Netflix is restructuring its film units and vowing to make fewer but better movies, according to a new report from Bloomberg. The move comes as the streaming giant faces mounting competition from rivals like Amazon Prime Instant Video and Hulu, which are investing heavily in original programming. The report said the restructuring resulted in a handful of layoffs, including two longtime executives. However, Netflix told TechGround that these changes were made to simplify its structure and set it up for the next phase of its growth. In light of this news, movie fans may be eager to see what new projects Netflix has in store for them.
Netflix is known for its high quality films, but Chairman Scott Stuber has been looking to scale back the company’s output in order to ensure that more of them are up to standards. This shift in strategy could mean a decrease in the amount of new releases from the streaming service, but it could also lead to higher quality films that audiences can enjoy for years to come.
It’s likely that Netflix is trying to shift its focus away from producing as many original films as it has in the past, in order to spend more time and money on developing new and original content. This change could potentially impact the quality of Netflix’s existing originals, but it’s possible that this move will help the company better compete with other streaming services.
Netflix has been hit with several high-level departures in recent months, and Lisa Nishimura, who was behind the company’s foray into standup comedy and original documentaries, will be the latest executive to leave. Nishimura had worked on some of Netflix’s most popular titles, including “Making a Murderer,” “Power of the Dog” and “Tiger King.” Ian Bricke, who served as the Vice President of Independent Original Film at Netflix, will also be leaving. Bricke played a big part of Netflix’s dominance in the rom-com space; he spearheaded notable titles like “The Kissing Booth,” “Set It Up” and “To All the Boys I’ve Loved Before.
Netflix has always been a powerhouse in the world of streaming, but it was Lisa Nishimura who helped to make it a household name. She built the company’s original documentary and stand-up comedy divisions from the ground up, and established Netflix as a powerhouse in both spaces. Thanks to her hard work, Netflix now has an impressive roster of filmmakers working under its banner, including Tamara Jenkins, Nicole Holofcener, and Mark Duplass. We wish them both all the best for their future endeavors.
Netflix announced the layoffs today in a company-wide email, saying that they were making “a number of organizational changes” in response to increased competition from streaming services like Hulu and Amazon Prime Video. The layoffs come after Netflix conducted a series of job cuts last year. In May 2022, the company laid off approximately 150 staffers. A month after that, the company laidoff 300 more people, which represented 3% of its workforce at the time. Netflix then laid off another 30 employees who were part of its animation department in September. These latest layoffs represent about 8% of the studio’s total employee base
Since Netflix launched its in-house magazine, Tudum, few eyebrows were raised when it laid off 25 people from its editorial staff just five months after the publication’s launch. However, given that Tudum is intended to complement and support Netflix’s existing video content offerings (rather than act as a standalone product), the layoffs may have been more significant from a strategic standpoint.
According to Netflix, its decade-long original programming initiative has successfully scaled by producing high quality shows that users can enjoy without ever having to pay for a subscription.tv
Netflix reported its Q3 financial results, which show that despite increased expenses, the company is now in a position to sustainably generate free cash flow. The company expects this trend to continue over the long term as it scales up its original programming initiative. This news is good news for shareholders, who can now look forward to continued profitability and growth going forward.
Netflix is notoriously tight-lipped when it comes to releasing financial results, so much that it has its own acronym, OQR (OtherQuarterReporting). However, according to CNBC analyst Michael Freeman, who compiled data from Reuters and other sources,
