Khaberni - Netflix is redefining its strategy in the digital streaming market, focusing on enhancing content investment, live streaming, and expanding its advertising activities following the failure of its acquisition deal with Warner Bros. Discovery, a move that represents the beginning of a new phase for the company in the face of escalating competition.
Investors are anticipating the quarterly results of Netflix, set to be announced on Thursday, as the first real test of its strategy after the deal's failure, expecting the company to highlight the growth in content spending and the expansion of its advertising base and live streaming as main revenue drivers.
Analysts estimate that the company may register a 15.5% revenue growth in the first quarter to reach about $12.18 billion, of which $634 million comes from advertising.
The potential acquisition deal with Warner Bros. Discovery would have granted Netflix rights to major franchises like "Game of Thrones" and "Friends", without the need for substantial investments in new content production.
However, the failure of the deal places the company in front of more intense competition, especially if the merger of Warner Bros. with Paramount Sky Dance is completed in a deal valued at about $110 billion.
In the context of boosting revenues, Netflix raised its subscription prices in the United States in March, which might push more users towards the ad-supported package, although its revenues are still relatively limited.
The company's stocks have risen by about 13% since the beginning of the year, and by approximately 26% since it withdrew from the acquisition deal.
Concurrently, the company is looking to expand its live content, including sporting events and live shows, in an effort to attract a wider audience and boost advertising revenues.
This included broadcasting a recent BTS concert from Seoul, which attracted 18.4 million viewers globally, alongside covering the 2026 World Baseball Championship, which recorded the highest digital viewership rates in the history of the game.
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