2023-12-04 16:52:56
Published on Dec 4 2023 at 5:21 p.m.Updated Dec 4 2023 at 5:52 p.m.
In just fifteen years, Netflix and Spotify have both revolutionized television viewing for one and listening to music for the other. Pioneering “pure players”, they have achieved the feat of being the first in their fields despite competition from giants, particularly from Silicon Valley. Their management and the shareholders who followed them dared to invest a lot to move very quickly. On the stock market, they have both rebounded strongly in recent months.
But financially, at least today, the comparison stops there. While facing an army of skeptics, Netflix announced in January 2021 that it no longer needed to raise external capital to finance its growth, proving that its business model was not a mirage. In a context of rising rates and therefore tensions on the financial markets, Netflix stands out for its enviable financial balance. Media giants like Disney or Warner Bros. Discovery must tighten the screws so that their streaming activities finally break even.
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#Netflix #Spotify #pioneers #divergent #destinies
