Post #4 EOTO Com Tech Timeline

     Nowadays it is hard to imagine a world where entertainment isn’t a click away. Today we are spoiled with more entertainment than we can handle. This new norm is thanks to the first streaming service “success story”, Netflix. 

    Netflix was created by Reed Hastings and Marc Randolph in 1997.  Most of the credit for making the company what it is today is given to Hastings as Randolph left in 2003. He wanted to do only things with his life and didn’t want to be away from his family. This made Reed the CEO from 1998 to 2020. Now Reed is the executive chairman.
  

    Before streaming was the leader in entertainment, movie rental businesses were the only place to get your favorite movies. One day Reed went to his local Blockbuster to return this copy of Apollo 13. When he returned to the movie he owed $40 in late fees from the one movie. This made Reed think about creating a new way to rent movies. After mailing DVDs to Marc Randolph, the idea for Netfixes was born.

    Netflix started a website where people could pick out movies and then Netflix mailed
the DVD to them. This way people didn’t have to leave their houses to rent movies. In 2000 they created a system where customers could pay a flat fee to rent 4 movies at a time for as long as they wanted. The idea of subscription services was created. Instead of paying for each movie you just pay one fee monthly. 

    This new way of renting movies would lead to the popularization of streaming services. Netflix reinvented itself as a streaming platform in 2007. From placing orders online, people can now play their movies online. Netflix teamed up with video game console brands and other video streaming devices to make it accessible to a larger audience. In 2016, Netflix expanded to 190 countries.

    Netflix changed the world by creating the subscription model. Now people don’t have to pay for everything individually. Instead for one fee, you can have access to a whole library of content. This model has become so big that it is replacing cable. Netflix paved the way for many other streaming platforms such as Hulu, Peacock, and Disney+. 

    Another innovation created by Netflix was using algorithms to create personal movie recommendations. It is said that 80% of people who use Netflix rely on the suggestions made by the algorithm. 

    Netflix has changed the way we think about entertainment. We now don’t have to leave the comfort of our homes to watch our favorite shows and movies. It has created a culture of binge-watching. Now people around the world can watch the same shows. These shows can connect others from around the world. 

    

    One of the negative consequences of the rise of Netflix is the amount of streaming services that are now available. Now 50 major streaming services are competing for our attention. It is not a reason to pay for all the streaming services which defects the main idea of watching everything you want for one price.  

    Streaming was meant to be a cheaper alternative than cable TV. Now it can cost the same amount to pay for multiple streaming services as to just pay for cable TV. 

  
 Streaming is also killing the movie theatre business. Companies can put their movie directly into their streaming service cutting out the middle man of the movie theater. 

    Netflix changed the way we all watch. People around the world can watch the same shows from their homes. Netflix has pushed us into a new age of entertainment using streaming.