By Caroline Peck

NETFLIX World’s leading Internet Television Network 38 million members in 40 countries For one low monthly fee, members have unlimited viewing of programs through streaming or DVD rentals

How it Works Streaming Computers Applications for tablets and smart phones TV through internet TV adaptors or gaming consoles Only a portion of titles available DVD’s DVD’s mailed straight to your home Just place it back in your mailbox when your done Only provided in the United States 20 regional shipping centers

History 1997: Reed Hastings and Marc Randolph co-found Netflix as a DVD rental-by- mail company 1999: Subscription service is launched, offering unlimited rentals for monthly price May 22, 2002: Netflix makes its initial public offering (IPO) on Nasdaq under the ticker “NFLX” 2003: Reaches over 1 million members 2006: Reaches over 6 million members 2007: Introduces streaming, which allows members to instantly watch offered movies and TV shows on personal computers 2008: Partners to stream on the Xbox 360, Blu-ray disc players, TV set-top boxes and Apple computers. 2009: Partners with PS3, Internet connected TV’s and other Internet connected devices 2010: Now available on the Apple iPad, iPhone, iPod Touch and Nintendo Wii Launches in Canada 2011: Launches throughout Latin America and the Caribbean 2012:Launces in United Kingdom, Ireland and Nordics Surpasses 30 million members

Focus “Simplicity is at out core” A focused passion brand. Not a generic “video” company; but simply a movie and TV series network. The freedom of on-demand and the fun of indulgent viewing. Flexibility of any screen anywhere any time.

Content Investing over $2 billion per year in content licensing and creation. Wide range of viewing options including action blockbusters, anime, sci-fi, Sundance films, or kid’s cartoons. The licensing is generally time-based. Example: $200,000 for a 4 year exclusive subscription video-on-demand license for a given title. Your streaming service suggests titles you might be interested in based on your viewing history. Users watch more than 1 billion hours of content per month.

Partnerships Disney NBC Universal Paramount Pictures MGM Warner Bros. Sony Pictures Lions Gate Entertainment Time Warner 20 th Century Fox Universal Pictures

Netflix Original Series

Competition

SWOT Analysis Strengths: Large subscriber bass Streaming capability User-friendly technology Opportunities: International expansion Development of original content Increase in technology Weaknesses: DVD segment decline Price-conscious consumers Lack of streaming titles Threats: Competition Inflated prices for content licenses Ever changing technology

Quarterly Earnings (in thousands) June 30, 2013: 1,069,372 March 31, 2013: 1,023,961 December 31, 2012: 945,239 September 30, 2012: 905,089 June 30, 2012: 889,163

Future Main focus is on the streaming component Internet TV is growing Plans to compete with cable and network television

Works Cited Netflix – Investor Relations Netflix- Company Timeline Netflix- Stock Quote Information