The Broken Economics of Streaming Services: A Stats Explainer

Data scientist and journalist Daniel Parris conveys elements of streaming economics and questions whether the streaming business is just a less profitable version of cable TV. Outlining streamer spending and information on strategy, retention, and content production/licensing, Parris suggests that streamers, especially those trying to compete with Netflix, invest heavily in adding new content to their libraries, in an effort to grow or maintain their subscribers—but as their libraries grow the value of this content diminishes.