has already launched successful expansions into Canada, the U.K., Ireland, Latin America, Norway, Denmark, Sweden, and Finland. In the past, entrance into new markets caused Netflix’s overall profits to dip, which wasn’t popular among investors. But after this latest expansion, it promised to slow down those efforts.